SMS and mobile messaging are integral to workplace communication. Employees use text messages to coordinate projects and discuss sensitive business matters. However, when companies fail to implement proper instant messaging archiving practices, they unknowingly create an environment where misconduct can flourish.
Poor message retention policies can lead to severe consequences, from financial fraud to harassment and insider trading.
The Risks of Unmonitored Employee Messaging
Companies that neglect SMS archiving expose themselves to various risks, as employees may engage in unethical or illegal behavior without accountability.
● Insider Trading and Financial Misconduct
Financial firms are heavily regulated when it comes to communication compliance. Regulatory bodies require firms to archive all electronic communications, including SMS. When employees use unmonitored messaging apps to share non-public financial information, they can manipulate stock prices, engage in insider trading, or commit fraud without leaving a trace.
● Workplace Harassment and Toxic Work Culture
The lack of instant message capture solutions in the workplace can contribute to workplace harassment going unchecked. Inappropriate messages, bullying, and discrimination often occur through mobile communications, especially on personal devices used for work-related conversations. Without an archiving system in place, companies may struggle to investigate complaints.
Over time, this can develop into a persisting toxic culture. When such cases come to light, businesses face lawsuits, reputational damage, and decreased employee morale.
● Intellectual Property Leaks and Corporate Espionage
When employees discuss proprietary information over unmonitored SMS or encrypted apps, they pose a risk to a company’s intellectual property. Whether intentional or accidental, information leaks can lead to significant financial losses and competitive disadvantages. Employees may share trade secrets with competitors or that can result in legal and compliance repercussions.
The Solution: SMS Archiving
Companies can invest in third-party archiving solutions to mitigate the risks associated with poor SMS archiving. These can help businesses comply with industry regulations while enabling fast and efficient retrieval of communications during audits or legal proceedings.