Czech Republic: Chamber of Deputies moves ahead with bill to transpose EU whistleblowing directive
The Chamber of Deputies of the Czech Republic considered, on 12 May 2021, the Government's bill to transpose the Directive on the Protection of Persons who Report Breaches of Union Law (Directive (EU) 2019/1937) ('the Whistleblowing Directive') at its 103rd meeting. In particular, the Chamber took the decision to progress the Government bill and referred the same to the Constitutional and Legal Committee as well as the Committee on Public Administration and Regional Development.
Notably, Dominik Feri, a Member of the Chamber, submitted a number of recommendations, including:
- increasing the fine for intentional false reporting from CZK 50,000 (approx. €1,960) to CZK 250,000 (approx. €9,810) to comply with Article 23 of the Whistleblowing Directive;
- providing the possibility for shared whistleblowing schemes within group companies to align with current business practices and reduce costs; and
- increasing the threshold for covered entities in the private sector from 25 employees to 50 employees.
Separately, the Chamber also considered the Members of Parliament ('MP') bill, which had been submitted to the Chamber in July 2020 independently from the Government bill. Having considered its deficiencies in providing adequate protection for whistleblowers and the existence of the Government bill, the Chamber rejected the MP's bill.
The Government bill will now be considered by the committees with further discussions starting from 12 July 2021.