Series
Blogs
Series
Blogs
Last week the FCA issued a publication outlining its findings from a recent review of firms’ whistleblowing arrangements, identifying areas of good practice and areas for improvement. Unsurprisingly, the need for specific, tailored training on whistleblowing was highlighted as a key area for improvement. The FCA is now encouraging all firms to review and improve their whistleblowing arrangements. Whilst we are seeing lots of businesses and organisations review their existing whistleblowing arrangements, the recent FCA publication and the requirements set out in the new Corporate Governance Code requiring organisations to have a means in place for employees to raise any matters of concern, show that employers need to do more than just update their whistleblowing policies and appoint a designated champion and that training and education is key.
The FCA’s whistleblowing rules, which were implemented in September 2016, require firms to have effective arrangements in place for employees to raise concerns, ensure concerns are handled appropriately and confidentiality. Firms must also appoint a whistleblowers’ champion to ensure there is senior management oversight over the integrity, independence and effectiveness of a firm’s arrangements.
It comes as no surprise that the FCA are supervising what firms are doing in this space, as the recent enforcement actions have shown the seriousness with which the regulators are considering whistleblowing failings. The key findings from the FCA’s recent report include:
The new Corporate Governance code also expects companies to promote transparency and integrity in their businesses and enhance workers’ concerns in the workplace, by ensuring that workforce policies and practices are consistent with the company’s values and the workforce is able to raise any matters of concern (not just protected disclosures). In particular, it expects companies to have in place a means for the workforce to raise concerns in confidence and anonymously. The code also requires the boards of companies to routinely review their reporting arrangements to ensure that arrangements are in place for the proportionate and independent investigation of these matters and for follow up action.
The key takeaways from this are that:
What is also clear is that, whilst implementing new policies and systems is important, so is educating and training those who are involved in the operation of a firm’s whistleblowing arrangements, whether that is supporting a whistleblower, ensuring the proper escalation of an issue or for those conducting whistleblowing investigations.
If your organisation would benefit from training, we have designed training to help organisations meet their obligations under the whistleblowing rules. We are also refreshing our Listen Up campaign in the new year....so watch this space!