Recent high-profile crises demonstrate how an employee investigation can turn into an organisation-threatening event.
There are many lessons to be learnt from these high-profile controversies and how they can be avoided in the post-MeToo and Black Lives Matter corporate environment. The risks of mishandling complaints about racism, sexual harassment and other highly charged issues often extend beyond a resolution of the original complaint.
Ineffective responses to whistleblowers or other complaints can result in:
- Loss of revenue
- Material reduction in share price
- Shareholder unrest
- Brand devaluation
- Litigation by employees and/or third parties
- Unplanned senior exits
- Regulatory action, including investigations and fines
- Parliamentary scrutiny of the Board’s conduct