“Buddy Punching” is costing businesses millions

Alyssa Fernandez

23 August 2017    |   

According to the latest research, “Buddy Punching” is costing US businesses USD373 Million (or AUD471 Million*) annually. If you don’t know what buddy punching is, it is the practice of an employee clocking in at the office’s Bundy clock on behalf of another who might be coming in late for work. The practice of buddy punching isn’t limited to cases of people avoiding being late. This practice is also used when employees ask their buddies to clock in and out for them even if they are not at work. This tricks employers to pay them for the time that they didn’t work at all. This is among one of the most popular examples of time theft, commonplace at businesses that don’t use employee time clock software. In a study done by Software Advice, 43% of surveyed employees admitted to committing time theft. Read: How to Eliminate Time Theft What must your business do to avoid “buddy punching”? With more access to mobile communication tools, it is becoming easier for employees to coordinate buddy punching. As consumer technology is rapidly evolving, business tools must evolve as well. Old-school Bundy clocks or paper timesheets are not gonna cut it anymore. Biometric time clock devices may solve this age-old practice. However, these systems are costly and prone to problems of its own. Using cloud-based employee time clock software is a more viable option for businesses. Since it can use existing tablets to host the application, you don’t need to purchase new hardware. Make sure that it has everything you need to ensure that employees don’t buddy punch for each other. Features you should for in an employee time clock software are unique PIN input, photo verification, and a live feed feature that lets employers check in real-time who really are at work.

According to the latest research, “Buddy Punching” is costing US businesses USD373 Million (or AUD471 Million*) annually. If you don’t know what buddy punching is, it is the practice of an employee clocking in at the office’s Bundy clock on behalf of another who might be coming in late for work.

The practice of buddy punching isn’t limited to cases of people avoiding being late. This practice is also used when employees ask their buddies to clock in and out for them even if they are not at work. This tricks employers to pay them for the time that they didn’t work at all.

This is among one of the most popular examples of time theft, commonplace at businesses that don’t use employee time clock software. In a study done by Software Advice, 43% of surveyed employees admitted to committing time theft.

Read: How to Eliminate Time Theft

What must your business do to avoid “buddy punching”?

With more access to mobile communication tools, it is becoming easier for employees to coordinate buddy punching. As consumer technology is rapidly evolving, business tools must evolve as well. Old-school Bundy clocks or paper timesheets are not gonna cut it anymore. Biometric time clock devices may solve this age-old practice. However, these systems are costly and prone to problems of its own.

Using cloud-based employee time clock software is a more viable option for businesses. Since it can use existing tablets to host the application, you don’t need to purchase new hardware. Make sure that it has everything you need to ensure that employees don’t buddy punch for each other. Features you should for in an employee time clock software are unique PIN input, photo verification, and a live feed feature that lets employers check in real-time who really are at work.

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About the author

Alyssa Fernandez

Alyssa Paula is a left-handed creative based in Manila. Having a knack for design, branding, and copywriting, she creates tasteful graphics and copy, and develops marketing strategies for Tanda, the world's #1 workforce success platform.

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