German Whistleblower Protection Act
The innovations of the law and how we can support you!
Learn all about the German Whistleblower Protection Act, how it was passed by the German “Bundesrat” (upper chamber of the German parliament) on May 12 and what the innovations mean for the operation of whistleblower systems.
Innovations of the draft law
The new compromise
The new compromise
The German Whistleblower Protection Act (Hinweisgeberschutzgesetz – HinSchG) was passed by the Bundestag on May 11, 2023 after several delays.
In February 2023, the Federal Council refused to approve the original draft bill. In order to push ahead with implementation, the German government split the bill into two drafts, only one of which required approval. However, experts warned of possible constitutional conflicts.
In the end, a compromise was reached that took into account the concerns of the Bundesrat and removed the split. The Whistleblower Protection Act, which was passed on May 12, 2023, now replaces the previous drafts.
Innovations in the law on the Geman Whistleblower Protection Act
Summary of the most important legislative innovations by the Mediation Committee
Anonymity
The Mediation Committee agreed that the law would eliminate the obligation to allow anonymous reporting. This applies to both internal and external hotlines. The only stipulation is that the agencies should also process incoming reports anonymously. It was also added that whistleblowers should give preference to reporting to an internal reporting office in cases where violations can be effectively addressed internally.
Violations
Information about violations now falls within the scope of the Act only if it relates to the employing entity or other entity with which the whistleblower had professional contact.
Discrimination
The draft law so far already provided for a reversal of the burden of proof if the individual providing the information suffers a disadvantage in connection with his or her professional activity. That’s where it should stay. However, the presumption that the disadvantage is a reprisal for the tip-off should only exist if the person giving the tip-off also asserts this themselves.
Penalties
The maximum fine for violations of the law has been reduced from 100,000 euros to 50,000 euros.
Quelle: www.haufe.de
We will gladly support you
Stay safe with our
whistleblower system
Compliance Solutions’ whistleblower system provides a proven and secure platform to report undesirable behavior. Our system allows employees or external parties to submit reports quickly and effectively, which feed into comprehensive case management. Here, guided workflows ensure legally compliant, audit-proof processing.
For more information on our whistleblower system as well as our case management system, click here.
Anonymous reports
Not mandatory, but still useful
The EU Whistleblowing Directive leaves it to Member States to decide whether anonymous reporting must also be enabled. Although the german Whistleblower Protection Act does not make this mandatory, it expressly recommends that incoming reports be processed anonymously.
In order to meet the requirements of the EU Whistleblowing Directive and the Whistleblower Protection Act, your company should set up a whistleblowing system that allows anonymous reports. This not only ensures compliance with legal requirements, but also helps to identify operational irregularities at an early stage and respond to them in a targeted manner.
What must be considered when implementing the Hinschg?
German Whistleblower Protection Act (HinSchG) in Practice
The Whistleblower Protection Act came into force on July 2, 2023. Since then, companies with more than 50 employees have been obliged to introduce customized solutions to implement the law.
Under the Whistleblower Protection Act, companies must set up internal reporting offices. Larger group structures have the option of operating a central, group-wide reporting office. It is also crucial to establish clear guidelines on how to deal with whistleblower reports. Existing reporting offices and guidelines should be reviewed to ensure that they comply with the new legal requirements.
Companies with a works council must implement the whistleblower system in compliance with co-determination rights. This requires the conclusion of a works agreement by the parties to the company. As the process of introducing the whistleblower system and coordination with the works council is often time-consuming, an early start is strongly recommended.
INITIAL CONSULTATION & PRODUCT DEMONSTRATION
Individual counselling on the Whistleblowing System
Individual counselling on the Whistleblowing System
You are interested in a Whistleblowing & Case Management System from Compliance Solutions? Then write to us, our compliance experts will be happy to help you.
Are you interested in a Whistleblowing & Case Management System from Compliance Solutions? Then write to us, our compliance experts will be happy to help you.