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Buddy Punching Inflates Labor Prices however You Can Banish It at Your Enterprise


Buddy Punching Inflates Labor Prices however You Can Banish It at Your Enterprise

There are a number of methods staff inflate their paychecks and buddy punching is likely one of the most costly. With a buddy punching scheme, an worker clocks in for a “buddy” that’s not at work. The worker might or might not arrive in the course of the shift however will receives a commission for the total shift no matter precise time labored.

The same scenario is when the “buddy” leaves early with out punching out and the co-worker punches out for them on the finish of the shift. The dishonest worker not solely avoids a decreased paycheck, they escape any repercussions for time and attendance violations.

U.S. employers lose over $370 million a yr to buddy clocking fraud. Flagrant abusers can value their employers hundreds of {dollars} yearly.

Automated timekeeping techniques stop each buddy clocking and timecard fraud, one other type of time theft. With timecard fraud, a dishonest worker falsifies punch occasions on paper timesheets to inflate hours labored. As a result of automated timekeeping platforms create digital timecards and replace them in actual time, staff can’t alter them with out supervisor approval.

Let’s Do the Math for Two Forms of Hours Theft


How a lot does worker time theft value you? Let’s do the mathematics for 2 widespread situations – buddy punching and hours padding.

The primary instance entails buddy punching. Two $18/hour staff every miss one 8-hour shift monthly however are paid for it as a result of their buddy clocks in for them. You’d overpay $288 monthly and $3456 yearly. Bear in mind, it is a conservative two shifts monthly. At many small companies, buddy punching occurs extra often.

In our second instance, suppose you utilize paper timesheets. In your workforce, 20 staff add what they take into account to be a negligible 10 minutes every day. They might document the common shift begin time although they arrive 10 minutes late, or go away early however document the precise shift finish time on the timecard.

In the event that they common $15/hour, you’ll find yourself overpaying the next:

  • $250 every week
  • $1000 every month
  • $12,000 annually!


Any small enterprise proprietor may consider 100 higher issues to do with 12K annually. Improve advertising. Improve gear. Rent one other worker. Enhance worker incentives!

Case Research: Restaurant Solves Worker Time Theft


A Los Angeles-based 30-employee restaurant added an automatic timekeeping system and biometric time clock. They didn’t know that earlier than automation, a couple of staff engaged in buddy punching and early clocking. The facial recognition clock made buddy punching not possible. Early punch lockout prevented staff from padding their hours by clocking in early.

The end result? Complete payroll prices fell by 4% with no impression on the visitor expertise.

When you’ve got a small enterprise, you’re dropping cash to time theft. Automated timekeeping is the answer.  Considering automated time and labor that will help you get monetary savings? Name us in the present day.  To study precisely how a lot it can save you with automated time and labor, strive our Time and Attendance ROI Calculator.

This info is supplied with the understanding that Payroll Companions will not be rendering authorized, human sources, or different skilled recommendation or service. Skilled recommendation on particular points ought to be sought from a lawyer, HR guide or different skilled.

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