Whistleblowing can be a sensitive and important issue for businesses. One in ten UK workers claim to have seen possible corruption, malpractice or wrongdoing at work. Philip Pepper of Shakespeare Martineau describes the reputational risks that organisations face when they fail to enforce policies.
A GGC inquiry is currently underway following the admission by a senior doctor that she was encouraged to remain silent about infection control concerns. Dr Redding said that there was a “profound climate of fear and bullying” regarding whistleblowing. She even stated that the chief executive of the board had urged her not to speak up at one point of the process.
Similar incidents in the NHS have raised concerns about the handling of employee concerns. When concerns are ignored or silenced, there can be serious financial and reputational consequences. This case is a reminder for employers in all sectors that their whistleblowing procedures and policies are up-to-date.
The Employment Rights Act 1996, which was amended in 1998 by the Public Interest Disclosure Act (Pida), provides protection for whistleblowers.
The definitions of “qualifying disclosures” are set forth in these documents. A qualifying disclosure is defined as any disclosure made by a worker that is in their reasonable opinion in the public’s interest and that tends to reveal one or more of six different types of wrongdoing outlined in the ERA.
In practice, the Pida has been interpreted to mean a much broader definition. For a disclosure to be protected by UK law once it is made, it has to be reported to certain people, usually to the employer or to designated external bodies.
In order for a concern to qualify as a disclosure, it must be of public interest. It may be easier to prove that a disclosure is in the public interest when it comes to certain sectors such as the NHS or the medical field, due to the nature and scope of the work. In the case NHS GGC for example, concerns about wrongdoing stemmed from infection control, a subject that is undeniably of great importance.
Pida doesn’t require that companies implement a policy on whistleblowing, but there are rules specific to certain listed companies or sectors. For example, most organisations in the financial, construction, or medical sectors will have some form of whistleblowing policy. As seen in NHS GGC’s case, whistleblowing policies aren’t always properly communicated, enforced, or implemented, leading to potential legal claims and reputational damage.
If an employee is found to be dismissed because they made a protected disclosure then they could be entitled to financial compensation that has no cap.
Employers must regularly review their internal whistleblowing procedures to ensure they are well understood and adhered to by all employees to prevent similar claims or consequences for their business. The policy should outline the internal processes of the company and the channels available for employees to voice their concerns. It could be a team, a person or individual, an email address or a telephone number.
Employers should communicate clearly and regularly the policies they have implemented to encourage a culture that values honesty, transparency, and understanding. They should also make sure all employees are aware of their rights to voice concerns without fear. Employers could consider anonymously raising concerns in order to encourage more openness. While it is important to know the identity of the employee who raised the concern, this can be helpful for investigations that are based on whistleblowing.
Offering internal training will help companies to prevent misconduct, and mitigate the risk of reputational harm if a case is brought to court. Training will ensure that the policies are implemented in a practical way and that relevant staff such as HR professionals comply with procedures. They will also be knowledgeable about what to do when a concern arises.
A worker who is dismissed for making a protected disclosure may be entitled uncapped compensation. The disclosure also protects them from being treated in a negative way as a consequence. This could lead to a legal claim resulting in large compensation for the affected individuals.
Employers should know the laws protecting workers to prevent whistleblowing cases from becoming legal actions.
Employers should consider the legal implications of a complaint raised, and adhere to their internal policies. They must also communicate openly with employees to avoid them feeling isolated or being treated differently. If employees within an organisation have been found to be contributing to a culture that is based on fear or bullying, which could potentially silence a Whistleblower by putting them in a position of intimidation, they should be subjected the normal internal policies for any inappropriate behavior.
Employers should know the laws protecting workers in order to prevent whistleblowing cases from becoming legal actions. Businesses can create a culture of transparency and openness for their employees by implementing policies which take this into consideration, reviewing them regularly and communicating them clearly. This will help to avoid unnecessary legal consequences such as hefty compensations or reputational damage.
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