Los Angeles Business Attorneys Highlight Employee Cyber Crime – and How to Fight It

As in-the-know Los Angeles business attorneys, we know that the problem of employees committing cyber crimes is growing every year.  A single hacking attack implemented by an employee of Sony in 2011 cost the company more than $170 million.  Online businesses lose up to $7 million each day because of hacking according to the estimates of Richard Power, Computer Security Institute director.

Current or former employees commit most of these cyber crimes, which puts employee data, proprietary trade secrets and private client information at risk.  Thankfully, there are many tools that allow companies to take a proactive approach to these crimes.

Thoroughly screen potential employees. While this seems like a basic step, it is critical that you conduct a thorough screening of potential employees; this is a time when problems may be identified early on.  Look for the applicant’s reasons for leaving prior employers, and gaps in their work history.  Don’t just look at the individual’s references – actually CHECK them.

Have a security expert conduct an IT audit. Techniques related to hacking and other cyber crimes are evolving at a rapid pace.  In fact, an employee who is skilled could hack into your system in just minutes, gaining access to a substantial amount of private and confidential information.  Have audits performed by an IT expert on a regular basis.

Have an IT professional work with you to implement effective monitoring. An information technology expert can work with you to develop monitoring procedures that are beneficial for your business and environment.  Computer backup systems, remote monitoring of screens, and other procedures can work to prevent cyber crimes, or help contain the evidence should an employee hack into your system.  However, before you implement monitoring options you will want to consult an experienced Los Angeles business attorney to ensure that you won’t face legal issues down the road.

Notify employees that you have monitoring procedures in place. It is critical that you advise your employees that they should not expect privacy at work, and that you have the right as an employer to inspect voicemails, emails, computers and other property that belongs to the company.  Be sure that your employee handbook clearly outlines privacy policies, and the fact that any and all data regarding clients or you as an employer is strictly confidential.  In letting your employees know that they are being monitored, you will likely find that the odds of hacking or other cyber crimes decrease substantially.

It’s also important to encourage all of your employees to alert the company if they suspect misconduct in other employees.  Give them very clear instructions on how to go about this; you may even want to consider an anonymous way of reporting misconduct, so that employees are not reluctant to report their concerns.

At the Law Offices of Spotora & Associates, we understand that in a highly technical world where nearly every business has an online presence, risks are ever present.  As an employer, don’t let your company be the victim of cyber crime.

This entry was posted on Wednesday, April 24th, 2013 at 1:30 pm and is filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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