Oireachtas Joint and Select Committees

Tuesday, 24 April 2018

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Cost of Doing Business in Ireland: Discussion (Resumed)

4:00 pm

Mr. Daragh Connolly:

I am the president of the Irish Pharmacy Union. I am joined today by my colleagues, Ms Ann-Marie Horan, a fellow pharmacist and member of the IPU executive committee, and Mr. Jim Curran, IPU director of communications and strategy. The IPU has 2,200 members and is the representative and professional body for community pharmacists in the community. Members are committed to delivering a quality, accessible, personal and professional pharmacy service that puts patients first and has as its primary goal the optimisation of the health and well-being of society.

Crime against businesses, and pharmacies in particular, is not a new phenomenon but is an issue that has been impacting on our members over a considerable period. Pharmacies throughout the country have been subjected to criminal activity on an ongoing basis and the problem continues to get worse. I intend to briefly run through the following areas: types of criminal activity our members are facing; the cost and impact of crime against pharmacies; reporting of crime; and what needs to be done to protect pharmacy staff.

Our latest crime survey, which was issued in February of this year, found that four out of five pharmacies had been the victim of crime in 2017. This represented an increase on the previous year and was up nine percentage points since 2012. The survey reveals that crimes against pharmacies are not isolated incidents with 81% of victims reporting having experienced two or more incidents during 2017.

The type of crime perpetrated against pharmacies varies from staff pilferage and shoplifting to more serious crimes, including break-ins and raids. For example, 89% of pharmacies that were victims of crime experienced shoplifting, 17% were victims of a break-in and 16% were victims of fraud. The number of pharmacists who experienced a raid, at 13%, had more than doubled since the previous year. This highlights the ongoing threat that remains.

Of particular concern is that almost one case in three involving a robbery or raid was described as violent or involved the use of a weapon. A knife was used in 77% of robberies or raids where a weapon was presented, a syringe was used in 15% of cases and a gun 8% of the time. The more violent crimes committed against pharmacies involve gangs who come in with a syringe, knife, gun or hatchet demanding prescription drugs such as benzodiazepines, opiates and z-drugs such as sleeping pills. They are more likely to come into the pharmacy when it is open because they would not be able to access the drugs or cash themselves in an out-of-hours raid. In one out of every four cases controlled drugs or prescription medicines were taken and cash was taken in 21% of cases. In 11% of cases over-the-counter drugs were taken. Cosmetics and fake tan are the most likely items to be shoplifted in pharmacies.

The cost and impact of crime against pharmacies is significant. In 2017 the average cost per pharmacy of criminal activity was €4,300. While this does not seem like a large figure, it does not take into account the significant additional costs that pharmacies face to protect and insure their premises. For instance, 97% of pharmacies have CCTV, 96% have alarms, 20% are using tagging systems and 6% need to have a security guard on the premises. The most significant costs, however, are the hidden costs. These include the impact on pharmacy owners, their staff and their customers. As I have already outlined, a significant number of robberies involve violence. It is difficult enough to run a pharmacy in the current environment without repeatedly being the target for criminal activity. Not only do these crimes have significant cost implications but, more important, they have a very real and detrimental impact on the people working in the pharmacy. Crime has a negative impact on staff morale, with the psychological aftermath and traumatic effects of these crimes, especially violent crimes, leading to increased levels of absenteeism. We are also aware of several cases in which customers have indicated a reluctance to return to a particular pharmacy in the aftermath of a violent incident.

There is a perception that crimes against business are victimless. Consequently, they are not treated as seriously as they should be. The safety of pharmacists, staff and customers is being put at risk by criminals and this cannot be tolerated. Crime also damages businesses, threatens jobs and negatively impacts on staff morale. These hidden costs can have a far bigger impact on the pharmacy business than the direct costs of damage and loss.

Almost three quarters of pharmacy owners who experienced crime reported the case to the Garda and four out of five were happy that their case was dealt with effectively and adequately. However, almost half of those pharmacists who decided not to report a crime refrained from doing so because they believed the perpetrator would not be charged. One in four indicated that they had no confidence in the Garda response. Of those who decided not to report the crime, almost half had a lack of faith that the perpetrator would be charged. This issue raises a wider question about the confidence pharmacists have in the law and the enforcement system. We are aware from research and anecdotes that there are major concerns within pharmacy about the ability of the law enforcement agencies to adequately deal with the threat of crime and that appropriate penalties for criminal activity are not being applied. Several respondents to our annual crime survey were frustrated with the lack of deterrents for criminals. One respondent said that the culprits know the law better than anyone and so they know how to work the system. He said they often know that they will get away lightly and are not deterred by the prospect of being arrested or jailed. He also said that they do not care about the costs to the business and recommended that there should be a system in place whereby they are made to repay at least some of the costs.

Other respondents were critical of the follow-up to reported crimes, with many confirming that they have received no feedback. They stated:

It is very difficult to obtain status updates on reported crimes. I have reported crimes on many occasions but have rarely received feedback.

Another respondent stated: "On several occasions in the past, I have printed off photos and provided visual footage of thefts taking place, but have never been informed of any conviction.". There are serious reservations with regard to the ability of the justice system to identify and adequately convict perpetrators of crime. There is particular annoyance over the judicial system, primarily due to the leniency in sentences and the feeling that perpetrators are not adequately punished as a deterrent to prevent those committing further criminal acts. One respondent to the survey outlined:

Thieves need tougher sentences. The gardaí make the effort of looking at our CCTV, get the criminals but the problem is with the judges and the court ... the criminals are getting off way too lightly.

Another respondent had an issue with the whole judicial process, confirming that he had to take four days out of his pharmacy to attend court just because the perpetrator "who was caught by the guards coming out of my property at 3 a.m., through a window a witness saw him break, had pleaded innocent.". These comments are typical of the feedback we receive from our members.

There is a general sense that the Garda is doing its best in difficult circumstances and most pharmacy owners are aware of and use the services of their local crime protection officers. Many, however, remain extremely frustrated by Garda response times, the lack of Garda response and follow-up in some instances, and by the general lack of visibility of gardaí on the ground.

What needs to be done? A number of key measures need to be introduced, including more visible policing.There needs to be an increase in the number of gardaí on patrol. One potential way to do this is to increase the civilianisation of administrative duties so that gardaí can concentrate on policing. There must be a fast Garda response to reports of crime. Gardaí have had great success in reducing the level of burglaries since the start of Operation Thor almost two years ago and the high level of crime against pharmacies and their often violent nature indicates there is now a need for a similar targeted Garda operation to specifically tackle crimes against pharmacies. There should be increased installation and use of public CCTV, particularly in town centres. There should also be tougher sentencing. The role of the Judiciary quite clearly needs to be evaluated as the pharmacy sector continues to have very little faith in its ability to address business crime. There needs to be a reassessment of the sentences handed out by the Judiciary when dealing with business crime to ensure that it is an adequate punishment and deterrent. There should be development and implementation of business watch initiatives, ensuring they are promoted effectively to businesses to encourage engagement.

It is not an exaggeration to say that crime against pharmacies has reached crisis levels. Pharmacists who are victims of crime say they are sick and tired of the "revolving door approach", with many complaining that even when the criminals are caught, they are not sufficiently penalised and are allowed to continue with their criminal activities. A zero tolerance approach is urgently required from the Judiciary and the Garda. We need tougher sentencing and a more visible Garda presence to address this scourge. Otherwise, this sinister and frightening pattern of crime on pharmacies will continue to the detriment of our members' pharmacies and staff and the local communities we serve.

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