What should a nonprofit do when an employee acts inappropriately at a fundraising event?

A work event is the workplace

In practice, addressing inappropriate employee conduct at a fundraising event requires more than just following a checklist. The situation is often public and involves stakeholders beyond the usual workplace audience. Nonprofits must act deliberately to maintain trust with donors, volunteers, and the community while upholding internal standards. This means moving beyond assumptions to gather clear facts and ensuring the response fits both compliance needs and operational realities.

What I see employers miss is how easily pressure to minimize disruption can lead to inconsistent or incomplete responses. If the nonprofit’s leadership reacts without a clear, documented process, it risks escalating the issue or undermining morale. The goal is not just to enforce rules but to preserve institutional integrity and reduce future risk through transparent, accountable handling.

Whether attendance was compensable is a separate question, and often yes

One common gap is assuming that event conduct falls outside formal HR oversight. In reality, fundraising events are extensions of the workplace environment, so policies and codes of conduct apply fully. Overlooking this connection leads to confusion about who investigates and disciplines, which can delay or derail effective action. It’s critical to clarify roles and expectations in advance so managers are prepared.

Another frequent mistake is neglecting proper documentation. Memories fade and stories diverge, especially when multiple people witness the same incident differently. Without timely, objective records, defending the nonprofit’s response to complaints or grievances becomes difficult. Documentation also supports consistent application of discipline, which employees notice and respect more than vague promises of fairness.

Apply the same standard you would on site

Start by reviewing your nonprofit’s existing policies on employee conduct, event behavior, and discipline to confirm they explicitly cover fundraising events. Then, examine how managers and HR typically handle complaints in practice. Are investigations timely, and do outcomes align with stated policies? This operational check ensures your response system is not just written but workable under real constraints.

Next, assess your documentation processes. Do managers know how and when to record incidents? Is there a secure place to store this information for future reference? Consider whether training or clearer guidance is needed to equip leaders with practical, usable frameworks. These steps reduce risk and help preserve fairness and accountability, even when resources are limited.

When donors or clients witnessed it

Engaging HR professionals early can prevent small issues from becoming larger problems. If the incident involves potential legal violations, conflicting witness accounts, or high-profile stakeholders, expert guidance ensures compliance and appropriate risk management. HR can also assist in crafting communication strategies that maintain donor and community confidence.

Additionally, nonprofits with limited internal HR capacity should consider outside support to review policies, train leadership, or handle investigations impartially. Outsourced HR expertise brings perspective that balances compliance with operational realities, helping nonprofits navigate these sensitive situations without overburdening existing staff.