Using Tech to Curb the Theft Wave
Can AI help put a dent in shoplifting?

Paris-based Veesion has developed a new anti-theft system that leverages retailers' existing video surveillance infrastructure

Shoplifting has always been a significant loss prevention challenge for the retail industry, but it has become so pervasive throughout the course of the Covid-19 pandemic that it is now impacting stores in ways that once seemed unimaginable.

According to the "33rd Annual Retail Theft Survey" published last year by Jack L. Hayes International, despite Covid-induced lockdowns throughout 2020 that resulted in fewer customers visiting brick-and-mortar stores and thus fewer shoplifting arrests, the average shoplifting case value actually increased by 13% to $310.11 per incident. Overall, the report found that the retail industry now loses anywhere from $15-$20 billion annually to shoplifting, which translates to $28,000-$38,000 in losses every single minute.

In fact, pharmacy chain Walgreens last October announced that it was closing five stores in the San Francisco area due to the impact that organized retail crime (ORC) was having there.

While retailers have leveraged a variety of solutions to help curb shoplifting through the years, the deterrence effect provided by things like merchandise tags is simply not enough to deter today's brazen thieves. To address this problem, Paris-based Veesion has developed artificial intelligence (AI)-based analytics technology that uses a store's existing surveillance infrastructure to catch shoplifters in the act.

According to Hiren Mowji, Country Manager for the Americas at Veesion, the company is specifically using analytics based around suspicious gestures to be able to detect shoplifting in real-time. For example, if someone quickly places an item in their coat or pants, the Veesion software can determine whether it is an act of potential theft and alert the proper personnel.

The rapid growth in adoption of their product has enabled Veesion to garner the attention of larger retailers, which has subsequently led the company to branch out into international markets, including the U.S.

"We went from these independently-owned, small corner, mom-and-pop-style markets to bigger stores, chain supermarkets - brands like Carrefour and Intermarché. They are not as big as your Walmarts of the world, but they are decent-sized chain grocery stores that have a presence or footprint of at least 1,000 locations in the area," Mowji says. "Once that happened and we also connected with a few resellers, we never looked back. We have the product to a point now where we are selling it as a standalone solution that can integrate with pretty much any CCTV system out there." securityinfowatch.com

Facial Recognition Tech Making a Comeback as Crime Surges
U.S. cities are backing off banning facial recognition as crime rises
Facial recognition is making a comeback in the United States as bans to thwart the technology and curb racial bias in policing come under threat amid a surge in crime and increased lobbying from developers.

Virginia in July will eliminate its prohibition on local police use of facial recognition a year after approving it, and California and the city of New Orleans as soon as this month could be next to hit the undo button.

"Technology is needed to solve these crimes and to hold individuals accountable," police Superintendent Shaun Ferguson told reporters as he called on the city council to repeal a ban that went into effect last year.

Efforts to get bans in place are meeting resistance in jurisdictions big and small from New York and Colorado to West Lafayette, Indiana.

From 2019 through 2021, about two dozen U.S. state or local governments passed laws restricting facial recognition. Studies had found the technology less effective in identifying Black people, and the anti-police Black Lives Matter protests gave the arguments momentum.

But ongoing research by the federal government's National Institute of Standards and Technology (NIST) has shown significant industrywide progress in accuracy. And Department of Homeland Security testing published last month found little variation in accuracy across skin tone and gender.

'MOMENTS OF CRISIS'

California in 2019 banned police from using facial recognition on mobile devices such as body-worn cameras. But the prohibition expires on Jan. 1 because of a provision state senators added. Now, news reports about rising retail theft and smash-and-grab robberies have captured lawmakers' attention, said Jennifer Jones, a staff attorney for ACLU of Northern California.

Activists in New York are also pressing for a facial recognition ban despite increased crime. Eric Adams, who became mayor in January, said a month later that it could be used safely under existing rules, while his predecessor Bill de Blasio had called for more caution. wenatcheeworld.com

$5 Million ORC Initiative in Illinois
Gov. Pritzker to sign bill targeting smash-and-grab thieves
Smash-and-grab thefts have been reported at stores across Chicago and the suburbs. On Friday, Governor JB Pritzker will sign a crime bill into law that will make it easier for police to catch retail thieves.

