The IIROC Regulatory Notice 11-0349 is the latest recordkeeping regulation enacted by the Investment Regulatory Organization of Canada (IIROC) as a measure to control the use of social media channels, as well as chat apps, including WhatsApp by financial firms registered in the country.
The nascent status of WhatsApp usage in the Canadian workplace (attributable to the historical conflicts with Canadian privacy laws in the past) is being challenged by the global workforce mobility empowerment represented by this IM chat app. With employees increasingly turning to WhatsApp, among other mobile channels, in their day to day tasks, Canadian businesses are likely to respond positively. In anticipation, WhatsApp is on track to release WhatsApp Business for iOS that will be available for Canadian businesses in the coming weeks.
With all the advantages it offers, WhatsApp nevertheless has its own risks which financial firms should consider. Read on as we discuss in this infographic the key risks of WhatsApp messaging in the workplace that Canadian financial companies must address.
- Cybersecurity Risks
Hacking and malware infiltration via chat apps is becoming a key issue as WhatsApp continues to become more popular in the modern workplace. For instance, attackers can send bogus chat messages that will trick victims into downloading malware.
A recent vulnerability in WhatsApp was also found which allows Facebook users to intercept and read encrypted messages in the app, a threat that might compromise the security of the confidential messages that employees might send over the platform.
While WhatsApp has promised to fix these issues soon, it is imperative for companies allowing their employees to use the app to educate them about the nature of these threats, and how they can minimize their exposure while using the app in their jobs.
- Intellectual Property Leaks
One of the key selling points of WhatsApp is its end-to-end encryption feature, which means that no third-party should be able to understand the messages other than the sender and its intended recipient.
While highly beneficial as it can allow employees to collaborate more securely, it can also be used by some employees to send proprietary information to an outside party, which can have reputational and competitive ramifications for the company.
In order to deter employees from doing so, it is crucial for the financial company to have a solution that can capture WhatsApp messages in real-time. This will allow them to monitor their employees’ behavior on the app and identify potential red flags for illegal disclosure of intellectual properties of the organization.
- Privacy Risks
Companies and organizations in Canada are bound to comply with the Personal Information Protection and Electronic Documents Act (PIPEDA). Amended in 2015 through the Digital Privacy Act, this federal law requires private sector organizations to comply with several standards for the collection, use, and disclosure of personal information.
In essence, this law forces companies to have a holistic understanding of the data, including electronic communications such as WhatsApp chats. Financial companies that use WhatsApp to communicate with their clients will need to have appropriate guidelines and procedures in retaining and destroying any personal information disclosed via the app.
- Mobile Archiving Compliance Risks
Aside from IIROC Regulatory Notice 11-0349, Canadian financial entities are subject to a number of archiving rules and regulations National Instrument (NI) 31-103, the IIROC Rule 29.7, the Mutual Fund Dealers Association of Canada (MFDA) Rules 2 and 5, and Universal Market Integrity Rules (UMIR) Policy 7.1.
All these rules require companies to retain and capture WhatsApp chats, among other mobile communications and maintain them in storage that will allow them to remain accessible in case of compliance audit and litigation request. Failure to meet these requirements can result in hefty fines and penalties and even higher cost for litigation.
For Canadian firms that know only to capture mobile SMS and record phone calls, seeking a new solution that also has the capability to archive WhatsApp can be extremely challenging. Fortunately, there are vendors offering a complete mobile archiving solution that can also capture and record WhatsApp chats –such as the TeleMessage WhatsApp Archiver.
TeleMessage’s WhatsApp Archiver is a unique platform tailor-made to solve compliance and regulation issues by allowing Canadian firms to capture and archive WhatsApp messages.
This platform works exactly like the standard WhatsApp application, ensuring that your employees will still be able to send work-related communications easily and quickly.
The benefits of using WhatsApp Archiver in your business include:
- Archive all WhatsApp communications
- Use WhatsApp to communicate with customers, employees, and stakeholders
- Search, track and retrieve WhatsApp messages in the corporate archive
- Deposit WhatsApp messages with any email archiving vendor
- Full administration and reporting
The TeleMessage WhatsApp Archiver is the latest addition to our mobile archiving solution that securely captures content from mobile carriers and mobile devices for a variety of ownership models (BYOD, CYOD, and employer-issued). With our multiple archiving methods, you can always find the right tools or blend for your requirements:
TeleMessage offers cross-carrier and international mobile text & calls archiving for corporate and BYOD phones. Visit our website today at www.telemessage.com to learn more about our mobile archiving products.
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