Inside Australia’s retail crime crisis: Why independents are on the front line

The latest data from the Australian Bureau of Statistics underlines an issue that has been gaining traction in the retail sector since Super Retail Group CEO Anthony Heraghty revealed the impact of organised theft on the company’s earnings call last month. According to the ABS recorded crime (victims) data, theft reached its highest level in over two decades last year, with 595,660 Australians falling victim, and almost half of these incidents occurring in retail settings. The Australian Retailers Association (ARA) has described the situation as a “full-scale retail crime crisis.” CEO Chris Rodwell said the figures “paint an appalling picture of the state of retail crime across the country and the impact on innocent victims.” Rodwell said Australians are confronting the fear and reality of retail crime daily. “Thefts at retail locations rose from 32 per cent of all thefts in 2010 to 45 per cent last year, with the number of incidents at the highest recorded level in more than two decades. The number of incidents continues to surge. In Victoria, the situation is particularly grim with a 29 per cent increase in theft in 2024,” he said in a statement. A pressing safety matterRodwell emphasised that, beyond financial loss, threatening events are a serious safety concern.“What concerns us most is the 52 per cent increase in threatening events, because beyond the economic cost, this is a very significant safety issue, not just for the workers, but the customers as well… we do need all governments to do a bit more heavy lifting when it comes to retail crime,” Rodwell said in an interview with Sky News Australia. Recently, Kmart Group has advertised for a Retail Crime Lead to tackle crime across stores, e-commerce and supply chains. The role will analyse trends, oversee detection platforms and work with investigations teams and law enforcement to safeguard staff, customers and operations. Similar job postings suggest the demand for these roles is only set to grow.For independent retailers, the stakes are particularly high. Unlike major chains, they often operate on tighter margins and with smaller teams. The financial impact of retail crime is significant, and retailers are spending more on security, staff training and loss prevention, costs that are ultimately passed on to consumers. Rodwell warned the consequences go beyond individual businesses.“We need to act now. There are far too many innocent victims – team members and customers – across the country. The financial impact on businesses is also unsustainable and ultimately adds to the price at the checkout.”Retailers are pursuing solutions on multiple fronts, with Rodwell highlighting the need for legislative measures.“We’re calling for urgent and decisive action from our political leaders – including premiers, police ministers and attorneys general – to address this scourge of retail crime. In particular, we need to see workplace protection orders introduced as an urgent priority, as they have been in the ACT. We also need to see tougher legislation in place in Victoria and other jurisdictions that are lagging behind best practice.”Technological interventions are also on the table as Rodwell told Sky News Australia, “There are specific requirements for the federal government around managing organised crime and also thinking about how we use facial recognition technology as part of the solution.” He noted in an ARA press release that tools such as body-worn cameras and other technologies have been effective globally and could play a role if implemented responsibly.The industry impact is profound. Staff morale is affected, and retention is under pressure as employees weigh their safety against the need to work. Independent operators face the dual challenge of protecting their stores while competing with larger chains, and for some, the choice is stark.When independents confront retail violenceShane Kensett, owner of Dicky Beach IGA on the Sunshine Coast, has called for greater support for retail workers after an alleged attack left him with black eyes, a broken nose, six stitches and a concussion. The incident occurred just over a week ago, after Kensett confronted a teenager over an alleged theft. Six boys, aged 14 to 17, have since been charged with offences including assault occasioning bodily harm and acts intended to maim.Speaking to the Courier Mail, Kensett said that “support should be afforded to any worker anywhere to allow them to be and feel safe during their shift.” Kensett also emphasised the growing brazenness of thieves over the past year, noting that some youths see stealing as a way “to show they were cool, with a limited chance of any repercussion.”Since the attack, Kensett has implemented safety measures in his store, including moving scissors behind the counter, and has backed the Courier Mail’s campaign against retail violence.The attack on Kensett is not an isolated incident. In Sydney, a convenience store owner told the Daily Telegraph that theft and abuse have become an almost daily occurrence, leaving frontline staff fearful and exhausted. Both the personal danger faced by workers and the sheer scale of losses highlight how smaller retailers are bearing the brunt of a crime wave that is becoming more violent and more organised.Ultimately, retail crime is about more than lost merchandise. It affects communities, livelihoods and the daily lives of thousands of Australians working in stores nationwide.Independent retailers are particularly vulnerable, as staff safety, morale and business sustainability are intertwined with crime management. Without urgent legislative action, the cost of retail crime may continue to ripple through the sector from staff wellbeing to consumer prices, threatening the integrity of Australia’s retail landscape.The question now is whether governments and the industry can act fast enough. As Rodwell said, “We need to act now.” For independent retailers and their teams, the clock is already ticking.Further reading: When shoplifting turns organised: Retail’s $9b battle with crime.