Whistleblowing Services – Deloitte Conduct Watch

The topic of whistleblowing has become one of immediate attention nowadays, with the introduction of the new Whistleblowing European Directive in 2019, looking to increase the protection of the persons reporting misconduct and to impose organizations with fifty employees or more to set up internal channel for reporting breaches. Organizations are now enforced to have implemented secure reporting channels by 2021, as per the previsions of the European Directive.

Deloitte is a recognized global provider of independent whistleblowing solutions to corporate and public sector entities across the globe. Our goal is to help organizations to minimize workplace misconduct and strengthen governance effectively. Issues such as fraud, bribery and corruption, misconduct, harassment, bullying, and unethical behavior are all risks that have the potential to cause financial and reputational damage to organizations when left undetected.

Whistleblower reports are organized in a structured case management tool within Conduct Watch that helps the client’s authorized users to review and manage all disclosures. Deloitte Conduct Watch can also act as a communication channel between the client and the whistleblower, while maintaining and protecting whistleblower anonymity.

EU whistleblower directive

On 17 December 2021, the new EU Directive 2019/1937 on Whistleblowing was transposed, as a subsequence, all Member States are required to bring into force laws and regulations that ensure Whistleblower’s protection and enable safe reporting channels in public and private institutions. All legal entities (with 50 or more workers) or with an annual turnover of over €10 million must establish internal reporting channels under the Directive.

For companies with at least 250 workers, the Directive applies from 17 December 2021 and for employers with between 50 and 249 employees, the Directive will apply from 17 December 2023. The Directive (Whistleblower Protection Directive) was initially adopted by the European Union in 2019, the following period provided the 27 EU member states with two years time to comply with the Directive.

Why should companies set-up a whistleblower system?

Surveys by the Association of Certified Fraud Examiners (ACFE) in 2018 (ACFE report to the nations) showed that around 63% of companies that were victims of white-collar crime had set up a hotline as a reporting channel. E-mails and web-based tools were used less frequently. In around 50% of the corruption cases and 38% of the fraud crimes were discovered not by the annual auditor or internal audit, but by a whistleblower.

By setting up a suitable whistleblower system, grievances can be identified at an early stage and the resulting damage can be reduced. Consequently, the ACFE survey also showed that companies with a whistleblower system suffered, on average, 50% less damage than companies without a whistleblower system.

Deloitte Whistleblower Solution – Conduct Watch

Deloitte Whistleblower Solution – Conduct Watch
Deloitte Conduct Watch, our digital whistleblowing solution equips organisations with secure and confidential reporting channels layered with advanced security features. Our team offers the Deloitte Conduct Watch service globally, both online and as a call center service with various language capabilities. Whistleblowers can lodge a disclosure 24/7, confidentially, from anywhere around the world. Deloitte Conduct Watch can be presented to potential whistleblowers within an organization as either a Deloitte service or as the organisation’s own service, customized to its own circumstances and requirement.