New Report Highlights Disparities in Workplace Incident Reporting Between Private and Public Companies

The 2025 Whistleblowing & Incident Management Benchmark Report by NAVEX has shed light on the contrasting approaches private and public companies take towards internal incident reporting. Analyzing data from over 4,000 organizations, the report highlights a higher reporting rate in private companies (1.80 reports per 100 employees) compared to public ones (1.10 reports per 100 employees). Furthermore, private companies not only report more incidents but also substantiate a higher percentage of these reports (50%) than their public counterparts (43%).

Workplace civility emerged as the most reported category, accounting for nearly 18% of all incidents. This finding is particularly significant as workplace incivility has been directly linked to negative impacts on organizational culture, productivity, and employee retention. Carrie Penman, Chief Risk and Compliance Officer at NAVEX, underscores the importance of addressing these reports to foster a healthier work environment.

The report also delves into the differing organizational responses to substantiated reports. Private companies are more inclined to terminate employment following a substantiated case, whereas public companies often opt for disciplinary actions. Additionally, private companies report a higher percentage of business integrity issues (21%) compared to public companies (18%), indicating a greater focus on ethical business practices within the private sector.

Among other key findings, the report notes a record-high overall substantiation rate of 46%, suggesting an improvement in the effectiveness of compliance programs. There's also a noticeable shift towards digital reporting channels, with web and digital forms now being more commonly used than traditional hotline methods. Despite an increase in retaliation reporting rates from 2.84% to 3.08%, the substantiation rate for these claims remains low at 18%.

This comprehensive analysis underscores the evolving nature of workplace reporting and the critical need for organizations, regardless of their structure, to implement robust and transparent compliance mechanisms. The findings not only highlight the current state of incident reporting but also point to areas where companies can improve their practices to better address and mitigate workplace issues.