Reporting a Concern — Compliance Scenario

My Coworkers Have Been Stealing Office Supplies for Months. Do I Have to Report It?

A real workplace compliance scenario — with three decision options and the right answer.

The Situation

Two people on your team have been taking office supplies — pens, paper, printer ink, and similar items — and bringing them home for personal use. You’ve noticed this happening for several months. The amounts are small, and both colleagues do good work. You haven’t said anything because it feels minor and you don’t want to get anyone in trouble. You’re wondering why the company isn’t doing anything about it — but then again, you haven’t told anyone. Are you in the wrong here?

Continue saying nothing. The amounts are small, both colleagues perform well, and reporting them would damage working relationships over something that feels trivial. It’s not your responsibility to police your coworkers.

Report the situation to your manager, HR, or through the compliance hotline. Every employee is required to report known violations of the Code of Conduct. Until someone reports the theft, the company cannot address it — and continuing to observe it without reporting is itself a policy violation.

Tell the colleagues directly that you’ve noticed and ask them to stop. Handle it informally to avoid escalating a minor situation into an HR matter.

The Right Call

Choice B — Report it through the proper channel.

The most likely reason the company hasn’t done anything about the theft is that no one has told them. Until someone reports the problem, it cannot be addressed and corrected. Every employee is required to report violations of the Code of Conduct — and failing to report a known violation can itself result in disciplinary action. The reporter is not responsible for deciding the consequences. That is the compliance process’s job. The reporter’s obligation is simply to report what they know.

The “small amount” framing reduces the perceived urgency.

Office supply theft feels like a minor issue — and individually, any single item is minor. But the reporting obligation isn’t triggered by materiality. It’s triggered by knowledge of a policy violation. An employee who knows colleagues are systematically taking company property has knowledge of an ongoing Code of Conduct violation — the size of the items doesn’t change the nature of the situation.

Good performers are not exempt from Code of Conduct obligations.

The fact that both colleagues “do good work” is irrelevant to whether their conduct violates policy. Code of Conduct obligations apply to all employees regardless of performance level. An employee who factors performance into their reporting decisions is applying a standard that the Code of Conduct does not recognize.

Direct confrontation (Choice C) is not the right channel.

Telling colleagues informally that you’ve noticed the theft puts the employee in the position of enforcing policy without the authority to do so—and potentially exposes them to retaliation if colleagues respond negatively. The compliance reporting channel exists specifically so that employees with knowledge of violations don’t have to handle enforcement themselves. Using it is appropriate and protected.

Am I required to report a coworker I know is stealing?

Yes. Most Code of Conduct policies include an affirmative duty to report known violations — not merely a permission to do so. An employee who observes an ongoing policy violation and says nothing is failing to meet their reporting obligation, which can itself result in disciplinary action. Reporting is not optional when the violation is known.

What happens after I report a coworker for theft?

The investigation and any consequences are the compliance team’s responsibility — not yours. Your role is to report what you observed. The company investigates, determines the facts, and decides on the appropriate response. The reporter is not responsible for the outcome and should not factor anticipated consequences into the decision to report.

Can I report anonymously?

Most organizations offer anonymous reporting through a compliance hotline. Anonymous reports receive the same level of investigation as identified reports. If confidentiality is a concern, the hotline is the appropriate channel — it is specifically designed to enable reporting without requiring the reporter to identify themselves.

What if I’m not 100% sure the items are being stolen — maybe they’re authorized?

You don’t need certainty before reporting. If you have observed behavior that reasonably appears to be a policy violation, reporting your observation — including your uncertainty — is appropriate. The investigation process is designed to determine the facts. Reporting a concern that turns out to have an innocent explanation is protected conduct under the non-retaliation policy.

Could I face consequences for not reporting theft I knew about?

Yes, potentially. Many Code of Conduct policies explicitly state that failure to report a known violation is itself a violation, subject to disciplinary action. An employee who observes ongoing theft for months without reporting is making an active decision not to fulfill a compliance obligation — and that decision can be addressed in the same way as other Code of Conduct violations.

How to Use This Code of Conduct Scenario in Training

Reporting and non-retaliation training establishes the policy. This scenario makes it stick.

This Code of Conduct scenario is particularly effective for building understanding of the affirmative reporting duty — many employees believe reporting is optional rather than required. The office supply context is intentionally ordinary, showing that the reporting obligation applies to everyday workplace observations, not just major incidents.

More Compliance Scenarios

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