INTHEBLACK July/August 2023 - Magazine - Page 57
“A poor employee review will certainly cause people to question
whether it is a company they want to engage with or work for.”
SCOTT TRAEGER, LANDER & ROGERS
rarer, so one negative review is more likely to
stand out. A poor employee review will certainly
cause people to question whether it is a
company they want to engage with or work for.”
WHAT COULD GO WRONG?
Research supports the notion that poor
reviews can have an impact on a company.
In a 2018 Indeed survey of 500 workers,
62 per cent of respondents said insight
into the company’s employer reputation
would be “extremely important” if they
were considering a new job opportunity.
CareerArc surveyed 508 job seekers and
654 human resources professionals in the
US, and 64 per cent of respondents said
they have stopped buying from brands
tarnished by poor employee treatment.
According to Glassdoor, 86 per cent of job
seekers/employees are “likely to research
company reviews and ratings when deciding
to apply for a job”.
This suggests that a cluster of negative
reviews – or even one particularly scathing
one – could affect a business, deterring
potential employees or even customers
from engaging with the company.
STRATEGIES TO MANAGE RISK
As the first line of defence, Traeger recommends
implementing strong processes to enable staff
to provide feedback internally in a safe way,
instead of venting their frustration to the world.
Giving people the ability to pass on their
concerns to higher levels of the company may
help, especially if they believe those concerns
will be taken on board, Traeger says. “They will
be more likely to use those avenues while they
are still engaged employees of the company,
rather than leaving disgruntled and posting
about them online.”
It is also crucial to have processes in
place for monitoring and managing external
reviews when they do happen, he adds.
If the review has been written by a current
employee who can be identified, the first step
would be to speak to the person to address
their concerns in person, says Traeger.
For anonymous reviews, or for reviews by
former employees, responding to rather than
ignoring them may put the company in the
strongest position. A Glassdoor survey has
found that 80 per cent of job seekers in the US
who read reviews had an improved perception
of a company where the company had
responded to a negative review.
Having a dedicated person who is responsible
for responding to reviews is important, says
Traeger. Responses should be respectful. They
should thank the reviewer by name, if possible,
acknowledge any positive feedback and address
any concerns.
LIBELLOUS REVIEWS
Traeger is often approached by companies
that have received a defamatory review.
Understandably, they want to have a false
or malicious review from a disgruntled
or former employee removed.
“Under Australian defamation law, truth
is a complete defence to a defamation
claim, so we primarily see scenarios where
someone has made something up or
significantly embellished the truth,” he says.
If the reviewer can be identified, a letter
may be sent pointing out that certain parts
of their review are false and defamatory,
and asking that the review be removed.
For an anonymous review, steps may be taken
to try to reveal the reviewer’s identity with the
help of the review site. In extreme cases, the
review site itself may be subject to legal action.
LEVERAGING FEEDBACK
Internal processes that recognise outstanding
employees with awards or professional
development opportunities can go a long way
to boosting the company’s reputation – both
internally and externally, says Traeger.
While it is impossible to avoid negative
reviews, they can – and should – be treated
as a tool that can be used to improve
company culture.
“Review sites are, by their very nature,
a forum for feedback, so you can leverage
them by seeking to improve your employee
experience through the identification of
problematic staff, issues around work culture
and other concerns,” he says.
Managing reviews can be time consuming,
but it is a necessary step to help safeguard
a carefully built reputation.
BORROW
Embedding Ethics
in Corporate
Culture: A Practical
Guide to Minimising
Reputational
Risk from the
CPA Library
intheblack.cpaaustralia.com.au 57
