Employees speaking up

At common law, an employee has a duty

  • to comply with applicable laws in the performance of his/her work for the employer
  • to comply with his/her employers reasonable instructions in the performance of that work, and
  • to report material information to his superiors.

“Credit Union Staff Faults Safeguards Against Laundering,” The Wall Street Journal, October 31, 2018 B12.  Employees raised concerns in 2017 about the anti-money laundering program at the credit union where they worked.  The chief audit executive dismissed the allegations.

Were these employees rewarded for raising these concerns? No.  Did the company make changes?  The company says it did.  Will other employees raise concerns in the future?

How seriously do you take concerns raised by your employees, who are closest to the facts?  Is this a Compliance point or a Governance point?  Or an Information point (in that Management received information and apparently didn’t use it)?

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Filed under Compliance, Compliance (General), Controls, Culture, Duty, Employees, Governance, Information, Internal controls, Oversight, Third parties, To report, Use

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