Alan Price: Suspect employee is divulging confidential information – how to take action

-

A company’s information is one of its most important assets, covering client lists to trade secrets and future business plans. Any suspicions that an employee is divulging confidential information needs to be resolved; if true, not taking action to halt this could lead to information being lost to competitors.

The first step employers need to take is to carry out a full and thorough investigation in to the matter. The easiest way to resolve any suspicions is to monitor and review the employee’s company emails or computer use. Any right to monitoring is usually set out in the company’s internet, email or technology policy and may also be outlined in any confidentiality policy. Monitoring should not be excessive and the employee must know what will and won’t be caught, for example, whether personal emails will be read.

Where the investigation uncovers evidence of divulging confidential information, then the employer should take formal action. This is essential to sanction the employee and also send out a clear deterrent to others. The appropriate sanction will depend on matters such as the information divulged, the seniority of the person, whether this was intentional, the employee’s length of service and their previous disciplinary record. Any disciplinary sanction needs to be reasonable in all the circumstances. In some cases, it will be reasonable for an employer to treat this as gross misconduct which summarily ends the contract of employment however, this will not always be the case.

Employers who have these suspicions, whether proven or not, may wish to introduce a confidentiality policy to ensure their business is protected in the future. A policy should set out the company’s rules on confidentiality, what can and can’t be done with company information, whether monitoring will be carried out including how and when, and any action that will be taken if the policy is breached.

Protecting the business becomes even more essential when an employee leaves. Ex-employees can take confidential information to competitors or use this information to set up in competition themselves. To avoid ex-employees divulging confidential information even after they have left employment, employers should put restrictive covenants in place. These restrict the employee’s actions and can cover confidentiality and disclosure.

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

Alan Price is Chief Executive Officer at BrightHR and Group Chief Operating Officer of Peninsula UK. He is a subject matter expert in employment law , human capital management, HR and business transformation.

Latest news

Personalising the Benefits Experience: Why Employees Need More Than Just Information

This article explores how organisations can move beyond passive, one-size-fits-all communication to deliver relevant, timely, and simplified benefits experiences that reflect employee needs and life stages.

Grant Wyatt: When the love dies – when staying is riskier than quitting

When people fall out of love with their employer, or feel their employer has fallen out of love with them, what follows is rarely a clean exit.

£30bn pension savings window opens for employers ahead of 2029 reforms

UK employers could unlock billions in National Insurance savings by expanding pension salary sacrifice schemes before new limits take effect in 2029.

Expat jobs ‘fail early as costs hit $79,000 per worker’

International assignments are ending early due to family strain, isolation and poor preparation, as rising costs increase pressure on employers.
- Advertisement -

The Great Employer Divide: What the evidence shows about employers that back parents and carers — and those that don’t

Understand the growing divide between organisations that effectively support working parents and carers — and those that don’t. This session shows how to turn employee experience data into a clear business case, linking care-related pressures to performance, retention and workforce stability.

Scott Mills exit puts spotlight on risk of ‘news vacuum’ in high-profile dismissals

Sudden departure of a long-serving BBC presenter raises questions about how employers manage high-profile dismissals and limit speculation.

Must read

Jane Sunley: Managing and growing your talent

I’m on a mission to rid the world of...

Dierdre Hardy: How can technology improve the employee experience to attract and retain staff?

"When implemented effectively, technology can help organisations that are struggling to improve their employees’ experiences."
- Advertisement -

You might also likeRELATED
Recommended to you