Experts say that 96 percent of corporate whistleblowers first report their issues to the company before going to the government. With the enormous potential for liability that comes with the wrongdoing called out by whistleblowers, it’s advantageous to keep those calls inside the company, notes Brian Mead of DLA Piper. Not only can a company investigate and remediate the issue before the media or regulators get wind of an incident, internal reporting also creates a stronger ethical company culture.
Here are some of Mead’s tips for making sure the company is receiving and retaining internal whistleblower reports:
- Communicate Clearly: Regularly remind employees they can make confidential complaints, and tell them exactly where and how to do so. “With an effective system, a simple search of a company’s intranet should lead directly to the reporting system,” he says.
- Customize Investigations: Devise a system that staffs investigations based on violations, seriousness of the accusations, business sector and office location. “Targeted assignment will match an investigator with financial expertise to a claim of accounting fraud but an HR investigator to claims of pay disparities,” Mead says.
- Update the Whistleblower: This aspect is easy to overlook but is crucial. Tell the whistleblower who is investigating and when he or she will next be updated. “These measures will help make sure the whistleblower trusts the company’s investigation and does not feel (compelled) to resort to external reporting for lack of response,” he says.
