The landscape of financial services faces intensified scrutiny in communications compliance. In an era marked by consistent and assertive regulatory enforcement, a proactive approach to preserving and managing employee communications is critical. The need for a robust and defensible strategy is no longer optional; it’s an imperative for firms, irrespective of their scale or niche, as MyComplianceOffice discuss in their latest whitepaper.
In the modern world, firms are witnessing an increasing reliance on digital communication channels. Both customers and employees expect seamless and swift interactions. However, limiting these interactions to traditional mediums like emails and calls to circumvent compliance complexities isn’t practical. Embracing digital channels enhances efficiency and satisfaction but comes with amplified risks. Due to this, compliance must strike a balance between business needs, employee preferences, and stringent regulatory pressures.
Regulators have even mandated the proper preservation of electronic communications. Irrespective of company type or jurisdiction, all firms must view employee communications as integral to their Compliance Rule and the core of their compliance program.
Moreover, communications compliance is not just about preservation; it’s about leveraging the collected records effectively. Comprehensive surveillance uncovers suspicious patterns and red flags, offering insights into organisational behavior. It’s imperative for firms to be proactive in monitoring, especially considering the regulatory spotlight on these archives during examinations and investigations.
This proactive approach begins with thorough and ongoing training. Employee education on communication impact should be tailored, aligning with industry specifics and organisational needs. Additionally, conducting risk assessments and acknowledging the significance of self-certification provide a broader perspective on compliance challenges.
Technology also plays a pivotal role in ensuring defensible compliance. Centralised compliance technology simplifies archiving and monitoring, essential for complying with regulatory requirements. Automation streamlines capturing certifications and attestations, establishing an efficient compliance trail.
Looking ahead, the future of communications compliance holds promise with advancements in identification, capturing, and supervision of communications. Adapting measured approaches supported by technology, policies, and training remains pivotal.
So, despite the industry experiencing growing pains, the foundations of good compliance remain steadfast: a culture of compliance, transparent policies and procedures, comprehensive training, all upheld by technological support. Ultimately, by adopting a reasonable approach to establishing communication capture mechanisms, overseeing approved channels, and documenting training, firms lay the groundwork for effective and demonstrable compliance.
Read the latest white paper from MyComplianceOffice here.
Copyright © 2023 RegTech Analyst
Copyright © 2018 RegTech Analyst
