Japan's parliament enacted a bill Wednesday to impose criminal penalties for firing or other acts of revenge against whistleblowers in government offices and companies.
In a plenary meeting, the House of Councilors, the upper chamber, approved the bill to revise the whistleblower protection law, following its passage at the House of Representatives, the lower chamber, in April.
The revised law will come into effect within 18 months of its promulgation. While it is currently prohibited to treat whistleblowers in a disadvantageous way, a new penal provision is expected to enhance the protection of such informers.
Under the revised law, a fine of up to 30 million will be imposed on companies that dismiss or take disciplinary action against whistleblowers. Individuals who discipline whistleblowers will be subject to a prison term of up to six months or a fine of up to 300,000.
Personnel transfers for whistleblowers will not be subject to penalties, because it is difficult to prove causal relationships between whistleblowing reports and personnel relocations.
Any dismissal or disciplinary action taken within one year of whistleblowing reports will be considered retaliatory. The revised law will also protect freelancers, prohibiting disadvantageous treatment such as suspension of transactions.
Currently, companies with more than 300 employees are obliged to have a platform for whistleblowing. The central government will implement guidance and recommendations as needed.
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