FAQs

The Whistleblower Protection Act is a legal regulation that aims to protect whistleblowers who report illegal behavior (“violations”) in organizations. With the HinSchG, the German legislature has transposed an EU directive into national law.

The HinSchG aims to provide adequate protection for whistleblowers. They should be encouraged to report unlawful conduct without fear of reprisals.

The law requires organizations to set up a suitable reporting channel for whistleblowers and to establish appropriate protective measures for them to protect them from reprisals, discrimination, or dismissal. These include, among other things, the confidentiality of the reporting channel and protection from consequences under labor law and other unjustified disadvantages for the whistleblower.

Employers with more than 50 employees (Section 12 (2) HinSchG) are required under Section 12 (1) HinSchG to set up and operate an internal reporting channel. This reporting channel is intended to protect the identity of whistleblowers. At the same time, employers must ensure that appropriate steps are taken to investigate and remedy reported violations.

Companies should develop clear internal policies and procedures for receiving, evaluating, and handling reports. These policies should ensure the protection of the whistleblower's identity, guarantee the confidential treatment of the reported information, and set out clear steps for investigating and remedying reported violations.

Responsibility for implementing and complying with the requirements of the Whistleblower Protection Act generally lies with company management, the compliance or legal department, and, where applicable, a special whistleblower protection officer.

A company can promote the effective implementation of the Whistleblower Protection Act by regularly reviewing and updating its policies and procedures, conducting training for employees, establishing an efficient reporting system, and creating an open corporate culture in which whistleblowers are valued and protected.

While software can serve as a tool for recording and managing reports, it cannot cover all aspects of legal requirements, such as ensuring confidentiality, protecting against retaliation, and conducting an appropriate investigation of reported violations.