One in four of us work for an Investors In People organisation. But is it just a badge that companies use for recruitment? Many employees praise it for transforming their companies, but critics argue that a lack of spot checks and monitoring means it is losing credibility.

IIP is about investing in staff training and development. As with any sound investment, a substantial return is expected and, with a bit of luck, a bonus dividend as well. Its aim is to help employers achieve their business goals and, hopefully, results in a happier, motivated workforce.

To be an IIP, employers have to meet its principles of good practice for training and development.

If your employer is an IIP, you should expect regular briefings, frequent feedback and review meetings about your performance. You should also understand how your job helps your organisation achieve its goals. When an organisation is being assessed for IIP status, independent assessors talk to employers and employees.

There is a status attached to being IIP recognised and the number of employers signing up for the scheme grows all the time. As IIP gains in kudos, however, some employees argue that it is losing credibility and needs better policing.

The problem is that to most employees speaking out against their employer would be like renouncing communism in China.

It's a risk not worth taking. To protect their jobs, the identities of all people who have criticised IIP for this article have been concealed.

"IIP is a joke," says Paul who recently resigned from an accountant who achieved IIP status about two years ago.

"My company didn't care about their staff. They followed the procedures - induction, appraisals, meetings - but only as a matter of routine to keep the Standard. You'd talk about what training would be useful in appraisals, but it was never followed up. Meetings were for criticising staff. No one was interested in what you had to say."

"I think my firm went in for IIP because it looks good on the letterhead," says Francine who works for a law firm which became IIP accredited about 18 months ago. "We had no idea it was going for it until a week before the assessment. Up until then, we'd never had meetings or appraisals. We didn't even have employment contracts. All of a sudden we were having meetings, contracts were being drawn up and people were being inducted months after joining."

Francine says that the staff pulled together to get the accreditation and deceive the assessor. "When I was interviewed, I felt a fraud. But I said everything I was told to say. We were awarded the certification and then everything returned to normal. We haven't had a meeting since. It makes a mockery of the whole thing."

Ruth Spellman, chief executive of Investors In People UK, is aware that some organisations abuse the Standard. But she says that recent changes to the assessment system mean this is now harder to do. "It is not just about a company telling us they are open with staff - they have to show us. They have to show us examples of feedback and they have to show us how they have equipped their staff with new skills to help them do their job better.

"We speak to staff and encourage them to talk openly about how their company is meeting the Standard. We choose who we speak to, employers can't put forward their favourites."

If a firm fails to meet the requirements, however, employers know which members of staff have been spoken to. In a small organisation especially it is easy to round up the "whistle blowers". Under these circumstances, is it possible to make a fair assessment?

Ms Spellman says: "I'd be disappointed if staff felt pressurised to say the right thing. Even if they are, our assessors are trained to pick up on this. If an employer is not committed to the Standard it's difficult to fake.

"We get employees approaching assessors at the end of the day in the car park and saying 'Now let me tell you what this place is really like.' These comments are as valuable as what is said inside the building."

Chris, another IIP critic, working in PR, dismisses Spellman's comments. "The integrity of the IIP Standard is going to be completely lost, unless spot checks are introduced. It's the only way to ensure that the system is not abused," he said.

Spot checks are not on the agenda. "The Standard is entered into on a voluntary basis," says Ms Spellman, "and its high standards are maintained through a combination of controls. IIP organisations are required to go through assessment every three years, although many choose to do this at shorter intervals. They are also required to sign an acknowledgement outlining the organisation's responsibility to uphold the principles of the Standard.

"There is a complaints procedure to allow people to notify Investors in People UK of any concerns they may have regarding an organisation's compliance."

If you feel that your company is not meeting the requirements of the Standard you can complain, anonymously if necessary, to IIP UK. Peter Jones, IIP UK's director of quality, says: "We get about 30 complaints a quarter. We investigate each one, but about 70% are not relevant to the remit. People often think that IIP companies can't make them redundant or sack them.

"Disciplinary procedures aren't dealt with by the Standard. If an employee has a legitimate complaint, a part-time worker not being given the same access to development opportunities as a full-timer worker, we will ask our regional quality assessors to return to the company in question. If it is in breach of the Standard, it will loose their accreditation."

The spirit with which employers approach IIP is crucial to its effectiveness, says Professor Bob Thackwray, co-author of Investors in People Maintained and an IIP assessor. "Organisations that apply for IIP just for the badge are missing the point. It is a tool that has to be used correctly. There are stories of companies abusing the Standard, but in the end it does the organisation no good, it just wastes their time and money."

When companies are committed to making IIP work it can be very successful. There are hundreds of examples of employees with nothing but praise. "My company was transformed by the introduction of IIP," says Alison Johnstone, housing officer at Manchester-based housing association Space.

"I've been with Space five years, and two years ago two things happened. We got a new chief executive, and IIP. Before this, all the staff were stressed and up-tight, you had to constantly watch your back. Now everyone is much happier. If problems arise you know that there are people you can go to for advice.

"There is also much more opportunity within the company. You're trained on anything that you need to do in your job, which led to me being promoted.

"And there is so much more communication. We have a staff conference once a year, a briefing with the chief exec once a month, regular meetings and there is information on our intranet. We also have six-monthly appraisals and feedback is acted upon. IIP is not just some award that has gone on a shelf."

Jeremy Levene, consultant at human resource and payroll company Ceridian Centrefile, says: "IIP has really developed me as a person. My company has made a big commitment to my career development. We have an appraisal system designed to link corporate aims with my personal goals. It gives you the freedom to say where you want to go in the company and then looks at any skill gaps. I can see some companies could view IIP as just a PR thing. For it to work the employer and the employees need to be really committed to it."

If you are looking for a job, and are attracted to an organisation because it is IIP recognised, do your research. Make sure that it practices what it preaches.

路 Complaints about IIP organisations should be made to: The Quality Team, Investors in People UK, 7-10 Chandos Street, London W1G 9DQ. Tel 020-7467-1900.

For more information go to investorsinpeople.

Employers following the IIP Standard should:

路 Be committed to developing their workforce.

路 Run induction programmes for new staff and existing staff changing roles.

路 Make their goals clear and show staff how they help to meet them.

路 Give part-time staff the same access to training as full-timers.

路 Encourage staff to develop skills that will help them do their job and progress within the company. This could be through courses, shadowing, mentoring or other training opportunities.

路 Evaluate training and development through appraisals, meetings and feedback.

路 Recognise hard work.

路 Keep staff informed of what is happening and why in the organisation, through meetings, newsletters or intranets.

路 Listen to staff and encourage them to express their opinions.