Managers Discussing Employees with Other Employees: Is It Ethical?

Michelle Wilson - January 19, 2023

In the workplace, confidentiality is an important aspect of business ethics and principles for many organizations. As a baseline, employees can expect that personal information, including their compensation, medical benefits, income tax withholding, and job performance, will be confidential. For this reason, the human resources department is often responsible for ensuring these matters remain confidential.

Unfortunately, while matters such as the ones listed above are often a part of a company’s policies and therefore laid out as black and white (or right and wrong), other matters like discussing employees with other employees present more of a gray area. In these cases, the question becomes an ethical one rather than a legal one.

When Might It Be Necessary to Discuss Employees With Other Employees?

Companies and their employees must first consider the background to answer the question properly. In any workspace, there are certain situations in which an employer or manager must discuss an employee with other coworkers to address a specific problem; consider a few of the examples listed below.

Performance Issues

If an employee is struggling with their work and the manager needs to enlist the help of a coworker to provide additional support and assistance, it may be necessary to disclose some information about the employee’s performance. In this example, a manager may reason that by discussing this information with another employee, they can determine the root cause of the performance issue. Sharing information about the employee’s performance with coworkers can help identify potential contributing factors such as lack of resources, training needs, or other issues that may be impacting the employee’s ability to perform their job effectively.

Suppose the manager knows the root cause of the problem. In that case, a manager may also discuss one employee with another in an attempt to enlist the help of coworkers to provide additional support or resources to the struggling employee or develop a training or development plan to address any identified skill gaps.

Health and Safety Concerns

When an employee’s behavior or actions pose a potential risk to their own health and safety or others, it is the manager’s responsibility to address the issue and ensure that all employees are protected. In this case, ensuring safety may involve disclosing information about the employee’s behavior or actions to other coworkers to help them address the issue.

Common situations include if the employee is displaying aggressive or threatening behavior. In that case, it is often necessary to inform other coworkers to ensure they are aware of the potential risk and can take appropriate precautions. Similarly, suppose an employee is struggling with a mental health issue affecting their ability to perform their job safely. Again, managers may need to discuss the issue with coworkers to provide the necessary support and resources to help the employee manage their condition.

Ultimately, disclosing information about an employee’s behavior or actions to other coworkers should be based on careful consideration of the potential risks and benefits and should be done on a need-to-know basis to protect the well-being of all employees and maintain confidentiality in the workplace.

Legal or Compliance Issues

If an employee’s actions could lead to legal or compliance issues for the organization, the employer and manager need to address the issue and mitigate any potential risks. Therefore, legal issues present another example of when discussing the issue with other coworkers may be necessary to gather additional information and develop a plan of action.

For example, suppose an employee is engaging in illegal or unethical behavior that could expose the organization to liability. In that case, managers may need to discuss the issue with coworkers to gather evidence and determine the best course of action. Similarly, suppose an employee needs to follow company policies or procedures that ensure compliance with laws or regulations. Again, managers may need to discuss this topic with other employees to identify the root cause and develop a plan to address the issue.

HR Investigations

When an employee files a complaint in the workplace, it is typically the responsibility of the human resources (HR) department to investigate the matter. During the investigation, the HR staff member responsible may need to interview other employees to gather additional information. In these situations, the HR staff member will typically aim to maintain the confidentiality of the employee’s complaint to the extent possible. However, an HR staff member may not always be able to maintain complete confidentiality, as they may need to disclose certain information to fully investigate the matter.

In general, the focus of a workplace investigation should be on the circumstances surrounding the employee’s complaint rather than on the employee’s personal information or matters related to employment-related decisions. The goal of the investigation is to gather the necessary information to determine the facts of the case and to identify any actions that may be necessary to resolve the issue. By maintaining confidentiality and focusing on the specific circumstances of the complaint, the HR staff member can help to ensure a fair and unbiased investigation.

Taking each scenario into account, it is still crucial for employers and managers to be mindful of their responsibilities when it comes to maintaining confidentiality in the workplace and to only disclose information on a need-to-know basis. They should also be mindful of any laws or regulations that may restrict sharing of certain information types.

Ensuring an Ethical Stance

A company’s ethical position regarding sharing information about employees can vary. Some companies may place a strong emphasis on maintaining confidentiality and may have strict policies to protect their employees’ privacy. Other companies may be more open to sharing information about employees with their coworkers, provided that it is necessary and relevant to the work the employees perform.

In general, it is ethical for companies to respect the privacy of their employees and to only share information about them on a need-to-know basis. By this standard, information should only be shared with coworkers if they must perform their job duties or if it is necessary to address a specific issue or concern. Companies should also be mindful of any laws or regulations that may restrict sharing certain types of information, such as medical or financial information.

Companies are encouraged to continue developing and implementing policies, practices, and cultures that promote proper behavior to ensure a workplace is built and maintained on ethics. In many cases, this will involve creating a code of conduct or ethical guidelines that outline the values and principles that the organization upholds and establishing procedures for addressing ethical violations. The code of conduct becomes crucial for employees to reference as part of their onboarding process.

The Bottom Line

In conclusion, while there may be times when an employer must share information about an employee with their coworkers, it is generally best to maintain strict confidentiality in the workplace. However, a company’s ethical stance may vary.