Employees should be reassured that they will not face blacklisting if they blow the whistle, says Protiviti

As redundancies rise organisations should be prepared for an increase in ‘whistleblowing’ from disgruntled former employees, warned Protiviti.

The risk consultant said it has recently seen an increase in corporate investigations into allegations of fraud, misconduct, malpractice and negligence.

With redundancies on the rise and the emergence of high-profile whistleblowers organisations are under even greater pressure, said Protiviti.

Most fraud is uncovered through information provided by third parties, including whistleblowers, added Protiviti.

“Confidentiality is an essential factor.

John Cassey, head of fraud and litigation, Protiviti

Therefore the risk consultant recommends that organisations put rigorous plans in place to prevent fraud but also develop a style of corporate management that encourages employees to voice concerns without fear of jeopardising their careers.

John Cassey, head of fraud and litigation, Protiviti, said: ‘Employees should be reassured that they will not face harassment, intimidation, retaliation, job losses or blacklisting from management and fellow workers as confidentiality is an essential factor.’

‘Companies that have put these processes in place with current employees less likely to be exposed by former staff,’ he said.