How to get compliant with the Whistleblowing Law
This guest post is authored by Dr. Anna Partyka-Opiela, a partner at the Polish top law firm Rymarz Zdort Maruta, along with associates Jan Bednarski and Maria Papis. The article discusses the important last-minute amendments to the Polish Whistleblowing Protection Act regarding the sharing of resources within company groups.
We now know the content of the bill on the protection of whistleblowers (the ‘Whistleblower Protection Bill’ and the ‘Whistleblower Protection Act’) following its adoption by the lower chamber of the Polish Parliament (Sejm). The Whistleblower Protection Bill requires the implementation of local procedures and confidential channels for reporting violations of the law by, among others:
Although the discussions on the bill were heated, in the end, only one significant change was included – a change that supposedly makes things easier for capital groups. But does it really? A paragraph was added to the Whistleblower Protection Bill stating that private group entities may establish a collective procedure for internal reporting, provided such procedure complies with the Whistleblower Protection Act. What will this mean in practice? Unfortunately, not much.
This means that although a group may have a single procedure, it is still the responsibility of each individual company in the group to take follow-up actions separately.
Additionally, the Whistleblower Protection Act allows for “common rules” for receiving and reviewing internal reports and conducting investigations. This provision is reserved only for entities with at least 50 but no more than 249 persons employees.
Therefore, companies with more than 249 employees that are part of a group may have a single procedure, but may not share “common rules” governing such procedures.
At present, the Whistleblower Protection Act includes at least four terms that overlap in scope and are also partly exclusive, yet they regulate the same process of using group resources for receiving and processing reports. Therefore, it is difficult to say that the introduced amendment improves anything in this respect.
The penalty imposed on Poland by the European Commission this month for failing to implement the EU Whistleblower Directive is still accruing, so the Whistleblower Protection Bill is now only awaiting the Senate’s vote and the President’s signature. Unfortunately, both whistleblowers and companies with effective corporate systems that have been functioning for a number of years will suffer. This is because the systems currently in place will have to be adapted to the realities of the new law, which may result in the current systems not guaranteeing the same level of protection they currently provide.
The proposed effective date for the new legislation for private parties is three months from the date of publication of the Whistleblower Protection Act in the Journal of Laws.
Rymarz Zdort Maruta Law Firm was formed through the merger of two leading law firms: Rymarz Zdort, a leader in many areas of transactional practise, and Maruta Wachta, a leader in technology transformation. Please visit rmz.law.com to learn more about Rymarz Zdort Maruta and the services they can offer. You can follow their blog with legal alerts here.
Would you like to learn more about a whistleblowing service and safe internal reporting channels? You can learn more about Whistlelink’s all-in-one solution here or book a free demo with our whistleblowing experts!
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