News & Publications
Press Release
Revised Act on the Protection of Public Interest Whistleblowers passed the National Assembly
- Date2015-07-06
- Hit3,442
The revised Act on the Protection of Public Interest Whistleblowers will expand the scope of laws it covers from 180 laws to 279 laws by adding those pertaining to public safety, while strengthening protection of public interest whistleblowers.
The Anti-Corruption and Civil Rights Commission (ACRC) announced that the revised whistleblower protection Act was passed in the National Assembly plenary session held on July 6th.
The Act was enacted in 2011 in order to encourage people to report violations of the public interest, including health, safety, and the environment, and to further prevent such violations.
However, there were complaints that the Act was not applicable to several important laws related to public safety. There were also calls to strengthen the protection for whistleblowers from unfavorable actions such as dismissal, and mitigation of their legal liability. Such contentions have been incorporated into the latest revision.
The key revisions of the Act are as follows:
The number of laws on public safety applicable to the Act on the Protection of Public Interest Whistleblowers will increase from 180 to 279 to include the laws on areas where the need to protect whistleblowers has been highlighted recently, for example, incidents at sea (e.g. Sewol Ferry accident) and damage to disadvantaged groups (e.g. child abuse).
Under the existing Act, punishment or disciplinary action against public interest whistleblowers can be mitigated or remitted if their own wrongdoing is disclosed during the investigation process. The scope of mitigated liability is now expanded to "disadvantageous administrative measures," such as the suspension of business or qualification, or imposition of a fine for negligence.
The revised Act has increased the effectiveness of the ACRC’s decision on whistleblower protection since it has introduced a non-compliance charge of up to KRW 20 million, which can be imposed twice a year for up to two years on those who do not follow the ACRC’s decision on protective actions.
The revised Act protects whistleblowers who reported a violation of the public interest on reasonable grounds to assume that the violation had occurred, regardless of whether the case is subject to the applicable laws under the Act. Before the revision of the Act, whistleblowers were protected when they reported a violation of the public interest prescribed by the Act that had already occurred or was likely to occur.
Also, those who are entitled to receive monetary rewards for their whistleblowing will now be limited to "internal" whistleblowers in order to close legal loopholes that have generated a growing number of paparazzi or bounty hunters, and to further encourage whistleblowing.
In addition to financial rewards, however, award money can be provided for both internal and external whistleblowers whose reporting contributes to promoting the public interest by increasing or preventing loss to the revenue of national or local governments, or improving legal and institutional frameworks.
The ACRC explained, "The new revision strengthens protection of public interest whistleblowers pertaining to public safety and protection of socially or economically disadvantaged people. It aims at making a safer, more livable environment for the people."
The revised Act will be implemented at the beginning of January 2016, six months after the announcement. The ACRC plans to make full preparations including the amendment of the enforcement decree of the Act so that the revisions can become a new turning point in the public interest whistleblowing system.
The Anti-Corruption and Civil Rights Commission (ACRC) announced that the revised whistleblower protection Act was passed in the National Assembly plenary session held on July 6th.
The Act was enacted in 2011 in order to encourage people to report violations of the public interest, including health, safety, and the environment, and to further prevent such violations.
However, there were complaints that the Act was not applicable to several important laws related to public safety. There were also calls to strengthen the protection for whistleblowers from unfavorable actions such as dismissal, and mitigation of their legal liability. Such contentions have been incorporated into the latest revision.
The key revisions of the Act are as follows:
The number of laws on public safety applicable to the Act on the Protection of Public Interest Whistleblowers will increase from 180 to 279 to include the laws on areas where the need to protect whistleblowers has been highlighted recently, for example, incidents at sea (e.g. Sewol Ferry accident) and damage to disadvantaged groups (e.g. child abuse).
Negligence in reporting sinking accidents at sea (Rescue and Aid at Sea and in the River Act); child abuse (Child Welfare Act); violation of hygiene standards for school meals (School Meals Act); fishing vessels violating the standards for boarding capacity (Fishing Vessels Act); falsified financial statements violating accounting standards (Act on External Audit of Stock Companies) |
Under the existing Act, punishment or disciplinary action against public interest whistleblowers can be mitigated or remitted if their own wrongdoing is disclosed during the investigation process. The scope of mitigated liability is now expanded to "disadvantageous administrative measures," such as the suspension of business or qualification, or imposition of a fine for negligence.
The revised Act has increased the effectiveness of the ACRC’s decision on whistleblower protection since it has introduced a non-compliance charge of up to KRW 20 million, which can be imposed twice a year for up to two years on those who do not follow the ACRC’s decision on protective actions.
The revised Act protects whistleblowers who reported a violation of the public interest on reasonable grounds to assume that the violation had occurred, regardless of whether the case is subject to the applicable laws under the Act. Before the revision of the Act, whistleblowers were protected when they reported a violation of the public interest prescribed by the Act that had already occurred or was likely to occur.
Also, those who are entitled to receive monetary rewards for their whistleblowing will now be limited to "internal" whistleblowers in order to close legal loopholes that have generated a growing number of paparazzi or bounty hunters, and to further encourage whistleblowing.
In addition to financial rewards, however, award money can be provided for both internal and external whistleblowers whose reporting contributes to promoting the public interest by increasing or preventing loss to the revenue of national or local governments, or improving legal and institutional frameworks.
The ACRC explained, "The new revision strengthens protection of public interest whistleblowers pertaining to public safety and protection of socially or economically disadvantaged people. It aims at making a safer, more livable environment for the people."
The revised Act will be implemented at the beginning of January 2016, six months after the announcement. The ACRC plans to make full preparations including the amendment of the enforcement decree of the Act so that the revisions can become a new turning point in the public interest whistleblowing system.
