Düsseldorf, May 12, 2023 – Today, the German Federal Council (Bundesrat) approved the act on the implementation of the Whistleblower Directive (“German Whistleblower Protection Act” – HinSchG), after several delays and convocation of the mediation committee. From the time the act is promulgated in the Federal Law Gazette, companies with 50 or more employees will be required to set up certain whistleblower systems within a specified period. The act will come into force one month after promulgation – expectedly in mid June 2023.
1. BACKGROUND
The aim of the German Whistleblower Protection Act (HinSchG) is to implement the so-called EU Whistleblower Directive (EU) 2019/1937 of October 23, 2019, for improved whistleblower protection and to create legal certainty when reporting or disclosing potential wrongdoing in companies and public authorities. The act regulates the protection of so-called “whistleblowers”, i.e. natural persons who have obtained information about violations throughout their professional activities and carry this information to designated reporting channels. In addition to persons who report breaches of Union law, the HinSchG also protects whistleblowers who report violations of national law.
2. WHO IS AFFECTED BY THE ACT?
In principle, whistleblower systems must be set up by legal entities in the private sector with at least 50 workers. All enterprises having up to 250 employees will be obliged to have implemented the requirements of the...
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