Quid Pro Quo: How It Can Rot Your Corporation from Within

Quid Pro Quo: How It Can Rot Your Corporation from Within

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When we think of the phrase quid pro quo, “something for something,” we typically think of sexual harassment in the workplace. The presumption is in cases of sexual harassment is that a boss or supervisor will make unwanted advances towards their subordinate employees in exchange for work benefits or under threat of termination. But quid pro quo comes in multiple forms, and corporations should be vigilant of such activity within their organization, or risk a harmful malignancy in their corporate culture that will ultimately have negative consequences.

In the context of sexual harassment, quid pro quo means that an employee has been subjected to unwelcome advances as a term of their employment. This obviously constitutes a hostile work environment, and while it is morally repugnant to ignore such behavior, there are also negative consequences that impact the entire business. A hostile work environment can cause disruptions to daily operations that are costly for the business or organization. A person who is subjected to sexual harassment from a superior or other coworker is typically not as engaged as other employees. They do not dedicate the same level of focus to their work as they would in a non-hostile work environment. They tend to make more mistakes, and be more inclined to malinger in order to avoid their circumstances. This can lead to loss of productivity that may ultimately affect the corporation’s bottom line. It also poisons the cycle of corporate culture. As the affected employee disengages from their position, it can have a ripple effect throughout the workplace that will cause the corporate culture to rot.

Another form of quid pro quo that is less covered by media is bribery. Under the definition of “something for something,” bribery can occur between clients and their contractors, between contractors and businesses, or between businesses. When it occurs between businesses, this is typically the result of a mutually beneficial agreement. In another scenario businesses might also pay government officials for preferential treatment that would effect their bottom line. According to the Harvard Business Review, “Studies show that [corporate bribery] is also counterproductive resulting in lower profit margins, return on equity, and employee morale; costly delays as players haggle over the size of the kickback; and poverty and poor governance in the markets where they’re paid.” It goes on to say that according to the World Bank, “roughly one-third of firms around the world use kickbacks, paying an estimated total of $400 billion a year.”

Quid pro quo situations like sexual harassment and bribery also open the business or organization up to a parade of legal action and bad press that can ultimately devastate a company. Both corporations and nonprofits alike have seen whistle-blowers go to the government or the press if their concerns are not being heard from within the organization. Perhaps there is a sexual predator in the organization who was not terminated following a comprehensive investigation, or the investigation was not comprehensive at all. Many corporations might incorrectly assume that it is easier to push the problem under the rug rather than deal with the costs of turnover—interviewing a replacement, vetting applicants, and then devoting resources to training and onboarding. However, should the circumstances of the quid pro quo every become public, the costs of ignoring the problem will eventually be paid in full in litigation costs, bad press, and loss of business.

If you suspect there is quid pro quo going on in your business or organization, you can find answers with Lauth Investigations International. Lauth’s team of private investigators is comprised of former military and law enforcement personnel who are highly-trained in intelligence operations in corporate settings. We can perform background checks, initiate discrete undercover operations, offer top-notch surveillance, and provide expert recommendations for our clients. We carry a stellar A+ rating with the Better Business Bureau and are available 24/7 for our clients.

COVID-19 Noncompliance Invites More Than Sanctions and Fees

COVID-19 Noncompliance Invites More Than Sanctions and Fees

COVID-19 compliance

While other countries throughout the globe are starting to make a full recovery from COVID-19, the United States still struggles to keep infection numbers down. As the states continue to open up, new cases are still reported every day, due in part to the spread of the coronavirus in the workplace, many employees are wary of their employer’s level of COVID-19 compliance. Many Americans are facing a difficult decision between their livelihood and their health. In turn, employers across the country are now facing sanctions, fines, and bad press for failing to protect both their employees and their customers.

The government-issued ordinances regarding business operation and social distancing changes depending on where you live—and so does the penalty for noncompliance. In Indianapolis, multiple businesses have been issued fines for not enforcing social distancing rules or enforcing the mandated face mask policy. In addition to fines, these noncompliant businesses are also facing backlash from their employees who are feeling undervalued and find themselves in a dangerous work environment.

