On CNET: Napster vs. Rhapsody?

BNET Insight

Aussie Rules

Business blogs from down under.

Facebook at Work: What are the Legal Risks?

April 22nd, 2008 @ 7:00 pm

2 Comments

Categories: SMBlog

Tags: Facebook, Employee, Social Networking, Internet, Networking, Online Communications, Marketing, Advertising & Promotion, Campbell Fisher

The legal risks associated with using social networking sites, like Facebook, at work are becoming a growing concern for many employers. With Australia having the fifth-largest number of Facebook users worldwide, the Web site is opening up a plethora of potential legal risks for companies who allow their employees to access the site at work. Benefits there may be, but these are a few of the possible risks employers are exposed to.

Productivity Loss
One major concern for most employers is the substantial productivity loss Facebook is causing when used during working hours. A report conducted last year by Internet filtering company SurfControl estimated that the site may be costing Australian businesses $5 billion a year.

Security and Privacy Concerns
Another growing concern is the potential for confidential company information to be disclosed or leaked online by employees. Although most employees primarily use the site to “keep in touch” with friends, there is the risk of employees discussing company business and corporate affairs online and leaking company trade secrets. There is also the fear that employees using the site at work may make company systems vulnerable to hackers to infiltrate company networks since many Facebook profile pages contain users’ current employment details.

Risks searching Facebook to make recruitment decisions
There have been reports that some companies use these sites to “validate” recruitment decisions when recruiting new employees. This can lead to discrimination claims being brought against them.

Inappropriate content and behaviour online
Another serious legal concern is that vicarious liability may be attributed to employers for the bullying, harassing, discriminating or defamatory conduct engaged in by employees online, since this type of behaviour is essentially occurring at work, during working hours and using company property. Employees who upload inappropriate content at work could also be breaching email and Internet usage policies already in operation at the workplace.

IT issues
Employees downloading/uploading video or photo content online while at work can also affect the overall performance of the computer network system at the office.

Some suggest it is only a matter of time before these types of cases are brought before the courts. If employers are concerned about being exposed to these risks, they should either block Facebook access altogether, monitor usage and moderate its content or at the very least implement policies regarding the usage of Facebook and other social networking sites at work to ensure employees are not putting their businesses at risk.

Campbell Fisher is a Solicitor and Managing Partner of FCB and an Accredited Specialist in Employment and Industrial Law. Campbell has assisted many top-performing Australian and international organisations to successfully introduce and manage industrial change in a way that ensures legal compliance, and also represents best practice in Human Resource Management. FISHER CARTWRIGHT BERRIMAN (FCB) is a multi-disciplinary legal practice that specialises in employment and industrial law, workplace relations and Occupational Health & Safety.
 
Reply to Story

BNET TalkbackShare your ideas and expertise on this topic

Subscribe to this discussion via Email or RSS

     
  • 1

    ihfwt

    04/29/08 | Report as spam

    Facebook at work

    Employees have no business using Facebook or any other social networking sites during working hours. The only exception being employees of the HR department, they may need access to gather info on prospective employees.

  •  
  • 2

    Tee_Kay

    04/29/08 | Report as spam

    RE: Facebook at Work: What are the Legal Risks?

    While I agree that facebook has some negative impact on employee work time & general productivity, where do you draw the line between networking and 'wasting time'? This is especially for people working in marketing, advertising, public relations and other professions where building social contacts is a core aspect of their professions. As for the point on hackers & head-hunters, weren't they enough of a 'risk' before the arrival of facebook on the scene?

    As for the legal hassles involving facebook, given that in today's world it's possible for a burglar to break into a house, fracture his leg, then decide to sue to the home owners & even win the case - there will always be room for a court case or two. After all something or other has got to keep the lawyers in business.

The following tags are supported in BNET comments:
<b></b> <i></i> <u></u> <pre></pre>

Leave a Reply

  1. You are currently a guest | Login?
advertisement
Go
advertisement
  • Click Here
  • Click Here
advertisement