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Should Whistleblowers Be Protected

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12/6/14
Should Whistleblowers Be Protected? * Introduction
The corruption rate in a community that does not support or protect reporting illegal activities is significantly high. Employees who work in public or private organizations are the first to identify wrongdoings in a workplace since they have up-to-date information. Whistleblowing can be an essential tool to identify and report these actions in the public, private and non-profit sectors. However, by revealing wrongdoings, whistleblowers often take high personal risks. Lacking strong legal protection might increase the change of facing dismissal, harassment and other forms of retaliation (“Whistleblower protection”, 2012).
Whistleblower protection is vital to motivate employees to report misconduct. Paying more attention protecting whistleblowers will benefit organizations where employees know how to report a violation and have confidence to report. This will also assist businesses to spot and stop bribery in their transaction deals. Moreover, government and corporate misconduct could be continued if employees were frightened to speak out (“Whistleblower protection”, 2012).

Barriers to whistleblowing * Retaliation
Retaliation is a negative result experienced by an individual for reporting illegal behaviors. Through history, whistleblowing has been a risky business since it matches between individuals and his or her organization. A relatively few whistleblowers’ cases have survived from this challenge without harm. They usually take over 20 years to be solved placing the employee with no job and a huge amount of debts. Most of the whistleblowers who were interviewed confessed that they were not thinking clearly and had learned an unforgettable lesson (Malmstrom & Mullin, 2014). For example, on December, 30, 2002, three whistleblowers were prized as the persons of the years from the Time Magazine. The three winners were Sherron Watkins of Enron, Coleen Rowley of the FBI, and Cynthia Cooper of World-Com. Each one of these women identified wrongdoing within their organizations. They blew the whistle internally to their administrations to solve those issues that they discovered. However, their warnings were not taken seriously. Unfortunately, without their will the information was leaked to the press, and they were considered as whistleblowers. Because of that, Watkins and Coopers were fired and never rehired again. Rowley was never promoted until she was forced to retire by the FBI (Malmstrom & Mullin, 2014). * Job security
Another significant barrier to whistleblowing is job security which might be considered as part of retaliation. According to (Patrick, 2010), who did research on whistleblower cases from 1994 to 2009, about 74 percent of the whistle blowers in those cases were laid off their jobs. This was simply because they blew the whistle on their employers. In addition, about six percent were suspended from work for a period of time and nearly 5 percent were moved to another department without their desire.
A great example of losing a job because of a good intention to make things right is the case of Richard Bowen III. He was the vice president in the consumer lending division at Citigroup Bank. He knew that the quality of the mortgages, which his company was buying from lenders, were not as it was supposed to be. After he was promoted to a new position, Bowen started to raise questions in emails, weekly reports and presentations about the problems that he noticed. However, nobody took actions so Bowen decided to send an email to the board of directors regarding his worries (Ladika, 2012). "I really wasn't with the organization physically much longer after that," shortly after that he said (Qtd. in Ladika, 2012, para.4).
Bowen's experience is not exceptional for those who speak out on corporate illegal activities. According to the National Business Ethics Survey (2013), 41 percent of employees witness wrongdoing in a workplace. Out of those who observed, around 63 percent said that they reported what they saw. Sadly, about 21 percent of the respondents said that they were punished by their employers because of blowing the whistle. * The False Claims Act
During the civil war, the False Claims Act (FCA) was passed to prevent the fraud committed by companies that were selling supplies to the Union Army. The Act contained qui tam provisions which authorized citizens to speak out against those deceiving companies. The public awareness of the FCA has been growing since the passage of the 1986 amendments. The number of whistleblowers cases that were filed has grown significantly to more than 6,000 cases in 2014 (Kusserow, 2014).
The U.S. Department of Justice (DOJ) has reported in 2013 that it has secured about $3.8 billion from civil cases that involve fraud against the government. More than 70 percent of the recoveries, which translated to $2.9 billion, were from lawsuits filed under the qui tam provision of the law. This significant amount of recovery was the second largest annual recovery and fourth year in a row which the DOJ has recuperated. Through this process, over $17 billion has been recovered since January 2009. This number is nearly half of the total amount of money that was recovered since the Act was amended in 1986. Whistleblowers or the qui tam provisions which permit individuals to blow the whistle was the main cause of the spectacular amount of recovery (Kusserow, 2014).
When the government succeed in winning the case, the whistleblower receives up to 30 percent of the recovery. Whistleblowers recoveries surpassed $2 billion for the first time in fiscal year 2010 and have continued to exceed that amount every year since. Since January 2009, the DOJ rewarded whistleblowers about $1.98 billion (Kusserow, 2014).
For instance, in September, 2014, an unnamed foreign whistleblower was promised by the Securities & Exchange Commission (SEC) to receive a high amount of money which was estimated between $30 and $35 million because of his/her work to detect fraud. The spokesperson, who was working in a corporation outside the United States, delivered precarious information about illegal activities inside the company which were damaging some investors (Balbi, 2014). “This whistleblower came to us with information about an ongoing fraud that would have been very difficult to detect.” Andrew Ceresney, SEC enforcement director, said, “This record-breaking award sends a strong message about our commitment to whistleblowers.” (Qtd. in Balbi, 2014, para 2). When the whistleblower award program started in 2010, observers had two main questions: will the SEC keep its promise and award the whistleblowers? And will the SEC protect the anonymity of the spokesperson? These question raised doubts about the program efficiency because the program has produced limited rewards. However, the recently foreign awarded whistleblower with nearly $30 million has proven the SEC commitment. The fact that the award was made to a foreign whistleblower is also significant, since it further empowers employees of other multinational firms to come forward. This would offer the SEC with the chance to discover more foreign violations (Robertson, 2014). * Conclusion
The United States government has made protection laws and policies to motivate workers to speak out with no fear of retaliation, to address the illegal activities that are happening now, and to prevent wrongdoings in the future. However, not all types of misconduct are protected by the law. Therefore, it is still possible that an employee reports an “illegal activity” but his or her allegation will not take into account because it is not protected by the law. The whistleblower must reveal a violation of a law, rule, or regulation to be qualified for the Whistleblower Protection Act. Moreover, waste of resources, taking advantage of authority, and jeopardize the public health or safety are also protected by the Whistleblower Protection Act (“Blowing the”, 2011).
In addition, to support integrity and free speech, which are the essential keys of a democratic society, the government must support the protection of whistleblowers against retaliation. Governments should reinforce or initiate the legal tools that defend individuals who are brave enough to sacrifice themselves in order to help the society be a better one (“Resolution on”, n.d.).
Therefore, to achieve these goals, an implementation of clear and effective improvements in the current laws in both public and private organizations is necessary. This could include disclosure channels, independent review, and efficient follow-up mechanisms (“Resolution on”, n.d.).