Businesses who are noncompliant with COVID-19 restrictions are not only opening themselves up to penalty on behalf of the counties where they are located but they are also opening themselves up to subsequent litigation from their employees. Whether that litigation ultimately survives the burden of a civil court remains a moot point, as the initial stages of a lawsuit can still be costly to a small business. Therefore, business owners must go the extra mile not only to comply with the restrictions, but also to make their employees feel valued in a high-stress situation.

It’s typical for a business to contract risk assessment firms to determine their level of preparedness for a terroristic event such as a mass shooter, or to determine their vulnerability to external theft. These assessments are an investment in the future of the business—a preventative measure that will protect the business from incurring losses. However, investing in COVID-19 compliance is also a way to protect a business from fines, litigation, and fallout.

With the knowledge that they are being screened for COVID-19 compliance, businesses might appear to be in accordance with the ordinances. However, any private investigator will tell you that the best way to evaluate human behavior is when they do not believe they are being watched. In order for business owners to get a comprehensive picture of how their enterprise is being managed and conducted, they should contract a private investigator to perform due diligence.

Private investigators are ideal professionals to perform a COVID-19 compliance investigation and other operations that fall under the umbrella of risk assessment. Private investigators are professionally trained to blend into the background and become part of the fabric of the environment. From under the radar, they can openly document COVID-19 restriction violations for employers and former employees alike who believe their business or employer is/was noncompliant. Private investigators use the best available surveillance technology to document these violations for their final summary and can provide the client with expert recommendations on how to right the ship.

Private investigators can go the extra mile in performing these assessments by interviewing current employees, covertly or otherwise. COVID-19 noncompliance on behalf of an employer can be easily perceived as in indifference to health and wellness of their employees. Studies have shown that when employees do not feel valued by their employers, their level of engagement in their position goes down, and consequently, so does their productivity. Not only that, but employees who feel undervalued or ignored by their employers are more likely to steal from their employers, both by virtue of property and company time. As the culture of the workplace declines, so the business owner can expect to see a decline in weekly output and profit.

COVID-19 noncompliance can damage a business’s workplace culture for years to come If drastic changes are not made. Call Lauth Investigations International today for a free quote on our COVID-19 compliance operations. Our team is comprised of former military and law enforcement personnel who have diverse experience in intelligence operations of all types. Call 317-951-1100 today or visit us online at lauthinveststg.wpengine.com

Invest in Background Checks for Nonprofit Boards

Invest in Background Checks for Nonprofit Boards

A nonprofit background check for supervisory board members is not only prudent in the name of good hiring practice, but also in the name of protecting the nonprofit from toxic leadership that can rot the organization from within. Luckily, a private investigator can provide the intelligence needed for full transparency.

nonprofit background check

When it comes to nonprofits organizations, knowing who to put in charge is paramount to the organization’s mission. When executives or professionals who serve in a supervisory capacity misbehave, it can have devastating consequences for the organization. From litigation to bad public relations, misconduct has the potential to damage the name of a nonprofit organization for years. That’s why it’s so imperative to run comprehensive, thorough nonprofit background checks on supervisory board members and executives.

United Way recently came under fire in the news after allegations surfaced regarding a hostile work environment. An anonymous letter allegedly authored by former employees of Untied way cited instances of racism, harassment, and nepotism on the part of leadership and failure to act on those abuses by leadership. This ended with a Untied Way board member stepping down after she intimidated one of the alleged authors of the letter.

However isolated individual instances of this type of misconduct may seem, the phenomenon of identifying and curing toxic workplace cultures is becoming more urgent. Corporations and nonprofits alike across the country are starting to take a more comprehensive look at how the internal operations of their entity can manifest in harmful ways. Lack of oversight and accountability are two ways in which toxic work environments flourish. That’s why many charitable organizations are opting for nonprofit background checks on their proposed leadership to ensure that the true mission of the nonprofit remains intact.

Private investigators are ideal professionals to conduct nonprofit background checks. They can review the relevant items on a subject’s background check that might interfere with their ability to supervise a nonprofit, such as criminal history, work history, and litigation history. Private investigators have diverse experience in evaluating human behavior and performing a risk assessment regarding their capacity in a supervisory role. Private investigators are able to place such relevant items in context. For example, a long address history might indicate a history of transience, which can translate to lack of dependability and lack of accountability. However, if the subject was forced to move again and again by virtue of their employment, that is important context that is needed in the investigation summary.

