Research from the American Payroll Association has identified that time theft caused by buddy punching, the act of hourly employees punching someone in or out when they are not at work, can account for up to five percent of the gross payroll in places such as Quick Service restaurants (QSR), according to a QSR Web article.
Further, D.B. Libhart, owner of loss prevention consultancy LossBusters, and Kevin O’Brien, senior account executive with loss prevention company LP Innovations, agree that biometric time and attendance systems are a key solution to this problem that is increasingly present in the QSR industry.
While there are a number of arguments for moving hourly employee payroll operations to a biometric time clock system, O’Brien and Libhart agree that the proven return on investment of these biometric systems is exceptionally high, especially as costs for such systems continue to drop.
Other areas where biometrics are seen as a solution to existing problems with payroll are the removal of replacement of time cards or password retrieval, streamlining payroll processes, requiring in-person manager approval for voids or other authenticated transactions and for accountability of those working registers.
Read the full story here.