Retail thefts can involve tens of thousands of dollars worth of merchandise being stolen in minutes. Stores on the Magnificent Mile have seen the impact of this. Groups of people rush in, grab as many items as they can and then rush out.

The bill would allow prosecutors to go after the ring leaders of organized retail crime. It would also create a statewide intelligence gathering platform. This is a way for law enforcement partners from federal, state and local levels to work together in catching retail criminals.

Illinois Attorney General Kwame Raoul, who helped work on the bill, spoke about it back in February: "One way we can ensure criminals do not avoid prosecution is by allowing our office to convene state-wide grand jury to prosecute organized retail crime."

Initiative: Organized retail crime | Funding: $5 million

House Bill 1091 defines organized retail crime in state law with the intent of reducing offenders' ability to avoid prosecution.

The bill differentiates ringleaders from individuals stealing from retailers and mandates that online selling marketplaces must store information on high-volume sellers and ban them from the platform if they are suspected of selling stolen merchandise.

The measure would allow prosecutors to consolidate charges against an offender in one county even if a ring of smash-and-grab thefts happen across multiple counties. A statewide grand jury will have the power to investigate, indict and prosecute violations. The budget allocated $5 million to address organized retail crime.  cbsnews.com  capitolnewsillinois.com

NYC Mayor, Police Union Blame DAs for 'Refusing to Prosecute Criminals'
NYPD every day takes 20 guns off the street, makes 13 gun arrests - and it's not enough to stem NYC crime spike
Every day in 2022, cops have taken 20 guns off the street, and arrested 13 people on gun charges, according to data released by the NYPD on Thursday. That amounts to about 2,600 firearms taken off the street, and - as of May 8 - some 1,693 arrests on gun possession charges.

Out of the 4,499 gun arrests made in 2021, only 711 of them have led to convictions, according to data shared by the Lieutenant's Benevolent Association. If that pace holds, the department will seize more than 7,000 firearms and make 4,800 gun arrests by year's end, NYPD data shows. Both figures would be a sharp increase from previous years.

NYPD data shows that as of May 8, murders are down 14% this year, and shootings are down 5%. Police have responded to 138 murders and 421 shooting incidents, the numbers show. Both figures are down from the same period of 2021, when police counted 160 murders and 443 shooting incidents.

But overall crime is up 41% so far in 2022, figuring in rises of 12% in rapes, 45% in robberies, 20% in assaults, 34% in burglaries, 53% in thefts, and 61% in auto thefts, the numbers show.

The fear frustrates Mayor Adams, who on Wednesday railed that prosecutors aren't doing enough to those busted with guns behind bars. "We took 2,600 guns off our streets, and the shooters of those guns are back on our streets just like this person," the mayor said.

Adams' frustration was echoed Thursday by a police union. The Lieutenants Benevolent Association released data on shooting suspects, and laid blame for the problems on what they feel are failings of the city's district attorneys.

"Due to DAs refusing to prosecute criminals and the legislators passing criminal friendly legislation, there is apparently no accountability nor repercussions," lieutenants' union president Lou Turco wrote in a letter to his members. "So, criminals are quickly released from custody and simply go out and retrieve another illegal gun and the cycle starts again." nydailynews.com

What's Driving NYC's Crime Explosion?
NYC Mayor Defends Police, Blames Illegal Guns for Crime Surge

Adams, former police officer, says there's no fear of justice

New York Mayor Eric Adams said the city's police department is being unfairly blamed for the recent crime surge, pointing instead at ghost guns and the legal system for not being able to get the situation under control.

Adams, a 22-year police veteran, said he has never seen "a total disregard and fearlessness of carrying a gun and using a gun." The solution, he said, is "more than just bail reform."

"Public safety and justice, they go together," Adams said Wednesday at a press conference. "There is no fear for people carrying guns. I've never seen anything like this in my life."

