What type of theft is never committed by an employee?

The correct answer is that external theft is never committed by an employee because this type of theft refers specifically to incidents where individuals outside of the organization or business steal goods or property. External theft entails actions taken by non-employees or outsiders, such as shoplifters or burglars, who illegally take items with no affiliation to the company or organization.

In contrast, internal theft can be committed by employees, as it involves individuals stealing from within the organization. Pilferage refers to the act of stealing small amounts or items, often conducted by employees over time, which would also be considered a form of internal theft. Similarly, petty theft generally involves minor thefts that can be executed by anyone, including employees, making it unrelated to external theft. Hence, external theft is distinctly categorized as acts carried out by those who do not have formal employment or ties to the business.