- Software

SEC Focus On Communication Compliance

Companies and employees communicate across the globe continues to evolve with digital communications. After the COVID-19 pandemic, tools like Zoom, Cisco Webex and Microsoft Teams became the first line of remote team meetings and online collaborations. In the daily client-employee communication, instant messaging solutions such as WhatsApp, WeChat and Telegram played an important role.

SEC and FINRA, the regulatory compliance bodies for the tech and digital industries, are moving to amend existing rules and create new ones that cover many hybrid work arrangements.

The SEC continues to insist on strict compliance and efficiency in concession, despite the failure of many companies to follow these rules.

Communication methods for employees of the early generation

Before the advent of modern messaging apps, SMS, email, and legacy chat applications were standard methods for corporate communication. The Securities and Exchange Commission and the Financial Industry Regulatory Authority (FINRA) require that firms monitor, capture and store electronic communications from corporate bonds.

Personal email accounts are not allowed to be used by employees for company communications. Additionally, legacy messaging apps such as Skype or old text messaging apps are subject to SEC and FINRA, and Verizon text archiving is one sure way to help many companies.

Modern and current employee communication methods

Many social networking sites such as LinkedIn, Twitter, and Facebook have been recognized as great business tools for teamwork.

However, personal use of social media is not subject to FINRA regulations. This emphasizes the importance of distinguishing private and business-related content. Compliance has been applied to instant messaging applications and social networking sites. The two methods of preserving interactions between clients and employees on these platforms are recording voice calls and managing text messages through Verizon SMS archiving.

To learn more about SEC’s focus on communication compliance, check out this infographic created by TeleMessage.


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