The NYPD has taken 2,600 guns off the street this year, Adams said, but the manufacture of illegal guns and the quick release of criminals is "foiling our entire operation."

The city has experienced a 41% overall increase in the seven major index crimes so far this year. Arrests for those felonies are at a 21-year high, according to city officials. Adams said he thought crime would be under control in January, and expressed frustration with critics of recent actions taken by him and the NYPD.

"New Yorkers should be living in a safe city right now based on the operations of the police department," he said. bloomberg.com

Another Mall Shooting Prompts Security Concerns
Do security measures need to be improved at Hanes Mall after Tuesday's shooting?
Do security measures at Hanes Mall need to be improved following Tuesday's mall shooting? WXII 12 News talked with community leaders to learn more. Winston-Salem police are searching for suspects and witnesses after a shooting at Hanes Mall on Tuesday.

WXII 12 News talked with Democratic Councilman Kevin Mundy on Wednesday, who oversees the Southwest Ward of the City - where Hanes Mall is located: "My thought was here we go again. It just happens too often. I hate to say it's becoming a norm, but we have so much gun violence in The Triad," Mundy said.

Mundy said that he plans to talk with the management of the mall after Winston-Salem police complete their investigation. He said he would like to see the mall's security cameras be integrated with the Winston-Salem Police Department's system, add more security to the mall, and create an evacuation plan for customers and workers in case of a possible future shooting at the shopping center.

Mundy also shared that he is working on a number of efforts to address gun violence in the community, including increasing the number of officers in the department (increasing pay, enhancing benefits packages, etc.), installing shot spotter devices, which detect gunshots in the community, and installing cameras near major highways and hospitals that would capture vehicle information. wxii12.com

Crime: Return to normalcy correlates with some post-pandemic increases

US: 84M Cases - 1M Dead - 81.1M Recovered
Worldwide: 519.8M Cases - 6.2M Dead - 474.6M Recovered

Former Senior Loss Prevention Executive
Know of any fallen LP exec? Let's remember & recognize.

Private Industry Security Guard Deaths: 356   Law Enforcement Officer Deaths: 767
*Red indicates change in total deaths

Change in COVID cases per 100k people in the last 2 weeks

Deaths from COVID begin to rise again

Deaths from COVID-19 are on the rise again after several weeks of upward ticking case rates sparked by Omicron variants.

Driving the news: The U.S. averaged roughly 365 daily deaths, up 7% from about 342 two weeks ago. That's still a fraction of where things stood several months ago when the daily average was in the thousands.

Yes, but: The increase in deaths comes after several weeks of declines. While increasingly transmissible Omicron variants have generally not appeared to cause more serious illness, some people are still dying. Waning immunity and low booster uptake has also meant a growing share of the deaths are among the vaccinated, officials warn.

The bottom line: As variants spread, warm weather returns and more people let their guard down, cases are on the rise. While numbers appear far better than what they once were, officials warn the virus isn't done with us yet. axios.com

Disregarding COVID's Risk to Workers?
Meatpackers hyped 'baseless' shortage to keep plants open amid covid

A House panel alleges that Tyson and other meat processors heavily influenced Trump's executive order that compelled plants to keep operating

The biggest players in the U.S. meat industry pressed "baseless" claims of beef and pork shortages early in the pandemic to persuade the Trump White House to keep processing plants running, disregarding the coronavirus risks that eventually killed at least 269 workers, according to a special House committee investigating the nation's pandemic response.

In a report released Thursday, the committee alleges that Tyson Foods's legal team prepared a draft with input from other companies that became the basis for an executive order to keep the plants open that the Trump administration issued in April 2020, making it difficult for workers to stay home.

"Meatpacking companies knew the risk posed by the coronavirus to their workers and knew it wasn't a risk that the country needed them to take," according to the report by the select subcommittee on the coronavirus crisis. "They nonetheless lobbied aggressively - successfully enlisting [the U.S. Agriculture Department] as a close collaborator in their efforts - to keep workers on the job in unsafe conditions, to ensure state and local health authorities were powerless to mandate otherwise, and to be protected against legal liability for the harms that would result."

