The Supreme Court in Lawson vs FMR, LLC (delivered March 4, 2014 after a 6-3 vote) has ruled that employees of private companies engaged by public companies are covered by the whistleblower protections of Sarbanes Oxley Act of 2002 (“SOX”).
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March 6, 2014 • Shanti Atkins
Well structured, updated policies can be a first line of defense against employment related litigation and regulatory investigations. However, an organization’s policies can quickly turn from defensive tactic to litigation aid if an effective policy management system is not in place to keep up with the pace of changing legislation. No Policy vs. an Outdated Policy
February 28, 2014 • Simmi Singh Corcoran
Last year, we realized that, in spite of all the research that reputable organizations publish about compliance and the practice of compliance, there was some key information about the current state of our industry and key trends that wasn’t widely surveyed or understood. Because we speak with hundreds of organizations every year, NAVEX Global has a deep appreciation of the challenges compliance professionals face in balancing culture and compliance, in making the most out of every resource and in understanding what others are doing. So we wanted to address those gaps and ensure that we shared that information broadly.
February 21, 2014 • Ed Petry Ph.D
Last week, the Wall Street Journal featured an article on companies that are enlisting employees who are identified as “influencers” – “employees who are particularly well-connected and trusted by their peers” – to help “come up with new products, get workers on board with big changes like mergers, or spread information throughout the organization.”
February 20, 2014 • Mary Bennett
It has become industry best practice to collect conflict of interest disclosures. Usually, organizational codes of conduct require all employees to disclose any potential conflicts of interest (COIs) they may have with their employer. Often, in addition, organizations ask management (at a minimum) to annually disclose in writing any actual or potential COIs. This is all well and good. But what happens next behind the compliance office curtain? How is the information compiled and processed? Is it made accessible and easily searchable in real time? And who can access the information?
February 14, 2014 • Shanti Atkins
Whistleblowing has become a highly charged term, stirring up emotive rhetoric ranging from “ethical hero” to “treasonous traitor” with very little substantive evaluation of the real impact on the corporation and the broader communities around it.
February 13, 2014 • Ed Petry Ph.D
Last year, the U. S. Securities and Exchange Commission (SEC) indicated that it would be looking for additional ways to support the work of Ethics and Compliance Officers. Their stance came in part as a result of the Johns case following which the SEC’s Associate Director of Enforcement Stephen L. Cohen stated that the Commission’s position on the case 'should send a clear message' that the SEC would 'not tolerate interference' with chief compliance officers endeavoring to do their jobs.
February 11, 2014 • Shanti Atkins
The day has arrived. Today we’ll cover our last trend to watch in 2014: DPA and NPA use expanding. Since they were first used in 2000, the U.S. DOJ has disclosed 257 Deferred Prosecution Agreements (DPAs) and Non-Prosecution Agreements (NPAs). These agreements allow prosecutors to require corporate reforms and penalties in exchange for delaying the filing of charges with the opportunity to avoid charges altogether with satisfactory completion of agreed upon requirements.
For the last five years, NAVEX Global has been proud to provide the industry’s best and most statistically accurate hotline benchmarking data. Our annual reports are a trusted resource for ethics and compliance officers, executives and boards of directors who have program oversight responsibilities. Now that 2013 has come to a close, we have been hard at work calculating the 2014 Hotline Benchmark Report for your use in evaluating the effectiveness of your hotline reporting system. While we are wrapping up the full report, we wanted to provide a preview of three notable statistics we found in this year’s data. 1. There has been a sustained increase in overall Report Volume
February 7, 2014 • Shanti Atkins