A new law in Czechia has, from today, extended whistleblower-protection requirements to companies that have at least 50 or more employees. Previously, only large firms with 250 or more workers had to implement systems allowing staff to safely report issues internally with confidentiality.
A whistleblower is someone who exposes or reports information about wrongdoing, illegal activities, or unethical behavior within an organization or government to the authorities or the public.
The new rules are meant to shield whistleblowers from retaliation after bringing issues like corruption or wrongdoing to light. Under the legislation, if an employer were to terminate an employee after a report from the worker about bad practices, the company would bear the burden of proving the dismissal was not retaliatory.
Josef Jaroš, chairman of the Association of Small and Medium-sized Enterprises, told Czech news site ČT24 that around half of smaller companies in Czechia are unprepared for implementing whistleblower systems. "Based on previous experiences introducing regulations like GDPR, we estimate approximately 50 percent of firms do not yet have the necessary whistleblower regulations in place," Jaroš explained.
Complying with the law has posed difficulties, especially for small businesses with tight budgets. "It just adds to the feeling of over-regulation that many entrepreneurs struggle with," Jaroš commented. Setting up proper whistleblower channels and procedures comes with costs...
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