The Whistleblower Protection Act, which will come into force on September 25th 2024, is intended to ensure an adequate level of protection for whistleblowers. The new legislation will impose new obligations on employers. The Act implements into the Polish legal system Directive 2019/1937 of the European Parliament and of the Council (EU) of 23 October 2019 on the protection of persons who report breaches of Union law whistleblowers (OJ L 305, 26.11.2019, p. 17, as amended).
Purpose of the Whistleblower Protection Act
The purpose of the Act is to protect whistleblowers in the workplace. Furthermore, reporting violations, particularly those related to corruption, financial fraud, or unethical practices, plays a vital role in maintaining transparency and integrity within both business and the public sector. The Act sets out a legal framework to ensure that whistleblowers are not subject to retaliation.
Key responsibilities of employers
1. Create a whistleblowing procedure
The employer’s primary responsibility will be to create an internal whistleblowing and followup procedure. This process is referred to as the ‘internal reporting procedure.’
The Whistleblower Protection Act generally applies to all entities, and some entities have specific obligations to establish an internal reporting procedure, including the establishment of reporting channels:
- legal entities with at least 50 employees as of 1 January or 1 July of a given year, and
- entities operating in the financial sector irrespective of whether they belong to the public or private sector and irrespective of the number of employees.
Other entities may establish internal reporting procedures on a voluntary basis.
The procedure will be established after mandatory consultation with trade unions or employee representatives if the employer does not have a trade union organisation.
The internal reporting procedure should include, in particular:
- the unit or person authorised by the legal entity to receive whistleblowing reports,
- the whistleblower’s means of reporting,
- an impartial entity or person authorised to follow up (including verification of the internal report and further communication with the whistleblower),
- defining the procedure for handling whistleblowing information reported anonymously.
2. Designation of responsible persons or units
The employer should designate persons or units responsible for receiving and analysing reports. Employers must adequately train these individuals in data protection and the methods for handling whistleblower reports.
3. Protecting whistleblowers from reprisals
Employers must ensure that whistleblowers are protected from any retaliation. This includes protection against dismissal, demotion, intimidation and other forms of discrimination.
4. Training and information for employees
Employers are required to regularly inform employees about the whistleblowing system in place and their rights. Moreover, employers need to regularly train employees on how to detect and report whistleblowing incidents.
5. Documentation and reporting
Employers must keep adequate records of all reports and the action taken as a result.
Consequences of non-compliance
The provisions of the Polish Whistleblower Protection Act provide for a number of criminal sanctions for violations of certain provisions designed to ensure the safety and security of whistleblowers. These sanctions aim to discourage actions against whistleblowers and ensure that authorities take their reports seriously and handle them responsibly. Criminal liability applies:
- obstructing a report,
- retaliation,
- disclosing the identity of a whistleblower,
- false reporting,
- failure to comply with an internal reporting procedure.
In addition to criminal sanctions, entrepreneurs face other legal risks:
- civil liability,
- loss of reputation,
- internal problems,
- inspections and audits,
- risk of losing contracts and public orders.
In Summary
The entry into force of the Whistleblower Protection Act in Poland imposes a number of obligations on employers to protect whistleblowers. Employers must set up an effective whistleblowing system, ensure that whistleblowers are protected from reprisals, regularly train employees and keep adequate records. Compliance with these obligations is key to maintaining fairness and transparency in the workplace and building trust among employees.
360 Business Law can assist employers in navigating the complexities of the 2024 Whistleblower Protection Act by providing expert legal guidance and tailored solutions. Our team of experienced attorneys will help you implement robust whistleblowing procedures, ensure compliance with all legal requirements, and protect your organisation from potential liabilities. We provide comprehensive training programs for your staff, conduct detailed policy reviews, and offer ongoing support. By utilising these services, we actively help your company maintain transparency and uphold integrity. At the same time, we actively ensure that whistleblowers receive thorough protection from any form of retaliation.
Key Takeaway Points:
- Expert Legal Guidance: 360 Law Services offers specialised advice to ensure full compliance with the Whistleblower Protection Act.
- Tailored Whistleblowing Procedures: We help design and implement effective internal reporting systems.
- Comprehensive Training: Our training programs educate employees on their rights and responsibilities under the new law.
- Policy Review and Support: We provide thorough reviews of existing policies and offer ongoing support for maintaining compliance.
- Risk Mitigation: By partnering with 360 Law Services, employers can minimize legal risks and protect their reputation.
By Katarzyna Szulc