The report alleges the nation's largest meatpackers and industry trade groups repeatedly misled the public when they warned that any slowdown in their operations posed an imminent threat to the nation's meat supplies. But "these fears were baseless," investigators wrote. washingtonpost.com

Workers Aren't Coming Back Anytime Soon
Just 8% of Manhattan office workers are back full time, survey shows

The Partnership for New York City found a wider embrace of hybrid workplaces, with 78 percent of businesses adopting the model.

Just 8 percent of Manhattan office workers are back in the office five days a week, and 28 percent are still fully remote, according to the group's new survey of more than 160 major employers in New York. On the average weekday, 38 percent of Manhattan office workers are in the office, a figure that employers expect will rise to 49 percent by September. In the group's January survey, many employers said they thought daily attendance would exceed 50 percent by April.

The new survey's most significant finding, according to the partnership's president, Kathryn Wylde, is that 78 percent of workplaces have adopted a hybrid model, allowing a mix of remote and in-person work. That's a leap from 6 percent before the pandemic.

Thirty percent of those surveyed are offering additional flexibility for the coming months, like summer Fridays or the option to work fully remote in August. And then there are those trying to make the office more enticing. Nearly two-thirds are offering workers incentives to return to the office, including 43 percent that are giving free or discounted meals. nytimes.com
 
China's COVID Lockdown - The Global Retail Impact
From Estee Lauder to Apple, companies say China's restrictions are hitting business
Starbucks, Apple and other major U.S.-listed companies have warned in quarterly earnings reports about the impact of China's Covid lockdowns to their business.

Luxury brands navigate Shanghai's lockdown to keep VIPs pampered

Remembering the 1M lives lost to COVID-19

Target Responds to Union Push
Target Employees Look to Unionize VA Store As Retail Unions Gain Momentum

Target is the latest retailer to see a major union push among some of its employees.

Employees at a Christiansburg, Virginia Target store on Tuesday filed for a union election with the National Labor Relations Board. The New River Valley General Membership Branch of the Industrial Workers of the World labor union is representing the group, which seeks collective bargaining with management.

In a statement, Target told FN that its "team members are at the heart of our strategy and success, and we have a deep commitment to listening to our team and creating an environment of mutual trust where every team member's voice matters."

Target also noted that it recently announced a new starting hourly wage range of $15 to $24 for hourly employees in stores, supply chain facilities and corporate headquarters. Target also recently rolled out expanded health care and education benefits for employees.

According to The New Republic, which reported first on the union news, the workers behind the drive hope to pave the way for other store locations to carry out similar union drives at their stores. Target has nearly 1,900 stores nationwide and employs over 350,000 workers.

With this filing, Target becomes the latest retailer to lead a unionization push. Since December, three corporate-owned Starbucks stores have unionized, with more conducting votes and expressing interest. Employees at an Amazon warehouse on New York's Staten Island officially voted to form the first Amazon union in April. And in March, REI workers in a New York City store officially voted to unionize, making it the first organized REI store in the U.S. footwearnews.com

Apple's Crackdown on Union Efforts
Leaked Memo Reveals Apple's Anti-Union Talking Points for Store Managers

Apple is instructing managers to tell retail workers that they could lose benefits and career opportunities if they unionize.

Apple is circulating a series of anti-union talking points to store leaders to use with employees in the United States, amid fears that a wave of unionization could break out across its U.S. stores.

In the talking points, obtained by Motherboard, Apple highlights that workers could lose career growth opportunities, the ability to take time off for personal reasons, and merit-based promotions if they vote to unionize. "The quality of your work may not even be a factor," the talking points read. It has also instructed managers to tell workers that if they unionize they could face "fewer opportunities," have less "flexibility," and that the company will pay "less attention to merit."

In recent weeks, the first three Apple stores ever filed for union elections, in Atlanta, New York City, and Towson, Maryland. If any of them vote to unionize, workers could form the first Apple retail union in the United States.

