The term whistleblower refers to a person who reports illegal or unethical activities within an organization. A whistleblower can come in various forms, from an employee to a supplier, agent or even a customer. By exposing a destructive or unlawful practice, the whistleblower hopes to stop it and protect others from experiencing potential harm.
Recent Whistleblower Cases
Over the past few years, we’ve seen numerous examples of whistleblowers who have had a monumental impact on both society and the businesses involved. In 2018, a whistleblower revealed that Facebook was selling user data and allowing large amounts of malicious content and advertising. Following the reports, Facebook was hit with a $5 billion fine. Similarly, in 2019, a whistleblower reported that the Sackler family and Purdue Pharma were responsible for misrepresenting and over-promoting opioids, leading to a $270 million settlement.
Legal Protections for Whistleblowers
Whistleblowers are legally protected from any kind of retaliatory action. The Sarbanes-Oxley Act of 2002 protects whistleblowers from any form of retaliation, including termination, demotion, suspension, or any other kind of discrimination. Special laws also protect those in the public sector who choose to report illegal activity. Discovering unethical activity and coming forward is a brave act that deserves a level of respect and protection under the law.
The Benefits of Being a Whistleblower
By revealing any potential wrongdoing, whistleblowers have the potential to win significant rewards. Both state and federal governments have established whistleblowing programs which offer financial incentives for people who expose fraud and abuse. By doing their civic duty and reporting dishonest practices, whistleblowers can be given a percentage of the funds that are recovered. Additionally, whistleblowers can demand that their identity be kept anonymous and their privacy respected.
Conclusion
A whistleblower is someone who reports illegal or unethical activities or fraud within a company, helping to preserve the integrity of that organization. Whistleblowers are entitled to legal protection and financial incentives for their brave act. If you suspect a company of unethical dealings, considering becoming a whistleblower by reporting the activities to a law enforcement agency.