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On February 10, 2025, the President issued an executive order pausing enforcement of the Foreign Corrupt Practices Act (FCPA). The order provides that for a period of 180 days the Attorney General will review FCPA investigation and enforcement guidelines and policies as well as all existing investigations and actions and issue updated guidelines or policies as appropriate. During that time, the Department of Justice (DOJ) will not start any new investigations or enforcement actions.

However, this doesn’t mean the law has changed. Your anti-bribery and anti-corruption policies and training should remain in place. Here’s why. 

The statute of limitations under the FCPA is five or six years depending on the violation. A future administration could restart enforcement, and the government could investigate and prosecute violations committed during the President’s term. But compliance isn’t just about the U.S. — many countries have strict anti-bribery laws. The UK Bribery Act, for example, is even broader than the FCPA, making it illegal to offer or accept a bribe in both public and private sectors. Other countries also have their own anti-corruption laws with severe penalties.

What is the Foreign Corrupt Practices Act? 

Bribery and corruption cost the global economy trillions of dollars annually, according to PWC. Nearly 25% of organizations report experiencing bribery, highlighting the need for strong anti-corruption policies. 

Enacted in 1977, the FCPA makes it illegal to offer, promise, or give anything of value to foreign officials to secure business advantages. It applies to U.S. companies, their subsidiaries, and even foreign entities doing business in the U.S. The law is enforced by the DOJ and the Securities and Exchange Commission (SEC). 

Under the FCPA, a bribe can be gifts, travel, charitable donations, job offers or entertainment if intended to influence a decision. Even offering a bribe, whether accepted or not, is a violation.

Additionally, the FCPA requires companies to maintain accurate financial records and strong internal controls to prevent corruption. Failing to comply can lead to hefty fines, reputational damage and legal consequences for both organizations and individuals. 

Why FCPA compliance is crucial 

Ignoring FCPA compliance can be costly. The DOJ and SEC aggressively enforce penalties, which can reach hundreds of millions — or even billions — of dollars. Executives can also face imprisonment. Companies may be subject to compliance monitorships, increased regulatory scrutiny and restrictions on business dealings. 

Beyond legal risks, a strong compliance program builds a culture of integrity to foster ethical decision-making, strengthen business relationships and boost investor and consumer trust. 

How anti-bribery and anti-corruption training strengthens ethics 

HR plays a vital role in ensuring employees understand and follow anti-corruption policies. Effective training should cover: 

  • Recognizing bribery in everyday business 
    Employees need to spot bribery risks in real-world scenarios. Training should help them assess: Is this benefit being offered to influence a decision? If the answer is yes, it could violate the FCPA. 
  • Understanding who qualifies as a foreign official 
    A “foreign official” isn’t just a government employee — it includes workers at state-owned enterprises, international organizations like the UN, and government-controlled entities. Employees must be aware of this to avoid accidental violations. 
  • Encouraging reporting without fear 
    Employees should feel safe reporting suspected bribery or ethical concerns. Clear reporting channels — such as compliance hotlines or HR support — help address issues early. 
  • Creating a speak-up culture 
    A workplace where employees can raise concerns without fear of retaliation helps prevent unethical behavior. Organizations that listen and act on concerns can stop compliance issues before they escalate. 

Managing third-party risks 

Third-party relationships pose one of the biggest compliance risks. A KPMG survey found: 

  • 59% of organizations cite third-party engagements as their top anti-corruption concern. 
  • 87% have policies regulating these interactions, but only 53% require third-party anti-bribery training — leaving a major gap. 

To mitigate risks, companies should: 

  • Conduct due diligence on business partners, suppliers and agents. 
  • Include anti-corruption clauses in contracts. 
  • Monitor and audit third-party compliance. 
  • Provide clear training on bribery risks and policies. 

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