Home Depot Inc.’s CEO Ted Decker emphasizes the company’s commitment to major US cities amidst a surge in retail theft. The retailer has experienced a significant increase in theft over the past five years, with over 142,000 instances of shrink in 2023 alone. Decker attributes this rise to societal problems and highlights the impact on the company’s cost structure, which has absorbed billions of dollars due to theft-related losses.
A notable case involved an organized crime ring in Florida led by a former pastor, which stole millions in home-improvement merchandise from Home Depot. Despite challenges, Home Depot remains in cities where other retailers have closed due to rising crime rates. However, plans for new stores have been adjusted to mitigate potential losses and ensure employee safety.
Efforts to combat theft include technological investments such as locking shopping carts, license-plate-recognition cameras, and a theft-reporting portal for employees. Chief Financial Officer Richard McPhail underscores the significance of merchandise losses, making it a top financial priority for the company.
