BlogPassword Exposed: What to Do When Employee Credentials Leak
Back to all articles
Incident Response 11 min read Dec 6, 2025

Password Exposed: What to Do When Employee Credentials Leak

Your incident response playbook for when employee passwords appear in a breach.

You've just discovered that employee credentials have been exposed in a data breach. The clock is ticking. Attackers may already be attempting to use these credentials against your systems. Here's your step-by-step incident response playbook.

Time Is Critical
Research shows that attackers often attempt to use newly leaked credentials within 24-48 hours of a breach disclosure. Speed matters.

Immediate Actions (First Hour)

1
Force Password Reset

Immediately force password resets for all affected accounts. Don't wait for employees to do it themselves.

2
Review Recent Login Activity

Check authentication logs for unusual access patterns, unfamiliar IPs, or off-hours logins.

3
Terminate Active Sessions

Force logout from all devices for affected accounts to invalidate any stolen session tokens.

Short-Term Actions (24-72 Hours)

Verify MFA is enabled on all affected accounts
Check for email forwarding rules (attacker persistence)
Review OAuth app permissions for unauthorized access
Scan endpoints for signs of compromise
Notify affected employees with specific guidance
Document all actions taken for compliance

Employee Communication Template

Subject: Action Required: Password Reset Due to External Breach


Dear [Employee],


Your email address was found in a recent third-party data breach at [Breached Company]. While our systems were not compromised, your credentials may be at risk if you used the same password elsewhere.


Required Actions:

1. Your [Company] password has been reset. Please set a new unique password.

2. If you used this password on other sites, change those passwords immediately.

3. Enable MFA if you haven't already.


Questions? Contact IT Security at [contact].

Long-Term Prevention

Continuous Monitoring

Implement automated credential monitoring to catch exposures before attackers can exploit them.

Security Training

Educate employees about password hygiene and the risks of credential reuse.

Share this article:

Ready to Protect Your Team?

Don't wait until a breach happens. Start monitoring your employee credentials today with LeakLoop.