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Employees Realize Social Networking Sites Can Damage Their Employers’ Reputations

Employees Realize Social Networking Sites Can Damage Their Employers' Reputations

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Deloitte LLP has posted its third annual chairman’s Ethics and Workplace Survey.  I say that there are serious implications for the PR professional.

The intro to their news release reads:

NEW YORK, May 18, 2009 — According to the third annual Deloitte LLP Ethics & Workplace survey, 60 percent of business executives believe they have a right to know how employees portray themselves and their organizations in online social networks. However, employees disagree, as more than half (53 percent) say their social networking pages are not an employer’s concern. This fact is especially true among younger workers, with 63 percent of 18–34 year old respondents stating employers have no business monitoring their online activity.

The release continues:

“With the explosive growth of online social networks, such as Facebook and Twitter, rapidly blurring the lines between professional and private lives, these virtual communities have increased the potential of reputational risk for many organizations and their brands,” said Sharon Allen, chairman of the board, Deloitte LLP. “While the decision to post videos, pictures, thoughts, experiences and observations is personal, a single act can create far reaching ethical consequences for individuals as well as employers. Therefore, it is important for executives to be mindful of the implications of this connected world and to elevate the discussion about the risks associated with it to the highest levels of leadership.”

Well, okay… how does that apply to PR, you say?  I say plenty.  It’s about our reputations!

The release goes on to say, “employees appear to have a clear understanding of the risks involved in using online social networks, as 74 percent of respondents believe they make it easier to damage a company’s reputation.”

“One-third of employees surveyed never consider what their boss or customers might think before posting material online,” Allen continued. “This fact alone reinforces how vulnerable brands are as a result of the increased use of social networks. As business leaders, it is critical that we continue to foster solid values-based cultures that encourage employees to behave ethically regardless of the venue.”

How about these specifics from Deloitte’s survey?

  • 74% of employees surveyed say it’s easy to damage a company’s reputation on social media. 34% said they rarely or never consider what their clients would think. 15% said that it their employer did something they didn’t agree with, they would comment about it on line. 
  • 61% of employees say that even if employers are monitoring their social networking profiles or activities, they won’t change what they’re doing online. 

And finally, consider this from the study:

“Fifty-eight percent of executives agree that reputational risk and social networking should be a board room issue, but only 15% say it actually is. How are executives working to mitigate the risks of social networking media?”

1) “Our executive team regularly discusses how we can best leverage social networks to our advantage while mitigating risks.” 27%“
2) My company has formal policies that dictate how employees can use social networking tools.” 22%
3) “Our senior leadership team addresses issues related to companywide social networking.” 22%
4) “My company has a program dedicated to monitoring and mitigating risks related to social networks.” 17%

The Deloitte conclusions include this advice:  

Therefore, attempts to mitigate reputational risk in these online communities should include an emphasis on culture, values, and ethics within an organization. By reinforcing these fundamental elements, business leaders will have the opportunity to encourage good decisionmaking in virtual social networking environments.”

What are you doing about educating your employees about their use of social media sites?

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