Belgium Introduces Whistleblower Protection Law

A new law has been introduced in Belgium aimed at preventing money laundering and the financing of terrorism, while also providing a safe channel for employees to report any breaches or irregularities within their companies. The law came into effect on February 15th, 2023.

Employee Rights

• Employees who are terminated due to reporting a breach or irregularity can request reinstatement and receive lump-sum compensation equivalent to six months’ remuneration.

Internal Reporting Channels

• Companies with at least 50 employees or those in the financial sector must set up internal reporting channels and procedures.
• The social partners (works council, trade union delegation, etc.) must be consulted during this process.
• Internal reporting channels must be accessible to employees, although companies can choose whether or not to make them available to other persons.

Reporting Manager

• Internal reporting channels can be managed internally by a reporting manager or outsourced to a third party.
• The reporting manager is responsible for:
  • Receiving notifications
  • Following up on reports
  • Providing feedback to the reporter
  • Ensuring that reports are kept confidential and secure

Procedures for Internal Reporting and Follow-up

• Companies have the flexibility to determine their own internal reporting procedures as long as they safeguard the confidentiality of the reporter’s identity.
• The Whistleblowing Directive recommends providing multiple reporting channels, including:
  • Email address
  • Meeting with a reporting manager
  • Telephone conversation
  • Hotline

External Reporting Channels

• Companies must inform employees that they can also use external reporting channels, such as the Federal Coordinator.
• Provide contact details of relevant authorities to whom direct reports may be made.

Confidentiality and Record Keeping

• Companies are required to take measures to secure internal channels and ensure the confidentiality of reporting persons and any third parties mentioned in reports.
• Reports must be recorded, including those made orally, and kept for the duration of the contractual relationship between the reporter and the employer.

Sanctions

• Violations of the Belgian law are punishable by a prison sentence or fine.

The new law aims to create a safe and secure environment for employees to report any breaches or irregularities within their companies. Employers must take note of these changes and implement internal reporting channels and procedures as required by the law.

To learn more about how to implement effective internal investigations, click here.