The Hidden Crisis: Why Healthcare Organizations Need Professional Workplace Investigations

The Hidden Crisis: Why Healthcare Organizations Need Professional Workplace Investigations

Working in healthcare means dealing with life-and-death situations daily. But there’s another crisis brewing behind hospital doorsโ€”one that threatens patient safety, destroys careers, and costs healthcare systems millions. I’m talking about workplace misconduct that goes far beyond typical office drama.

After investigating hundreds of cases in medical facilities, we’ve seen how quickly things can spiral out of control when allegations aren’t handled properly. The difference between a hospital and a typical corporation? When things go wrong in healthcare, people’s lives are literally on the line.

What We’re Really Dealing With:

The numbers are staggering. Healthcare worker harassment doubled from 2018 to 2022, with 13.4% of health workers reporting harassment in 2022, but in healthcare settings, the stakes are exponentially higher. Healthcare and social assistance workers are five times more likely to experience workplace violence injury compared to employees in other industries.

But here’s what keeps us up at nightโ€”it’s not just about the statistics. Every case involves real people trying to do their jobs while dealing with impossible situations.

Healthcare facilities face issues that would make your average HR director break out in a cold sweat. That’s why we’ve developed specialized healthcare investigation services to address these unique challenges:

  • HIPAA Violations: We’ve investigated cases where nurses were selling patient information. Not for millionsโ€”sometimes for as little as $500.
  • Discrimination in Patient Care: Imagine discovering that certain patients aren’t getting proper care because of their race or insurance status.
  • Sexual Harassment: This gets complicated fast when it involves patients, visitors, doctors, and staff in high-stress environments.
  • Substance Abuse: Access to controlled substances creates temptations that don’t exist in other industries.
  • Professional Misconduct: One bad decision can end a medical career and put patients at risk.

A Real Case That Changed Everything:

Last year, we got a call from a hospital administrator who was losing sleep. Multiple anonymous complaints had come in about a department supervisorโ€”scheduling discrimination, inappropriate comments to female staff, and possible HIPAA violations.

The hospital’s internal investigation had stalled. Nobody wanted to talk. Staff were scared of retaliation. The supervisor had been there for fifteen years and seemed untouchable.

Within three weeks, our team uncovered a pattern of systematic discrimination that shocked everyone involved. We found deleted emails, interviewed twelve current and former employees, and documented scheduling practices that clearly showed bias against certain staff members.

The most disturbing part? The supervisor had been accessing patient records of employees he didn’t like, looking for information to use against them. That’s not just harassmentโ€”it’s a federal crime that requires expertise in HIPAA compliance investigations.

The hospital took immediate action, implemented new policies, and avoided what could have been a multi-million-dollar lawsuit. More importantly, they protected their patients and restored staff confidence in the system.

Why Your HR Department Can’t Handle This Alone:

We know, hospital administrators want to keep things internal. But healthcare HR departments are already stretched thin, and they’re not trained for complex investigations that could determine whether someone keeps their medical license.

Here’s what usually goes wrong with internal investigations:

Documentation Problems: Missing crucial evidence because they don’t know what to look for or how to preserve it legally.

Relationship Issues: How do you objectively investigate your colleague’s allegations against their supervisor? It’s nearly impossible.

Regulatory Blind Spots: HR might miss compliance implications that trigger additional scrutiny from The Joint Commission or CMS.

Limited Resources: Most hospitals don’t have surveillance capabilities or forensic expertise for complex cases involving digital evidence.

We’ve seen hospitals spend more money fixing botched internal investigations than they would have spent doing it right the first time.

How We Handle Healthcare Investigations Differently

Every healthcare investigation we conduct follows strict HIPAA protocols. We understand medical hierarchies, the pressure cooker environment, and how regulatory bodies think.

Our approach includes:

HIPAA-Compliant Processes: Every step protects patient privacy while gathering necessary evidence.

Medical Industry Experience: We know the difference between normal workplace stress and actual misconduct in healthcare settings.

Regulatory Awareness: Understanding what triggers additional scrutiny from accreditation bodies and government agencies.

Discrete Operations: Protecting your reputation while documenting everything thoroughly.

Comprehensive Documentation: Reports that satisfy legal requirements, regulatory standards, and administrative needs.

When to Pick Up the Phone

Don’t wait until you’re facing a lawsuit or regulatory investigation. Call us when you’re dealing with:

  • Any allegation involving patient safety or care quality
  • Suspected HIPAA violations or data breaches
  • Harassment complaints from staff or patients that internal teams can’t resolve
  • Anonymous complaints that keep coming
  • Suspected theft of medications, supplies, or equipment
  • Situations requiring surveillance or digital forensics
  • Cases that might attract media attention or litigation

The Real Cost of Getting It Wrong

Here’s the harsh reality: mishandled investigations cost healthcare organizations an average of $500,000 to $2 million in lawsuit settlements. That doesn’t include regulatory fines, accreditation problems, or reputation damage that can take years to recover from.

