Published in Law360 on April 25, 2023. Copyright 2023, Portfolio Media, Inc., publisher of Law360. Reprinted here with permission.
Most savvy employers know all too well the dangers of ignoring whistleblowers. Financial and reputational penalties can be steep.
In fact, in fiscal year 2022, the U.S. Securities and Exchange Commission noted its second-highest year ever in whistleblower awards, both in the number of individuals awarded and the total dollar amounts of the award.[1]
The Occupational Safety and Health Administration also has seen a rising number of whistleblower complaints filed in recent years and recently kicked off a year-long pilot program to streamline the whistleblower intake process and discourage retaliation.
The popular Netflix show, "Dahmer – Monster: The Jeffrey Dahmer Story," serves as yet another reminder, however extreme, of the perils of ignoring complaints. Key takeaways for employers include:
Employees should be given several avenues to submit workplace complaints, such as management, human resources and an anonymous hotline.
Training, and more training, is key.
Parsing through multiple complaints, especially from a supposed serial complainer, to see which, if any, have merit, can be challenging.
Employers should be cognizant of the effect of unconscious bias in the complaint and investigation process.
It is important to follow up with corrective action where appropriate.
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