▶ implying official representation without authorization; and ▶ engaging in behavior that could harm the institution’s reputation. Having a clear policy not only gives employees notice, but also provides legal backing when discipline is challenged. Some Legal Protections Still Apply While institutions do have broad discretion, some off-duty speech is legally protected: ▶ NLRA-Protected Concerted Activity: Employees have the right to discuss wages, working conditions or management practices, even on social media. For example, if a group of tellers posts on Facebook criticizing unsafe working conditions or pay practices, disciplining them may violate the National Labor Relations Act, even in a non-unionized institution. ▶ Whistleblower Protections: Posts that raise concerns about fraud, discrimination or violations of financial regulations may be protected under whistleblower or anti-retaliation laws. For example, if an employee posts concerns about a bank’s compliance with anti-money laundering laws, disciplining that employee could trigger regulatory scrutiny. ▶ State Off-Duty Conduct and Social Media Laws: Some states limit discipline for lawful political or recreational activity outside of work. Institutions operating in multiple states should be mindful of these variations.* Weighing Response and Risk Even when discipline is permissible, financial institutions should assess the impact and proportionality of their response. Questions to consider: ▶ Does the post identify the institution or implicate its business? ▶ Has it been shared widely or caused reputational harm? ▶ Does it involve protected activity or whistleblowing? ▶ Has the policy been applied consistently in similar situations? For example, a bank might issue a warning for a minor, ill-advised political post, but terminate for a breach of confidentiality or discriminatory remarks linked to the institution. Consistency is critical to avoid claims of unfair treatment or discrimination. Best Practices for Financial Institutions To manage these issues effectively: ▶ Maintain clear, legally compliant social media policies tailored to the financial industry’s heightened reputational and regulatory risks. ▶ Train employees regularly, emphasizing confidentiality, professional conduct and online representation of the institution. ▶ Involve legal and compliance teams early when evaluating posts that may involve protected activity or regulatory issues. ▶ Document disciplinary decisions thoroughly to demonstrate legitimate, non-discriminatory reasons for action. ▶ Apply policies consistently across roles and levels of seniority. For banks and financial institutions, the stakes of employee social media activity are uniquely high. While private employers have significant latitude to discipline posts that violate policy or damage reputation, these issues demand consistent, thoughtful enforcement. As with many modern legal issues, this area is constantly evolving. Employers should stay informed and consult with experienced legal counsel to assist in navigating uncertain territory. Information in this article is provided for general information purposes only and does not constitute legal advice or an opinion of any kind. You should consult with legal counsel for advice on your institution’s specific legal issues. * States like California, Colorado, New York and North Dakota have broader laws protecting employees’ lawful, off-duty conduct, including social media activity, from adverse employment actions. Joey K. Wright Attorney Amundsen Davis LLC JWright@AmundsenDavisLaw.com As an attorney with nearly a decade of experience, Joey uses her knowledge and voice to make a difference for her clients and their businesses. She thoughtfully represents employers facing a variety of employment issues, including hiring and firing, discrimination and harassment, compensation and discipline. Amundsen Davis LLC is a Diamond Associate Member of the Indiana Bankers Association. November/December 2025 21
RkJQdWJsaXNoZXIy MTg3NDExNQ==