If you’re a “formula retailer” in San Francisco (defined as 11 plus stores), you have probably heard of the passage of the Retail Bill of Rights. You can read more here, but in short, the law requires a number of things related to employee hours and pay, including predictable work schedules, better schedule notices, less “on-call” abuse, minimum shift hours, and access to additional hours. There is little doubt that some of these changes will come with a greater financial burden to retailers, but the trade off may be lower shrink.
Whether it is direct cause or simply reflective of the changing dynamics of retail, we know from the statistics provided by the National Retail Security Study (NRSS), or the University of Florida Report, as it is often called, that there is a correlation between the percentage of part-time workers and shrink results. As one would anticipate, the more part-timers making up a company’s workforce, the higher their shrink tends to be. It is not that the presence of part timers causes shrink, but rather three key elements that are pervasive in a part time work force.Read More