Studies show that white-collar theft is increasing. For example, studies by the Department of Commerce, American Management Association and other organizations estimate that employees steal over a billion dollars a week from their unknowing employers (Wang & Kleiner, 2005). Other studies estimate that nearly one-third of all bankruptcies are caused by employee theft and it takes approximately $20 in sales to offset every $ 1 lost to theft. In business, surveys indicate that the vast majority of executives believe it is wrong for their employees to lie to them, but one-third approve of their employees telling untruths to their customers and one-half think it is acceptable to lie to safeguard the company (Shellenbarger, 2005).
             Employees often rationalize their motivation to steal as opportunities created by management, not their financial need. Their reason is the perceived belief that management is stealing also, so it is acceptable for them to do so. This condition proves the point that, if management wants a theft-free work environment, it must set the example of honesty and adherence to policies. In addition, some other common examples of employee rationale for theft include:
             * I am underpaid and I am only taking what I deserve.
             * Everybody does it, besides, they can write it off.
             * The company makes a large profit and I deserve some of it.
             * The company angered me and I got back at them (Wang & Kleiner, 2005)
             McDonnell (2006) says it is easy to blame top executives for creating the kind of environment that fosters dishonesty. One employee said that his prior company, a New York headhunting firm, is run by "people slimier than the bottom of a bottle of Wesson." Amid a lack of strong policies and an abundance of bad examples at the top, "everything from regularly calling in 'sick' to stretching revenue forecasts was acceptable." Any lie has hidden costs, not only in teamwork and productivity, but in an employees' o...