Whistleblowing Compliance: Why Advisors Should Offer More Than Advice

The EU Whistleblowing Directive was conceived to formalise the way in which companies in EU nations manage reports of wrongdoing made by internal stakeholders. In 2019, only ten of the 28 member states had robust whistleblower protections in place. The new laws enacted across the continent based on the directive now ensure that in-scope organisations must provide confidential internal reporting channels and a process to monitor, investigate and manage these reports. In addition, businesses should protect whistleblowers from retaliation.  

We have now transitioned from inconsistent coverage to a situation where all EU businesses with 50 or more employees and local government bodies serving 10,000 or more citizens must implement these channels. As a result, there is a growing demand for compliance solutions that extend beyond just legal advice. 

Meeting the requirements for confidentiality – and, in some countries, anonymity – as well as the obligation to protect collected data in accordance with GDPR, is essential. This makes an end-to-end solution that includes third-party case management software an attractive option. For advisors, being able to utilise a compliant reporting channel like IntegrityLog to manage clients’ whistleblowing cases creates a powerful package to help them navigate the complexities of the law.  

For those clients without an in-house legal or compliance team, and who are struggling to comply, being able to take this burden from them is an invaluable element of your advisory offering.  

This article explores five key reasons why advisory firms should expand their service offerings to include whistleblower case management.  

1. Reason 1: Meet growing client expectations for digital solutions 

Regulatory demands are continually increasing, with the obligations becoming overwhelming for many companies. Trying to meet all of their responsibilities by implementing their own, internal whistleblowing procedures is challenging to achieve effectively. Receiving legal advice is helpful, but that still requires the ability to put that advice into practice.  

Outsourcing is the answer to those clients’ issues. This means that, as an advisor offering them a hands-off service, you may find yourself handling cases for multiple different businesses with which you work. By using an online tool, you can reduce the manual workload for your business. 

For whistleblowing, a fully integrated digital platform like IntegrityLog helps you: 

• Receive reports in a manner compliant with the local whistleblowing laws wherever your clients are based in the EU 

• Handle multiple clients and their cases on one platform 

• Maintain the confidentiality of all parties related to the report 

• Communicate with the reporting person to find out further information, even if they remain anonymous 

• Manage whistleblowing data in accordance with GDPR 

• Stay on track with the deadlines to acknowledge receipt of the report within seven days and to feed back on the investigation within three months. 

2. Reason 2: Increase your service offering 

By offering a whistleblowing solution in addition to consulting, your advisory firm can gain a competitive advantage and provide comprehensive support to your clients. This is a key advantage for advisory firms, allowing you to position yourself as offering end-to-end support for all matters relating to whistleblowing.  

The minimum requirements of the directive require EU member states to apply their whistleblowing laws to companies with 50 or more employees, with the potential for them to require even smaller firms to do the same. Many small and medium firms find themselves in scope of the law and this responsibility can be overwhelming.  

This makes a service that helps with their legal considerations and also takes the whistleblowing case management service from their hands a tempting offer. 

By using IntegrityLog, you can provide two different services for your clients:  

3. Reason 3: Improve client retention and satisfaction  

By offering a whistleblowing case management process, you create a deeper relationship with your clients than by simply offering one-off consulting. This ensures a partnership that lasts, increasing customer retention and improving satisfaction. It solves a common issue for organisations, allowing them to concentrate on other areas of their business operations.  

Offering an outsourced whistleblowing process—whether for preliminary screening or full case management—creates a compelling package. It’s especially appealing to clients concerned about complying with both the EU Whistleblowing Directive and GDPR. By providing peace of mind, you ensure the client is more satisfied with the service you are offering them.

4. Reason 4: Streamline operations and reduce client risks 

The whistleblowing process, as mandated by the local laws developed from the EU Whistleblowing Directive, is complex and thorough. This is by design, as the aim is to ensure reporting persons are given the best possible protection. However, this could be daunting for advisory firms who provide outsourced whistleblowing case management services.  

By using IntegrityLog, you can streamline the process by which you handle multiple clients’ cases in a manner that maintains compliance with the EU Whistleblowing Directive and GDPR for you and your clients whilst still offering a robust service.  

This involves:  

• A centralised dashboard that provides oversight of all active cases, displaying impending deadlines and status updates. You can assign advisors to different cases and manage client admins to create a workflow for sharing details when necessary. 

• Granular access management that allows you to maintain your obligation to only allow authorised personnel to access case data. It means that an advisor working on one client’s cases cannot accidentally access confidential information from another client’s area.   

• Two-factor authentication to maintain the security and integrity of your systems. 

• Customisation so that each client’s reporting channel reflects their branding as well as the information needed to fulfill their internal policies and external obligations in their country. This also builds trust with whistleblowers, as they are more likely to feel secure when reporting through channels branded by their organisation. 
  

5. Reason 5: Position your firm as an industry leader

By partnering with the leading whistleblowing compliance platform on the market, you show your company to be embracing the future of RegTech. This forward-thinking approach provides a strong whistleblowing case handling service that is a selling point for your potential clients. They want to know that you offer a comprehensive and future-proofed service to maintain their compliance.  

When they are weighing up which companies to work with, they want the most credible option that provides the most possible value. With this additional service, you create a point of difference in the market.  

At the same time, such an offering sets your firm up to attract other business, including HR consulting firms and larger companies that prefer to outsource this or all elements of their compliance management. 

6. Conclusion

Advisory firms, law firms and consultants can all benefit from offering whistleblowing case management as a solution to clients who need help handling their reports, investigations and follow-up. Being able to help practically as well as by offering advice makes life easier for your clients and prospects, improving your offering and helping you stand out in a crowded market.  

Request a demo of IntegrityLog today to find out how you can offer third-party whistleblower case management for your clients.  

7. References and further reading

• All about the EU Whistleblowing Directive 

• How to develop a robust compliance strategy 

• How to manage compliance documents  

• Examples of whistleblowing in the workplace 

• How to meet the EU Whistleblowing Directive's requirements for company groups 
• Whistleblower rights and protections in the EU