Post on 12-Jan-2017
Building SuccessfulEmployee
RelationshipsA Cornerstone to Fraud Prevention
and Risk Management
Building SuccessfulEmployee
RelationshipsA Cornerstone to Fraud Prevention
and Risk Management
Building SuccessfulEmployee
RelationshipsA Cornerstone to Fraud Prevention
and Risk Management
Building SuccessfulEmployee
RelationshipsA Cornerstone to Fraud Prevention
and Risk Management
IntroductionsDavid Hammarberg
• Principal• Leader of Forensic Examination
Services• Certified Fraud Examiner• Dhammarberg@macpas.com
Sam BowerCraft• Senior Manager• M.S. Information Systems• Certified Information Systems
Auditor• SBowerCraft@macpas.com
Eric Stark• Cipriani & Werner PC• Esquire• Partner• EStark@c-wlaw.com
Objectives• Increase the understanding of the risks associated with the hiring
and retention of employees related to:• Employment law• Fraud and operations
• Gain a better understanding of new legal requirements and guidance related to the hiring process.
Common Organizational StructureThe employee/employer relationship is a foundation for a successful business.• This relationship is managed by both parties – employee and
employer.• It starts with the Hiring Process.• It continues with the Managing Current Employees process.• The greater the company investment in the relationship, the
greater the return.
Common Organizational StructureA company’s employment and management processes set expectations for the relationship.• Environment• Culture• Acceptable and unacceptable behavior.
Risks to Avoid - Ineffective (Bad) Hiring Practices Lead to:• The wrong employee in the position.• Bad employees
(bad fit for role / company / fraud).• Bottom line impact due to cost of replacement.• Organizational discontent.• Allegation of Discrimination in the Hiring Process• Costly Litigation
Processes to Mitigate These RisksHiring Practices 101: Do these things.• Draft/Review Job Descriptions• Conduct a Post-offer, pre-employment physical examination• Consult Experts When Necessary
Processes to Mitigate These RisksBeware these things.• Illegal Advertising/Interviewing Practices• Americans with Disabilities Act (ADA) Overlay• Background Check Legal Issues
Management Practices 101Do These Things• Draft and Update Company Handbook• Apply Existing Policy Consistently• Ensure Adequate Documentation Exists
Management Practices 101Beware These Things• Unemployment Compensation Eligibility• Wrongful Termination • Discrimination in the Disciplinary Process
Benefits to Implementing These Processes• Proper employee hiring (right person, integrity)• Better employee retention• Lower risk of fraud or operational issues.• Reduced risk of employee loss / termination risk.• Legal Compliance
Questions?David Hammarberg
• Principal• Leader of Forensic Examination
Services• Certified Fraud Examiner• Dhammarberg@macpas.com
Sam BowerCraft• Senior Manager• M.S. Information Systems• Certified Information Systems
Auditor• SBowerCraft@macpas.com
Eric Stark• Cipriani & Werner PC• Esquire• Partner• EStark@c-wlaw.com
Questions?David Hammarberg
• Principal• Leader of Forensic Examination
Services• Certified Fraud Examiner• Dhammarberg@macpas.com
Sam BowerCraft• Senior Manager• M.S. Information Systems• Certified Information Systems
Auditor• SBowerCraft@macpas.com
Eric Stark• Cipriani & Werner PC• Esquire• Partner• EStark@c-wlaw.com
Building SuccessfulEmployee
RelationshipsA Cornerstone to Fraud Prevention
and Risk Management