Foreign Group Shoplifting on the Rise: Uniqlo Takes a Bold Stand with Full Compensation Claims
Vietnamese Nationals Dominate Shoplifting Arrests
Shoplifting by foreign groups has surged across Japan, prompting Fast Retailing—the parent company of the Uniqlo clothing chain—to announce a tough new policy this month. The company will now pursue civil claims for all damages against identified shoplifters. This comes as shoplifting incidents plague not only Uniqlo but also drugstores nationwide, with estimated annual losses exceeding 300 billion yen (approximately $2 billion USD). While few affected companies currently seek compensation, industry groups predict Uniqlo’s move could spark a trend among other businesses.
Confessions of Shoplifters: “I Stole for Money and Survival”
Three Vietnamese women in their 30s and 40s, arrested last year by Osaka Prefectural Police for stealing clothing from a Uniqlo store in Osaka, shed light on their motives. “I was told I’d get paid if I stole specific items,” one reportedly said, while another added, “It was for living expenses.”
Operating under instructions from individuals in Vietnam, the trio traveled between Japan and Vietnam, earning 170,000 to 210,000 yen (about $1,100–$1,400 USD) per trip. Their shoplifting spree spanned 37 incidents across four prefectures—including Osaka, Hyogo, and Tokyo—racking up damages of roughly 12.3 million yen ($82,000 USD). One woman admitted, “I got enough money to live on for nearly three months.”
Group shoplifting by Vietnamese nationals isn’t isolated to Osaka. Last February, Fukuoka Prefectural Police arrested four individuals after confirming 20 million yen ($133,000 USD) in damages across eight prefectures, primarily at Uniqlo stores. Nationwide, the National Police Agency reports that Vietnamese nationals account for 50–70% of foreigners arrested for shoplifting in recent years.
Uniqlo’s Firm Stance: Court Action if Necessary
On the 9th of this month, Fast Retailing, which operates around 790 Uniqlo stores across Japan, vowed to escalate its anti-shoplifting measures. Beyond filing police reports and criminal complaints, the company will now seek full compensation—including stolen goods and related losses—through civil lawsuits if needed. “We’re taking a firm stance to ensure a safe shopping environment,” the company declared.
The National Shoplifting Prevention Organization (NSPO), a Tokyo-based nonprofit with about 160 member companies including Fast Retailing, estimates annual shoplifting losses at 346 billion yen ($2.3 billion USD). Yet, only 10.9% of companies (29 out of 266) surveyed in 2024 reported claiming compensation—a figure barely up from 8.8% (28 companies) in 2010. NSPO Secretary General Takayoshi Domon blames low awareness and the perceived hassle of claim procedures, noting, “Even with massive damages, society—including retailers—still doesn’t see shoplifting as a pressing issue.”
A Fast Retailing spokesperson declined to disclose specific shoplifting figures or the “unexplained loss rate” (inventory discrepancies) but highlighted years of efforts like staff retraining and security camera installations. “The situation has improved considerably,” they said, though ongoing thefts prompted this “next step toward eradication” via stronger civil action.
Domon predicts compensation claims will rise, adding that the NSPO plans to offer consultation and support to encourage more companies to follow suit.
A Bookstore Chain’s 20-Year Success with Compensation Claims
One company leading the charge is Sanyodo Holdings, a Nagoya-based chain operating about 65 bookstores, mainly in the Tokai region. For two decades, Sanyodo has pursued compensation from shoplifters, posting notices in stores to deter theft. The result? A significant drop in “unexplained losses” tied to shoplifting.
Sanyodo’s claims cover not just the cost of stolen goods—often discarded after recovery—but also labor costs for police procedures. “When we take a shoplifter to the police, our staff are tied up for hours. We bill the thief for every minute,” a company representative explained. In fiscal 2024, Sanyodo filed 87 claims worth 6.21 million yen ($41,000 USD), recovering 5.74 million yen ($38,000 USD) from 75 cases, including over 820,000 yen ($5,400 USD) in labor costs. Each year, these recovered labor costs are donated to the NSPO to bolster broader anti-shoplifting efforts.
Before implementing claims, Sanyodo’s unexplained loss rate hovered around 1.1%. After 20 years, it’s fallen to 0.5% for books, proving the deterrent effect. The company also mandates that store managers earn the NSPO’s “Loss Prevention Specialist” certification to master compensation claim know-how.
What Is “Unexplained Loss”?
In retail, “unexplained loss” refers to inventory shortages during stocktaking that can’t be traced to a specific cause. According to the NSPO’s 2024 survey, companies attribute these losses to shoplifting (41.4%), management errors (38.0%), and employee theft (2.7%), among other factors.
Uniqlo’s bold policy shift and Sanyodo’s long-term success signal a potential turning point in Japan’s fight against shoplifting. As foreign group thefts persist, more retailers may adopt compensation claims to protect their businesses—and their bottom lines.