Motherboard obtained and verified Apple's talking points, which were attached to an email sent to Apple store leaders. "What makes a store great is having a team that works together well," one of the talking points says. "That can't always happen when a union represents a store's team members." vice.com

All of Those Quitters? They're at Work!
The 'Great Resignation' led most to new jobs

The Great Resignation was a moment many people traded up for a better-paying gig.

More than 40 million people left their jobs last year, many in retail and hospitality. It was called the Great Resignation, and then a rush of other names: the Great Renegotiation, the Great Reshuffle, the Great Rethink. But people weren't leaving work altogether. They still had to make money.

Much of the pandemic stimulus aid stopped by the fall, and savings rates dropped to their lowest in nine years, 6.4 percent, by January. What workers realized, though, is that they could find better ways to earn a living. Higher pay. Stable hours. Flexibility. They expected more from their employers, and appeared to be getting it.

Across the country, workers were flush with opportunities and could rebuff what they'd once been forced to tolerate - whether rigid bosses or customer abuse. And to keep businesses running, bosses had to start listening.

Many of last year's job quitters are actually job swappers, according to data from the Bureau of Labor Statistics and the census, which shows a nearly one-to-one correlation between the rate of quitting and swapping. Those job switchers have tended to be in leisure, hospitality and retail. In leisure and hospitality, the rate of workers quitting rose to nearly 6 percent from 4 since the pandemic began; in retail it jumped to nearly 5 percent from 3.5. White collar employers still struggled to hire, but they saw far fewer resignations. nytimes.com

Companies, Including Retailers, Double Down Against Russia
Over 100 companies including Microsoft, Unilever, and H&M say the EU should 'double down' against Russia

Over 100 companies including Microsoft and H&M signed the open letter to the EU published Wednesday.

As the Ukraine war puts pressure on Europe to ban Russian oil imports, a group of CEOs and business execs say the EU should "double down" on its transition to renewable energy.

In a letter to the EU, over 100 companies including Microsoft, Unilever, Neiman Marcus, and H&M urged the European Commission on Wednesday to incorporate long-term sustainability goals into any proposed sanctions on Russia's energy sector.

The European Commission proposed an embargo on Russian oil last week that would ban crude oil imports within six months and cut off refined oil imports by the end of this year.  businessinsider.com

Register Now!
IAFCI Annual Spotlight on Fraud Conference
The International Association of Financial Crimes Investigators (IAFCI) Connecticut Chapter annual Spotlight on Fraud Conference is set for June 9-10, 2022 at Mohegan Sun Casino Uncasville, CT. This is a great opportunity to hear about some recent financial crime trends and how to address and prevent them.

Not only retail crime but also cryptocurrency, social media investigations and many more presentations. This is also a great opportunity to network with various branches of federal, state and local law enforcement and the financial investigators industry. Come and hear some awesome presentations.

Conference Agenda | Registration Information

Dollar Tree taps former Dollar General execs for help with supply chain, merchandising
After a board shakeup earlier this year, Dollar Tree brought in two new executives who both previously held leadership roles at rival Dollar General.

NY Senate passes bill banning sale of dogs, cats, rabbits in retail stores

Global Security Exchange (GSX) Unveils Keynotes, Education Program

Fresno, CA: Smash-and-grab burglary caught on camera at CVS
A shameless crime was caught on camera at a northwest Fresno pharmacy, but a crime police couldn't do anything about -- at least until Action News got involved. Customers at the CVS on Herndon and West knew exactly what they were seeing Wednesday evening. Three people accessed the locked liquor cabinet, grabbed as much as they could get and walked right out of the store with bags full of booze. "It's horrifying," said Fresno County district attorney Lisa Smittcamp. "What do you say? It's just such horrible, egregious behavior. It makes us feel unsafe. It makes the prices of retail products go up. And we all pay for it." Smittcamp's office would prosecute anyone charged with a crime based on the video. It might not be as easy as it seems. CVS employees did not initially report the crime after it happened on Wednesday night. But after seeing the video on Thursday, police sent an officer to investigate. Police collected possible fingerprints and other evidence from the store. A CVS public relations manager didn't explain why employees wouldn't call police immediately, but told Action News they're fully cooperating with the police investigation. abc30.com

