Whistleblower Protection Act - 9 Tips For Compliance

The Whistleblower Protection Act is the national implementation of the EU Whistleblowing Directive, which came into force in 2019. More than two years after the deadline for implementation, Germany has also adopted the Hinweisgeberschutzgesetz. Not only companies are obliged to comply. Municipalities with more than 10,000 residents must also set up reporting channels. Companies with fewer than 250 employees can share a reporting channel. Contrary to the requirements in the EU Whistleblowing Directive, the Whistleblower Protection Act stipulates that group companies can use the parent company’s reporting office. Attention must be paid to the national implementation in the respective EU country if the subsidiary has 250 or more employees.

Under the law, companies with more than 50 employees are obliged to take several measures. One of the key requirements is the establishment of effective and secure reporting channels that enable whistleblowers to report breaches internally. These channels must protect the confidentiality of whistleblowers and ensure that their reports are treated confidentially. In addition, companies must introduce procedures to ensure that reported breaches are investigated quickly and efficiently. Compliance with these requirements demands that companies not only implement technical solutions, but also create a corporate culture that supports and promotes whistleblowing.