There are obvious items that would appear on a background check for a nonprofit board member that would pique interest, such as criminal history and work history. However, a background check does not have to be limited to what’s on paper in a nonprofit background check. Private investigators are adept in reviewing facts found, but they are also adept in searching for what’s outside the databases. Private investigators can locate and speak with former employers, former supervisors, and former supervisees who have worked with the prospective board member. By getting to the human sources during fact-fining in a nonprofit background check, private investigators can illuminate the professional and personal impact of that person on others. This creates a more transparent picture of how a prospective board member may impact the nonprofit.

An internal investigation of United Way’s internal operations downplayed the allegations proffered by those who authored the letter. However, given the misconduct from board members following the allegations, United Way might invest more in nonprofit background checks going forward. If your organization is experiencing pervasive issues with misconduct, including racism, harassment, and discrimination, call Lauth Investigations International today for a free quote on our corporate culture audit program and learn how you can improve your organization from within.

How Internal Investigations Improve Corporate Culture

How Internal Investigations Improve Corporate Culture

Internal investigations can weed out things like racisim, sexism, and other forms of discrimination.

Internal investigations are a tricky and turbulent tide that intimidates many corporations and organizations into staying out of the water all together. Internal investigations can be costly and draw on precious time and resources that are needed elsewhere within the organization. Employees within the corporation or organization might not have the necessary training to conduct a comprehensive, unbiased investigation. However, leadership across the board is beginning to realize that the status quo is no longer acceptable, and must clarify their definition of due-diligence and compliance.

When there are pervasive issues in your corporation or organization, internal investigations are a necessary evil to get to the root of the problem. In recent years, the public’s interest in internal investigations continues to grow as individuals seek to break the culture of silence that surrounds many industries. This is in the interest of ultimately changing the professional climate that allows abuses and misconduct to occur within the organization.  Cultural waves of awareness and learning—like those that occurred during the #MeToo movement, and the genesis of the Black Lives Matter movement—bring more attention to some of corporate America’s most pervasive issues, including sexual harassment, racism, and discrimination. Now leadership is seeking the advice of consultants and risk management experts in order to erode bigoted phenomena from their workplace.

Internal investigations are the first step in solving a pervasive workplace issue. One of the recent viral news stories regarding internal investigations are the stories surrounding The Ellen DeGeneres Show, in which multiple current and former employees have come forward to share their stories of a ‘toxic workplace’ culture that included multiple claims of sexual harassment. Following an internal investigation implemented by DeGeneres, three producers left the show. The Warner Brothers spokesperson who commented was not specific about whether the producers had quit or been fired, but what remains clear is that all men were accused of misconduct. Several former employees have accused producer Ed Glavin of “inappropriate touching, and leading with intimidation and fear.”  Former employees have also accused producers Kevin Leman and Johnathan Norman of sexual harassment. Norman and Leman have vehemently denied the allegations made against them, while Glavin has remained silent on the allegations against him.

The Ellen DeGeneres Show faced public backlash and uncertainty in the weeks following the initial allegations, but their commitment to solving these problems kept the court of public opinion at bay through their internal investigation. Corporations would do themselves a service by conducting internal investigations into repeated patterns of misconduct, but not every company has the personnel to do this. Human resource employees are incredible individuals who help keep a corporation or organization running like a well-oiled machine. They are the gatekeepers who bring a new employee into the workforce, and they are the first line of defense when an employee has a problem in the workplace. While a human resources employee might have a sophisticated degree, unless they have diverse experience in conducting corporate investigations, they may not be equipped to handle an internal investigation. Important facts could slip through the cracks, leads could go unexplored, leading to disastrous consequences for the corporation down the line.