Trio charged in Organized Theft Ring that targeted Lowe's stores
Three people have been charged in connection with an organized theft ring that ripped off Lowe's stores at least 17 times in a year in the Las Vegas Valley. Michael Hunter, 45, Jason Collins, 51, and Antoinette Loccisana, 56, were being held Thursday morning at the Clark County Detention Center. Hunter and Collins each face charges of burglary, grand larceny and conspiracy. Loccisana is facing charges of burglary and conspiracy. An arrest warrant filed in Las Vegas Justice Court for the trio on April 13 states that they were arrested after Lowe's stores in Las Vegas and North Las Vegas reported to police that they were repeatedly victimized by an "organized retail theft crew." The crimes started in the fall of 2020 and continued through 2021. In almost all of the cases, Las Vegas police said, Collins would enter a Lowe's store and grab a shopping cart. A couple of minutes later, police said, Hunter would enter the store. The pair would typically head toward the power equipment aisles, grab items, then walk out an exit of the gardening center without paying, according to police. Items stolen included power washers, generators, blowers and chainsaws. The value of the items, police said, exceeded $21,000. presslasvegas.com

Hoover, AL: Four people wanted after several designer handbags stolen from Belk
Police are searching for a group of four people who are wanted for questioning after eight designer handbags were stolen from a Belk store inside the Riverchase Galleria. The Hoover Police Department said the bags were stolen on April 20 and their total value is over $12,000. Police said the four worked together to take possession of seven Louis Vuitton handbags and one Dior handbag, then ran out of the store without attempting to pay. Detectives believe that the people in this same group are suspects in similar thefts from Belk at the Summit in Birmingham and a Belk in Huntsville. abc3340.com

Cleveland, OH: Trio Stole More Than $13,000 In Merchandise From Walmart
Three people are accused of stealing over $13,000 in merchandise from Walmart at 5141 NC Highway 42 West in the Cleveland community. The thefts occurred between March 22 and April 2. Two of the suspects are former employees at Walmart, 18 year-old Mia Nanette Alamia and a 17 year-old male juvenile. The third suspect is Alamia's father, identified as Oscar Soto, 33. On several occasions over multiple days, Walmart loss prevention reportedly observed the two employees leave the store without paying for merchandise and place the merchandise in a car. Soto reportedly was inside the store and allegedly assisted with the thefts. Walmart reported $13,054.48 in items stolen during the scheme, including six iPhones, one Apple watch, two iPads, a trampoline, 7 fishing poles, two packs of Pampers, crock pot, ice maker, 12 volt toy Jeep, power washer, and a twin mattress. jocoreport.com

Yonkers, NY: NYPD looking for 4 suspects in $100k Jewelry store Smash & Grab
Police are investigating a smash-and-grab at a Yonkers jewelry store Thursday evening. They say the theft took place at Golden Square Jewelry, located on South Broadway around 5:20 p.m. Officials say four men walked up to the storefront, took a sledgehammer to the window and stole jewelry that the owners say is worth $100,000. westchester.news12.com

Tampa, FL: 2 men stole $66K worth of handbags from boutique, warrant says
Two men stole 45 designer handbags valued at $66,840 from a Tampa boutique in March, according to a search warrant filed in Hillsborough County District Court. The theft took place about 2 a.m. on March 7 when the men used a crowbar to shatter a glass window and enter Couture Designer Resale Boutique on Montague St. in Westchase, the warrant says. Security footage captured the men grabbing the bags and fleeing in a black 2017 Ford Explorer. Hillsborough deputies say they chased the vehicle until its occupants abandoned on N Dale Mabry Highway - with the handbags still inside. tampabay.com

Moore, OK Burglars with sledgehammer hit Drone store; over $10,000 in merchandise stolen

Dallas, TX: 4 men accused of stealing 80 gallons of fuel using electronic device