On October 7, 2019, the European Council in the EU adopted the Directive on Whistleblower Protection. The regulation applies to all employers, both private companies and public institutions, employing at least 50 people. The Directive must be implemented in each member state in two stages. The first stage, concerning companies employing 250 or more people, ended on December 17, 2021. The second stage, covering entities employing between 50 and 249 employees, is to last until December 2023.
A whistleblower is a person who reports observed irregularities in a company or public institution where they work or collaborate. Their main objective is to protect the public interest or the reputation of the institution, rather than their own benefit. A whistleblower acts in good faith, meaning they have good intentions.
Protected Whistleblower
The directive is aimed at protecting whistleblowers from retaliatory actions and providing a sense of security, including the option for anonymity if needed. It also regulates the process of receiving reports and responding to them. When an employee faces the dilemma of whether to report that their employer, manager, colleague, or coworker is breaking the law before taking any action, they want to be sure that they are not at risk.
Reporting Violations
The role of whistleblowers is crucial. In order to build a strong, diverse, open, and honest society, the state must provide its members with a sense of security when reporting crime (breaches of EU law). If we feel threatened, we will not want to report violations.
Safety and Anonymity
The directive is aimed at protecting whistleblowers from retaliatory actions and providing a sense of security, including the option for anonymity if needed. It also regulates the process of receiving reports and responding to them. When an employee faces the dilemma of whether to report that their employer, manager, colleague, or coworker is breaking the law before taking any action, they want to be sure that they are not at risk.
Procedures for Everyone
This regulation is being implemented because smaller enterprises lack procedures related to whistleblowers, and if they do exist, they are ineffective. Current solutions do not guarantee whistleblower anonymity and protection. Therefore, the regulations aim to ensure anonymity and security for individuals reporting legal violations. Every company must have the capabilities and tools to internally address issues before, if necessary, reporting them to authorities.
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„The aim of changes in compliance departments is to build healthy practices and create a fairer and more open society.“
