Employees' Text Messaging Is Keeping Corporations Up at Night
Employees' collaboration and communication app usage is outpacing the ability of companies to implement policies. But the not-so-new art of text messaging still has a lot of companies concerned and uninformed, according to a new survey.
November 15, 2019 at 10:30 AM
3 minute read
Text messages are too hot to handle for many financial companies, according to the "Electronic Communications Compliance Survey Report" by communication archiving provider Smarsh.
Indeed, 77% of the 300 information technology and compliance leaders and practitioners in North America that Smarsh contacted for the survey said text messaging was their greatest compliance risk.
The heightened risk stems from leveraging review platforms that weren't designed for text messages, said Smarsh information governance senior director Robert Cruz. He added, "Now you have communications sprinkled with more emojis and nontext characters. They can be significant and convey sentiment."
While 54% prohibit text messaging for business communications, 40% said their company allows text messaging without an archiving or supervision protocol. Cruz explained there's still a fairly low awareness of solutions that can segregate business and personal text messages.
Instead of leveraging bring-your-own-device (BYOD) technology solutions, companies are more accustomed to hiring a forensic team to provide discovery services on texts and SMS messaging, he noted. However, a majority (69%) of respondents said they had no or low confidence in finding specific messages in a text platform within a reasonable time span.
The low confidence may be triggered by companies deploying slower methods such as leveraging the forensics team, reviewing troves of messages or waiting for a telecommunications service provider's record of communications.
"The problem is that's not easy or fast and in many cases you don't get the information you are looking for," Cruz said.
Despite text messages being a top compliance fear, companies are also struggling to archive popular social media platforms, despite allowing employees to use them for work.
Indeed, 49% said Instagram communication was allowed by the company without specific archiving solutions, above Facebook (28%), collaboration platforms (25%) and LinkedIn and Twitter (20% each).
Cruz noted Instagram provides an array of ways to interact, making capturing all edits, comments and interactions more challenging for companies and archiving solutions.
The survey also found respondents don't have a policy regarding meeting solutions (47%) and collaboration platforms (42%), possibly to the company's detriment.
Cruz noted that this proportion has changed dramatically over the years, with the growing popularity of collaboration tools, including Microsoft Teams, Slack and Cisco Webex. It's "beginning to change how they work, and that is reducing the amount of emails and in-person meetings," he said. "But the problem is, some of these tools get deployed by IT without any guardrails. There's no guidance from IT of what not to do."
However, the report found 37% of companies don't have a policy regarding encrypted messaging apps, perhaps underscoring that corporations are waiting for guidance from regulators before they allow certain communication platforms.
The survey found that one-third of respondents said they were waiting for regulators to enforce regulatory guidance before they determined how they will provide those apps with support. More than half (56%), however, prohibited encrypted and ephemeral apps outright.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllTrending Stories
- 1Uber Files RICO Suit Against Plaintiff-Side Firms Alleging Fraudulent Injury Claims
- 2The Law Firm Disrupted: Scrutinizing the Elephant More Than the Mouse
- 3Inherent Diminished Value Damages Unavailable to 3rd-Party Claimants, Court Says
- 4Pa. Defense Firm Sued by Client Over Ex-Eagles Player's $43.5M Med Mal Win
- 5Losses Mount at Morris Manning, but Departing Ex-Chair Stays Bullish About His Old Firm's Future
Who Got The Work
J. Brugh Lower of Gibbons has entered an appearance for industrial equipment supplier Devco Corporation in a pending trademark infringement lawsuit. The suit, accusing the defendant of selling knock-off Graco products, was filed Dec. 18 in New Jersey District Court by Rivkin Radler on behalf of Graco Inc. and Graco Minnesota. The case, assigned to U.S. District Judge Zahid N. Quraishi, is 3:24-cv-11294, Graco Inc. et al v. Devco Corporation.
Who Got The Work
Rebecca Maller-Stein and Kent A. Yalowitz of Arnold & Porter Kaye Scholer have entered their appearances for Hanaco Venture Capital and its executives, Lior Prosor and David Frankel, in a pending securities lawsuit. The action, filed on Dec. 24 in New York Southern District Court by Zell, Aron & Co. on behalf of Goldeneye Advisors, accuses the defendants of negligently and fraudulently managing the plaintiff's $1 million investment. The case, assigned to U.S. District Judge Vernon S. Broderick, is 1:24-cv-09918, Goldeneye Advisors, LLC v. Hanaco Venture Capital, Ltd. et al.
Who Got The Work
Attorneys from A&O Shearman has stepped in as defense counsel for Toronto-Dominion Bank and other defendants in a pending securities class action. The suit, filed Dec. 11 in New York Southern District Court by Bleichmar Fonti & Auld, accuses the defendants of concealing the bank's 'pervasive' deficiencies in regards to its compliance with the Bank Secrecy Act and the quality of its anti-money laundering controls. The case, assigned to U.S. District Judge Arun Subramanian, is 1:24-cv-09445, Gonzalez v. The Toronto-Dominion Bank et al.
Who Got The Work
Crown Castle International, a Pennsylvania company providing shared communications infrastructure, has turned to Luke D. Wolf of Gordon Rees Scully Mansukhani to fend off a pending breach-of-contract lawsuit. The court action, filed Nov. 25 in Michigan Eastern District Court by Hooper Hathaway PC on behalf of The Town Residences LLC, accuses Crown Castle of failing to transfer approximately $30,000 in utility payments from T-Mobile in breach of a roof-top lease and assignment agreement. The case, assigned to U.S. District Judge Susan K. Declercq, is 2:24-cv-13131, The Town Residences LLC v. T-Mobile US, Inc. et al.
Who Got The Work
Wilfred P. Coronato and Daniel M. Schwartz of McCarter & English have stepped in as defense counsel to Electrolux Home Products Inc. in a pending product liability lawsuit. The court action, filed Nov. 26 in New York Eastern District Court by Poulos Lopiccolo PC and Nagel Rice LLP on behalf of David Stern, alleges that the defendant's refrigerators’ drawers and shelving repeatedly break and fall apart within months after purchase. The case, assigned to U.S. District Judge Joan M. Azrack, is 2:24-cv-08204, Stern v. Electrolux Home Products, Inc.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250