How to handle employee arrests: an HR professional's guide

When an employee faces serious legal trouble, HR staff and managers are crucial in mitigating the impact on business operations, team morale, and the company's reputation. This also means navigating legal liabilities and other complexities to ensure a fair process between the employer and employee. This guide outlines some best practices for handling this challenging situation professionally and diligently.

Stay calm and don't panic

Seeing an employee being escorted out of the office by law enforcement can certainly cause a stir, but it's vital to remember that an arrest does not automatically mean a conviction. Under the eyes of the law, a person is innocent until proven guilty. This fundamental distinction must guide your organisation's reaction and subsequent actions. Maintaining a calm, professional demeanour will help comfort anxious team members and stabilize the workplace environment.

Review company policies

Check if the company already has relevant policies to address such incidents. For example, if an employee is incarcerated and will not be able to work for several days, their absence may be filed under personal leave. Employee contracts may also stipulate specific disciplinary actions or termination in case of severe misconduct.

Understand the legal ramifications

Consult with your legal counsel to ensure any action you take is compliant with labour laws and avoid potential liabilities. Many jurisdictions have statutes preventing employees from discriminating against employees solely based on their arrest record, especially if the pending charges are not directly related to the job.

Conversely, some regions may have at-will employment policies that allow employers to terminate staff anytime for a wide range of reasons. Singapore, for instance, allows employees to be fired for misconduct under the terms of the Employment Act.

Conduct an investigation

Establish an internal fact-finding investigation to determine the incident's impact on the affected employee's job responsibilities and the organization's interests. This includes interviewing staff, team leaders, or managers, the affected employee, or their family about the charges and circumstances of the arrest.

The key questions that need to be addressed during this investigation include:

• Is the alleged crime directly related to the employee's role in the organisation?

• Does the arrest pose a direct threat to the safety and security of other employees, clients, stakeholders, or company infrastructure?

• Will the employee's prolonged absence disrupt business operations, and can other team members cover it?

Respond promptly

Based on the nature of the charges and the findings of the internal investigation, taking an immediate course of action may be necessary. In most situations, suspension is the safest initial step to take. Instead of being recognised as a punishment, suspension is often viewed as a protective measure to safeguard the organisation's integrity, mitigate risk, and maintain operational stability while the investigation and legal process unfold.

Document everything

Maintaining detailed records of every step of the investigation is also important. It will serve as the organisation's primary defense should a legal challenge arise. These records must include:

All steps taken during the internal investigation

Communications with the employee, legal counsel, and all parties involved in the probe

The type of disciplinary action, its duration and conditions, and the specific reasoning behind the decision

Manage communications confidentially

The news of an employee's arrest can spread like wildfire across the office, causing anxiety and speculation among colleagues. Communications must therefore be handled with extreme care and professionalism. 

Limit information only to those on a need-to-know basis, such as the employee's direct manager and the leadership team. If the company must issue a statement, it should be done with consultation with legal and PR to ensure accuracy and protect against defamation claims.

Boost employee morale

As a colleague's arrest can be deeply unsettling for everyone, it is also important for companies to offer support to employees to alleviate stress and anxiety caused by the incident. This includes reassuring staff that the situation is being handled appropriately and providing access to assistance programs if available. 

Ultimately, handling an employee's arrest demands a balance of empathy and pragmatism. By remaining calm, prioritizing fairness, and ensuring strict legal compliance, HR and management can shield the company and its staff during such challenging and sensitive circumstances.