In this Insights, Hanna Gorelick, Samantha Salkin, and Elaine Wood describe the unique nature of conducting sensitive investigations and how a company handles these allegations could lead to lasting financial and reputational damage.
In addition to reputational and financial implications, how a company handles these allegations may have lasting impacts on corporate culture and employee morale and could result in lower employee retention rates and lower productivity.
It is essential the investigative team is comprised of individuals with the requisite experience while also excluding individuals with a conflict of interest from participating in the investigation, such as those who have worked closely with the subjects of the investigation. For example, companies often hire external counsel and independent experts to advise them on their rights and to preserve the integrity of the investigation. An internal-only investigation may include those with loyalties and inherent biases.
