In April 2022, we reported that Austria was behind schedule in implementing the EU Whistleblowing Directive, which should actually have been transposed by December 17, 2021. But now the time has finally come: almost exactly one year late, the draft bill for the Whistleblower Protection Act was finally submitted to parliament and was actually passed in the National Council on February 1, 2023.
In detail:
According to Section 1 of this federal law, its purpose is to encourage the willingness to behave lawfully in areas of life of particular public interest by providing simple procedures with predictable processes for reporting violations of the law. Whistleblowers and those around them are to be protected from personal disadvantages and unfounded or unjustified suspicions are to be prevented.
Companies and legal entities in the public sector with 50 or more employees are obliged from 17.12.223 to set up an internal reporting channel through which whistleblowers can report certain legal violations. By 17.12.2023, this obligation already applies to all companies and legal entities in the public sector with more than 249 employees.
But why all this? – Of course, there is an obligation to implement the EU directive, but basically, whistleblowing systems are now simply necessary for a functioning compliance management system. One of the aims of such systems is to enable both private and public legal entities to ensure compliance with legal regulations and, if necessary, to take timely action to prevent legal violations. This minimizes liability risks and can possibly limit any damage .
However, the practical implementation is not that easy and brings with it some exciting legal issues in the areas of compliance in general, data protection, employment law, etc. In any case, it is advisable for companies to seek professional advice and get support with the technical implementation.
Sources:
https://www.parlament.gv.at/dokument/XXVII/BNR/695/fname_1517294.pdf
https://www.ots.at/presseaussendung/OTS_20230202_OTS0184/hinweisgeberinnenschutzgesetz-pflichten-und-chancen-fuer-unternehmen-bild https://www.pwc.at/de/dienstleistungen/unternehmensberatung/forensic-services/whistleblower-vorwuerfe/whistleblower-channel.html?gclid=EAIaIQobChMI_vWl-sSA_QIVpwSiAx3gNg4CEAAYASAAEgJeSfD_BwE