Internal investigations are attractive for a number of reasons. Internal investigators work directly for the corporation or organization in question, and know the ins and outs of the business and can conduct the investigation in the best interest of the corporation. Internal investigations are handled by agents of the corporation and do not have to be mitigated in any way. Most importantly, internal investigations are just that—internal—and therefore away from the prying eyes of public opinion. Despite all of the attractive reasons to have an internal investigation, they do not guarantee a protective veneer of integrity that fortifies the end result.

Internal investigations are necessary, but they don’t necessarily have to be internal. Private investigators are completely independent of the corporations that retain them. Though they are paid for their services, it is not in the bet interest of a private investigator to be loyal to anything less than the truth. Complete transparency and integrity are the cornerstone of their business. Therefore, a private investigator is a perfect individual to document internal issues for an organization, because they are inherently without bias and are able to maintain complete objectivity. With Lauth’s corporate investigators on your side, you’ll receive the unvarnished reality regarding the internal problems in your corporation or organization.

If your corporation or organization is experiencing repeated instances of internal difficulty, it might be time for a corporate culture audit. A corporate culture audit is a program that examines the internal policies of a corporation or organization, how those policies are enforced, how they effect the employees, and how those employees relate to each other as a result. If the corporate culture in a company is good, that positivity is baked into the internal operations, employees feel valued by their organization, and therefore will remain engaged and invested in maintaining productivity. Pervasive, repeated internal problems may not stem from a single factor, but the entire corporate culture of the workplace. Think of a corporate culture audit like a medical check-up for a business or organization. Lauth’s investigators evaluate the culture from leadership down, identifying the major factors in disruption, and advise leadership on how to improve their business from within. For more information on our corporate culture audit program, click here.

Employee Malingering During COVID-19

Employee Malingering During COVID-19

employee malingering

Is there a way to stamp out employee malingering? The answer is complicated.

Employee malingering is becoming a problem for some employers. As some states move forward with plans to open their states back up during the global COVID-19 pandemic, many are looking forward to life returning to some semblance of normalcy. While businesses make plans to reopen their doors, there are others that will keep the bulk of their operations remote with employees working from home in order to mitigate the spread of the disease. While many employers feel this precaution is still prudent, there is the additional layer of anxiety about whether employees are keeping their noses to the grindstone, or malingering.

Obviously, these are strange times. A majority of businesses in the United States were forced to shut down direct business to customer operations in order to prevent the spread of the disease. Employees who were not furloughed or laid off due to COVID-19 have been forced to adjust to a new working life devoid of work-life balance—their work is literally in the home—complete with the distraction of children, family, pets, spouses, and other household distractions. It is a stressful time, and it can be difficult to maintain focus. Corporations and organizations should always prioritize their employee’s mental health for the sake of their corporate culture. These predictable challenges with suddenly working from home should not be considered employee malingering. However, willful malingering can lay huge blows to daily productivity and ultimately profits. Employers must have a way to verify whether or not their employees are actually working.

Under more normal, stable circumstances, employers have the benefit of face to face interaction for determining how engaged and productive their employees are. In addition to output, supervisors can note how many breaks they take, the quality of the work, and the level of communication from the employee, both on and offline. However, remote working has made detecting employee malingering almost impossible.

Telecommunication technology has played a vital role in facilitating the continuation of the economy despite the quarantine. Meetings are held over Zoom, employee time is tracked through invoices or through an online time clock of sorts that allows employees to log their time worked and have their timesheets stored on a cloud server. Short of a live camera feed that documents the employee in front of the computer or on the phone, is there truly a way to verify if they are actually working?

The idea of hiring a private investigator to surveil your employees may sound strange or even wrong, but it’s a highly common business practice that legally exposes the drain an individual employee might be having on your company. Private investigators can track an employee’s movements during the time they have invoiced or logged, ensuring that any errands outside the home are work-related and have some value to the corporation. Private investigators can document these movements with GPS trackers placed under their car, photographing their activities in public to either prove or disprove employee malingering. Private investigators are trained to blend in with their surroundings, and conduct surveillance discretely to prevent their cover from being blown, so in the event that no employee malingering is found, no one is the wiser.

If you suspect your employee is malingering on your dime, reach out to Lauth Investigations International today for a free quote on our surveillance services. Call us at 317-951-1100, or visit our website at lauthinveststg.wpengine.com