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Spike In Shoplifting Shows Many Americans Are Reaching Their Fiscal Limits

In 1906, American journalist Alfred Henry Lewis stated, “There are only nine meals between mankind and anarchy.” Currently, more than 20 million Americans are on some form of unemployment assistance, 12 million of which will run out of benefits the day after Christmas unless new relief is passed through Congress. Although unemployment numbers have improved over the last several months, many Americans have turned to theft to keep their stomachs filled.

Shoplifting has spiked dramatically since the start of the pandemic and this could spell out major troubles for the short-term health of Americans’ personal economies with the potential to generate widespread unforeseen consequences. This spike is not unique to the COVID-19 outbreak. According to the National Association for Shoplifting Prevention, nationwide crises precipitate spikes in shoplifting, such as after 9/11 where shoplifting increased by 16% and 34% following the 2008 recession. However, what is unique to this spike is that it is largely attributed to theft of staples like bread, pasta and baby formula.

54 million Americans will struggle with hunger this year, a 45% increase from last year, according to the US Department of Agriculture. Food aid programs such as SNAP and WIC have been reduced and other federal assistance is at the brink of expiration, food banks and pantries are inundated and reports of hour-long waits in lines that stretch into the thousands.

According to a study by buiness.org, 88% of small businesses experience some amount of shoplifting with 40% having reported increases to shoplifting since the pandemic began. Theft from unemployed Americans is one thing, but it turns out that 1 in 3 employees get caught stealing from small business, according to the same study. Over 1 in 4 of these shoplifting incidents become violent.

Consequently, 32% of small businesses have increased the prices of their products to compensate for the increased disappearance of inventory. This increase in prices may create a dangerous feedback loop where individuals have begun to steal. First, a shop increases prices, then more individuals who were not previously stealing because they could afford the retail cost now begin to steal out of necessity. If enough theft occurs, small businesses may be forced to shut down and the newly unemployed from those shutdowns would now be much more likely to engage in theft from others to survive just like their peers.

Are you struggling to make ends meet during the pandemic? Don’t do anything extreme that could put you in hot water. Explore your legal options for relief and see how filing for bankruptcy can help you.

If you have questions about how bankruptcy can provide you with immediate financial relief, please feel free to reach out to your Modesto bankruptcy attorney at 209­438-4990.

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