Employee Theft in Texas | Houston Employee Theft Attorney

Employee theft is prosecuted under Texas's general theft statute, graded by value — and a position of trust can make it worse. Because employers frequently aggregate many small alleged shortages into one large figure, a workplace-theft case can be charged as a serious felony even without any single large act. These cases also lean heavily on the employer's own records, which are often incomplete, disputed, or self-serving.

If you or a loved one has been accused of theft at work in Houston, Harris County, or Galveston, Brian Foley and Luis Baez — former prosecutors — can help.

What the Law Covers

Employee theft is charged under Texas Penal Code § 31.03, which makes it an offense to unlawfully appropriate property with intent to deprive the owner of it. The offense level is set by value. Under § 31.03(f), the offense is increased to the next higher category when the actor was a public servant who committed the theft in the course of official duties, or was in a contractual or fiduciary relationship (such as many employees) with the owner. Amounts can also be aggregated when part of one continuing scheme.

Penalty Range

Value (may be increased one level for fiduciary/trust)	Offense Level	Punishment
$100 to less than $750	Class B Misdemeanor	Up to 180 days jail; up to $2,000 fine
$750 to less than $2,500	Class A Misdemeanor	Up to 1 year jail; up to $4,000 fine
$2,500 to less than $30,000	State Jail Felony	180 days – 2 years state jail; up to $10,000 fine
$30,000 to less than $150,000	Third-Degree Felony	2 – 10 years prison; up to $10,000 fine
$150,000 to less than $300,000	Second-Degree Felony	2 – 20 years prison; up to $10,000 fine
$300,000 or more	First-Degree Felony	5 – 99 years or life; up to $10,000 fine

How These Cases Are Defended

No intent to steal. Authorization, mistake, sloppy procedures, or a good-faith belief of entitlement all negate the required intent.
Attacking the loss figure. Employers routinely blame one person for inventory "shrinkage" or aggregate shortfalls that have many causes. We demand and dissect the underlying records.
Unreliable internal investigations. Loss-prevention interviews and "confessions" obtained under pressure are frequently challengeable.
Value and aggregation. Disputing value — or improper aggregation — can drop the offense level dramatically.
Restitution and diversion. Repayment and diversion often resolve these cases without a conviction, followed by expunction.

Collateral Consequences

A theft conviction — especially one involving a breach of trust — can end a career and appear on every background check as a crime of dishonesty. Protecting your record and your employability is usually the central goal.

Related Charges

Why HCDA

Brian Foley is Board Certified in Criminal Law, and both he and Luis Baez are former prosecutors. If you or a loved one has been accused of employee theft in Houston, Harris County, or Galveston, contact Houston Criminal Defense Attorneys PLLC for a free, confidential consultation. Call or text (713) 703-1718.

Frequently Asked Questions

How is employee theft charged in Texas?

There is no separate 'employee theft' statute — it is prosecuted as theft under Texas Penal Code § 31.03, graded by the value of what was allegedly taken. However, when an employee occupies a position of trust or acts as a fiduciary, or is a public servant, the offense can be increased by one level above what the value alone would require.

What are the penalties for employee theft?

They follow the theft value ladder: from a Class C misdemeanor (under $100) up to a first-degree felony ($300,000 or more). Because employers often aggregate many small alleged incidents into one large total, an employee-theft case can be charged as a serious felony even when no single act was large.

Can my employer 'press charges' or drop them?

An employer can report a suspected theft, but the decision to prosecute belongs to the State, and an employer cannot simply drop a criminal case once it is filed. Employers also sometimes threaten criminal charges to leverage repayment; we help you respond to both the criminal exposure and any civil demand without making things worse.

How is employee theft defended?

Common defenses include lack of intent to steal (authorization, mistake, or a good-faith belief of entitlement), disputes over accounting and inventory 'shrinkage' wrongly attributed to one person, inflated or aggregated loss figures, and unreliable internal investigations. We scrutinize the employer's records, which are frequently incomplete or self-serving.

Can an employee theft case be resolved without a conviction?

Often, yes. Restitution, civil settlement, diversion, and dismissal are all realistic outcomes, especially for first-time offenders, and a dismissed case can be expunged. Protecting your record — and your ability to keep working — is usually the central goal.