When & why must a private companies have a Whistleblower Hotline?

Today the business landscape involves more small business (less than 100 employees) providing the latest technology  solutions to   publically traded companies. The March 2014  US Supreme court decision has influenced the large business to require these technology solution partner to have a robust SOX Whistleblower Hotline.  This has created a requirement for private companies to take on the task of being compliant with SOX Whistleblower requirements.  It is also true that a private company seeking to do business with public companies will need to have the structure in place as part of their effort to seek those clients.   

The Dept. of Justice has stated that part of an effective compliance program within an organization includes having a method for employees to report abuse, fraud and issues within the company. This factor is used in the culpability score used as part of the US Sentencing Commission guidelines when determining fines for fraud and abuse.   

The important factor is having an effective method for employees to report issues. This involve not just executing a method but building trust that employee will report. Building trust comes from the executive team/owners in communication, walk the talk, incenting people to report, and taking action when reports occur. All these factors are part of the meaning of effectiveness.  

What's involved with fulfilling the requirement of a Whistleblower hotline? 

1. Policies that speak to the companies ethics & culture and support federal and state regulations on misuse of assets, retaliation and  human resource issues on discrimination. 
2. Executive management and middle management  training of how to incent employees to report without fear of retaliation 
3. A trust method for employees and management to anonymously submit concerns and issues. 
4. Commitment from company to investigate reported issues. 

All these steps take time, resources and experience. So what are the options for small private companies? Don't have a knee jerk reaction just spend 30 minutes on the June 10th webinar hosted by   Superior Compliance Solutions to help organizations learn more about an approach to these requirements. 

To register go to:   http://portal.superiorcompliancesolutions.com/resources