A new
report, based on the
research of the charity, Public
Concern at Work [www.pcaw.org.uk]
and the University of Greenwich
(Work and Employment Relations
Unit) into the experiences of
1,000 whistleblowers has been
published.
The statistics
reported give cause for concern:
-
60% of
whistleblowers receive no
response from management,
either negative or positive.
-
The most
likely response is formal
action (disciplinary or
demotion - 19%).
-
15% of
whistleblowers are
dismissed.
-
Newer
employees are most likely to
blow the whistle, with 39%
having less than two years’
service.
-
74% of
whistleblowers say nothing
is done about the
wrongdoing.
As you’ll know,
workers who report malpractices
by their employers or third
parties are protected and the
above statistics reveal
practices which will expose
employers to risks of claims
against them. We don’t want you
to be one of them!
So what
protection do whistleblowers
have?
There are two
levels of protection for
whistleblowers:
1. The dismissal
of an employee will be
automatically unfair if the
reason, or principal reason, for
their dismissal is that they
have made a “protected
disclosure”; and
2. Workers are
also protected from being
subject to any detriment on the
ground that they have made a
“protected disclosure”.
To qualify for
protection, a whistleblower must
satisfy the following test:-
-
Have they
made a qualifying
disclosure? There must be a
disclosure of information,
relating to a “relevant
failure” and the worker must
have a reasonable belief
that the information shows
one of the relevant
failures;
-
Is it also a
protected disclosure? This
depends largely on the
identity of the person to
whom it is made and whether
it is made in good faith.
There is no
financial cap on compensation
for whistleblowing claims and no
requirement for a minimum period
of service.
What do I
need to know?
Although there
is no positive obligation on an
employer to encourage
whistleblowing or implement a
whistleblowing policy (save for
certain organisations that face
more scrutiny, such as public
bodies), we generally recommend
that employers implement a
written policy on whistleblowing.
The benefits of
having a policy are that it is
likely to:
-
encourage a
culture where concerns are
reported internally at an
early stage so are easier to
address,
-
make it less
likely for employees to
report concerns externally
to the press or third
parties, and
-
send a clear
message of the importance of
whistleblowing to the
company, minimizing the risk
that whistleblowers will be
dismissed or suffer a
detriment, which could lead
to a claim against the
employer.
You should be
aware that there are some
imminent changes to be made in
this area.
Statutory
provisions dealing with a new
public interest test, the power
to reduce compensation where a
disclosure is not in good faith
and the definition of “worker”
will come into force this month
and will apply to disclosures
made from that point onwards.
The new concept of vicarious
liability for employees and
personal liability for
co-workers who victimize a
whistleblower by causing
detriment is to be introduced
during the Summer.
This is a
complex area of law and
employers will not always spot
potential whistleblowing when it
arises. If you have any concerns
regarding this or if you require
further information or some help
reviewing or drafting a
whistleblowing policy, please
get in touch. |