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Protection of Whistleblowers Is Here!

Protection of Whistleblowers Is Here!

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After a long period of preparations the Whistleblower Protection Act has been finally passed.

The act becomes effective on the first of August 2023. As of this date, certain obliged persons must implement the reporting channels and comply with other obligations imposed by the act.

The exception applies to employers who have at least 50 and up to 249 employees and, at the same time, are not public contracting authorities.

Those persons who meet conditions above have a prolonged period until the fifteenth of December 2023 to implement the reporting channel.

The obligations that must be fulfilled by each obliged person include, in particular:

1) The implementation of the internal reporting channel;

2) The designation of a designated person who will receive reports;

3) The obligation to inform potential whistleblowers (in particular on ways and methods how to submit the report and about the contact information of the designated person); and

4) The prohibition of retaliation against whistleblowers for submission of the report.

By Michal Pálinkás, Partner, Act Legal

Hungary Knowledge Partner

DLA Piper is a global law firm with lawyers located in more than 40 countries throughout the Americas, Europe, the Middle East, Africa, and Asia Pacific. This positions us to help clients with their legal needs around the world.

With more than 60 lawyers, including 14 partners, and a staff of over 140, DLA Piper Hungary is one of the largest international law firms operating in Hungary. What makes us stand out is that we offer not only legal services but also tax and business advisory support in a fully integrated manner. We maximize synergies between legal, tax, and business advisory services to offer a unique service for our clients, particularly in regulated industries such as energy, infrastructure, life sciences, banking, and telecommunications.

We are a true full-service firm, providing our private and public sector clients with advice on all aspects of their business. This includes transaction-related advice, people and employment, commercial dealings, litigation, information technology, media and communications, intellectual property, insurance, tax, real estate, and restructuring plans.

DLA Piper Hungary has received numerous professional awards and is consistently ranked among the top law firms in Hungary by international rankings. We are ranked #1 by Mergermarket among the law firms active in Hungary based on the volume of M&A deals handled between 2005 and 2024.

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