The Whistleblower Protection Act (HinSchG)
HinSchG – A law with controversial implications
ATTENTION: Please note implementation deadlines
Penalties for non-implementation
A company that fails to set up a corresponding reporting office in accordance with Section 12 Paragraph 1 Sentence 1 HinSchG can be fined up to €20.000,00.
We advise you on the HinSchG
The Whistleblower Protection Act (HinSchG), which recently came into force, represents a challenge for many companies in Germany. Although it aims to improve the protection of whistleblowers, it also entails complex obligations and potential burdens for operational practice. Companies have to adapt, not least because the law represents legal requirements.
A complex law with far-reaching consequences
The HinSchG, introduced in response to the EU whistleblowing directive, appears to many to be a bureaucratic burden. It requires companies to set up internal reporting channels and ensure comprehensive protection for whistleblowers, which means additional administrative work.
Coverage circle: A wide network of those affected
The law extends protection to a wide range of people who encounter abuses in their professional environment. This broad scope of application can pose a challenge for companies in practical implementation.
Reporting requirements and channels: A legal necessity
Companies with more than 50 employees now have to consider setting up internal reporting points. Although this is a response to legal requirements, it may be perceived as an additional burden that may do little to improve company practices.
Data protection issues: A balancing act
The law presents companies with the dilemma of maintaining data protection and at the same time protecting the anonymity of whistleblowers. This can lead to tensions between data protection regulations and the requirements of the HinSchG.
Ban on reprisals and reversal of the burden of proof: additional pressure on employers
The ban on reprisals against whistleblowers and the associated reversal of the burden of proof can be seen as an additional burden for employers. You now have to prove that adverse measures against a whistleblower were not due to their reporting.
Conclusion: A legal requirement with mixed feelings
While the HinSchG may be laudable from a whistleblower protection perspective, from a business perspective it presents a number of challenges. It is seen as yet another legal requirement that companies must meet, perhaps without bringing about significant improvements in corporate culture.
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