Professional investigations provide the documentation you need to:

  • Support personnel decisions that stick
  • Show regulators you took appropriate action
  • Protect against wrongful termination claims
  • Maintain relationships with medical staff and referring physicians
  • Keep community trust intact

The Bottom Line

Healthcare organizations save lives every day. Don’t let workplace misconduct investigations compromise that mission. When allegations arise, you need investigators who understand the unique challenges of medical environments and can provide defensible outcomes that protect everyone involved.

The cost of professional investigation services is nothing compared to what you’ll lose if things go wrong. More importantly, your patients, staff, and community deserve better than half-measures when serious allegations surface.

For more information about our corporate services, click here. To schedule a free, exploratory consultation call with our Deputy Director of Investigations, click here or text 317-759-1004. You can also email us at hirelauth@lauthinvestigations.com with additional questions.

Corporate Culture & Employee Litigation

Corporate Culture & Employee Litigation

Corporate Culture & Employee Litigation

Every corporation needs an excellent in-house attorney to fight complex legal battles in their steadโ€”someone to act in the best interests of the company and its future. In addition to the everyday intricacies of business litigation, house counsel may also have to field lawsuits from current or former employees who have a legal objection to something that happened during their tenure at the business. When employee lawsuits become a pervasive issue at a business, not only is the cost in billable hours exponential, but the legal judgements that result from these litigations can be devastating for companies. While litigation in general can be characterized as the cost of doing business, companies with healthy corporate culture experience a much lower rate of employee lawsuits. So, how can healthy corporate culture reduce the chance of a lawsuit?

Corporations across the United States are starting to understand the value of healthy corporate culture. Employee lawsuits aside, unhealthy corporate culture can have detrimental, snowballing effects that occur when employees are unhappy in their capacity and unengaged in their work. This is why corporations must improve their culture from within, so that employee retention and productivity remain high. Corporations also have millennials making up the majority of the workforce in the nation, complete with a set of values that propels them to seek a better work-life balance. This means that millennials are less likely to stay in a job where they are unhappy, and will simply seek a more amendable opportunity that allows them to have the work-life balance they desire.

When employees do not feel heard or valued by their employer, theyโ€™re far more likely to file a lawsuit related to their grievance. And unfortunately, no company is safe. In 2010, 99,922 EEOC charges were filed in the state of Florida alone, a datapoint that makes leadership wonder not if theyโ€™ll be the target of a lawsuit, but when. Employee lawsuits can drag out over months or even years, exponentially getting more expensive. The average settlement in an employee claim or lawsuit is $40,000. That expense alone can be devastating to a company, but that does not account for the disruption to daily operations, and the fact that litigation costs are on a steady rise. In 10% of cases, settlements result in $1 million or greater, a sum that could be the beginning of the end for many medium to small corporations.

The risk of a lawsuit can be even greater depending on the state in which it is filed. According to the Hiscox Group, a majority of states carry around a 10% change of having an employee lawsuit filed against them. However, in Georgia, the probability is 19%. In states like New Mexico, California, and Nevada, the probability can be as high as 55%. The area with the highest probability of litigation is the District of Columbia, with a terrifying 81% chance. The reason for the wide range in probabilities is two-fold: First, the legal standards in each state regarding discrimination and hostile work environments can vary. Secondly, the states with higher risks have more binding laws regarding litigation that can create extra hurdles for companies at the state level. This is why corporations must stay current on employment legislation, especially if they have locations across multiple states/jurisdictions. ย 

So, how can corporations protect themselves against litigation from current or former employees? In-house counsel fields lawsuits when they are filed, but did you know there was a more proactive method to combatting employee litigation? The answer is simple: healthy corporate culture. When a corporation has a healthy corporate culture, it means that the employees feel valued by their employers in their capacity within the organization. It means that employees who feel valued are engaged, thereby greasing the wheels of internal, daily operations. This increased productivity means progress for the company, and the cycle of healthy corporate culture begins anew with leadership rewarding engaged employees for their hard work.

Research shows that the number one reason behind employee lawsuits is retaliation. In an average scenario, the employee reports an internal issue, usually regarding a form of discrimination. Following the inclusion of the investigation, when the employee cannot track for upward mobility, or a form of unwarranted disciplinary action occurs, they assume the reason is for reporting the previous issue. This can result in that employee filing a lawsuit for receiving unfair treatment on behalf of their employer. When organizations have healthy corporate culture, this is far less likely to occur.

If your company or organization needs a corporate culture overhaul, call Lauth Investigations International today for a free quote on our corporate culture audit program. We can help you improve your business from within and decrease the likelihood of employee lawsuits. When it comes to your business, you should expect facts, not fiction.

 

Archives

Categories