How does the Whistleblower Protection Act affect different types of organizations?

Understanding the application of the whistleblower law

The Whistleblower Protection Act introduces significant changes to the approach to reporting and responding to violations of the law in Polish organizations. This is an important step towards ensuring greater transparency and accountability in both the public and private sectors. However, not all organizations are treated equally in terms of the obligations imposed on them by this Act.

Who is covered by mandatory procedures?

In principle, the Act requires legal entities employing at least 50 people to introduce internal procedures for reporting violations of the law and procedures for conducting an investigation. This includes not only employment contracts, but also other forms of employment, such as civil law contracts.

Exceptions to the rule

An interesting aspect of the Act is that certain sectors are exempt from this employment limit, due to their specific nature. Organisations operating in areas such as financial services, anti-money laundering, transport security, and environmental protection must apply these procedures regardless of the number of people employed, as they are particularly exposed to legal and ethical risks.

Small units and municipalities

Smaller entities, employing fewer than 50 people, and offices and organizational units of municipalities with fewer than 10,000 residents, may, but do not have to, introduce internal procedures for reporting violations. This flexibility is intended to balance administrative and financial burdens with the need to ensure appropriate reporting channels.

What happens if procedures are not implemented?

Organisations that fail to establish internal reporting procedures may encounter difficulties because whistleblowers may then report directly to public authorities. This in turn may lead to public disclosure of issues that could have been resolved internally, with less damage to the organisation’s reputation.

Summary

Understanding the Whistleblower Protection Act is crucial for every employer and organization. Ensuring compliance not only protects organizations from legal and reputational consequences, but also builds a culture of transparency and trust within the organization.