Financial Crime World

Portugal Pioneers in Whistleblower Protection with Implementation of EU Whistleblowing Directive

Strengthening Transparency and Accountability

Lisbon, Portugal - In a significant move towards strengthening transparency and accountability, Portugal has become one of the first countries to transpose the European Union’s Whistleblowing Directive into national law. The new legislation aims to protect whistleblowers who report wrongdoing or irregularities within their organizations.

Implementation of the EU Whistleblowing Directive

On November 26, 2021, the Portuguese parliament approved the “Proposta de Lei 91/XIV” (Whistleblower Protection Proposal), which implemented the EU Whistleblowing Directive ahead of most other European Union member states. The law came into force six months after its publication in the Official Journal.

Key Provisions

The new law provides protection for whistleblowers who report wrongdoing or irregularities within their organizations. The key provisions include:

  • Immediately affecting any organization with 50+ employees
  • Creation of functional whistleblowing channels
  • Establishment of measures to protect and support whistleblowers
  • Prohibition of any form of retaliation
  • Protection for anonymous whistleblowers who are later identified

Expert Praise

Portugal’s swift implementation of the directive has been praised by experts, with Transparency International noting that the country “has taken a significant step forward in terms of whistleblower protection.”

Enhancing Reputation and Promoting Transparency

The transposition of the EU Whistleblowing Directive is seen as a major achievement for Portugal, which has historically lacked robust whistleblower protection legislation. The new law will not only benefit Portuguese businesses but also enhance the country’s reputation as a hub for transparency and accountability.

Quotes

Murray Grainger, Country Manager for Spain and Portugal at EQS Group, welcomed the development: “Portugal’s implementation of the EU Whistleblowing Directive is a significant milestone in promoting ethical business practices and protecting whistleblowers who speak out against wrongdoing.”

The EU Whistleblowing Directive

The EU Whistleblowing Directive aims to create a culture of transparency and accountability across the European Union by providing a safe and secure way for employees to report suspected wrongdoing or irregularities. The directive has been welcomed by whistleblower advocacy groups, who argue that it will help to prevent corruption and promote good governance.

Future Implications

As Portugal leads the way in implementing the EU Whistleblowing Directive, other countries are expected to follow suit. The move is seen as a major step forward in promoting transparency and accountability across the European Union and beyond.