References
Balbi, A. (2014). SEC to issue largest whistleblower reward. Strategic Finance, 96(4).
Blowing The Whistle: Barriers to Federal Employees Making Disclosures. (2011). Retrieved from the U.S. Merit Systems Protection Board: http://www.mspb.gov/netsearch/viewdocs.aspx?docnumber=662503&version=664475
Callegari, J. (2012). Whistleblower protection grows . Long Island Business News.
Clark, C. S. (2014). The 'Dangerous, Scary Trend' in Retaliation Against Whistleblowers: Criminal Probes. Govexec.com.
Kusserow, R. P. (2014). 2013 False Claims Settlements. Managed Care Outlook, 27(3).
Ladika, S. (2012). Whistling while you work; with changing in whistle-blowers laws, companies must be even more diligent about protecting workers who speak out. Workforce Management 91(4).
Malmstrom, F. V., & Mullin, D. (2014). Why whistleblowing doesn't work: loyalty is a whole lot easier to enforce than honesty. Skeptic (Altadena, CA), 19(1).
National Business Ethics Survey of the U.S. Workforce. (2013). Retrieved from Ethic resource center: http://www.ethics.org/downloads/2013NBESFinalWeb.pdf
Patrick, A. (2010, Septmeber/October). Be Prepared Before You Blow the Whistle. Retrieved from Fraud Magazine: http://www.fraud-magazine.com/article.aspx?id=4294968656
Resolution on the protection of whistleblowers . (n.d.). Retrieved from Transprency International: http://www.transparency.org/files/content/activity/2009_ResolutionProtectionWhistleblowers_EN.pdf
Robertson, C. (2014). Why the SEC's $30M Whistleblower Award Should Make Banks Nervous. American Banker, 179(166).
Whistleblower protection: encouraging reporting. (2012, July). Retrieved from CleanGovBiz: http://www.oecd.org/cleangovbiz/toolkit/50042935.pdf

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