Attitudes towards whistleblowers are quite polar: some view them as traitors and threats, others champion an ideology that those who report abuse or misconduct should be able to do so safely and perhaps even be compensated for losses. But is paying bounties for such acts going too far, or justifiable?
"whistleblower protections remain largely theoretical with little practical effect in either the public or private sectors"
- Australian Parliament joint committee report
- image by geralt, CC0 Creative Commons pixabay
In recent years corporate Australia has been the stage for a spate of scandals where whistleblowers who disclosed misconduct, fraud or corruption were sometimes sacked, demoted, or persecuted. One such, Jeff Morris, not only lost his career at the Commonwealth Bank after he disclosed allegedly inappropriate conduct, he also lost his family and received death threats.
An Australian Parliamentary joint committee report into whistleblower protections not long ago released has recommended the establishment of a Whistleblower Protection Authority with the power to investigate allegations and financially reward whistleblowers.
"Exposing the bank's misconduct has taken a serious toll on Mr Morris," Financial Services Minister Kelly O'Dwyer said. "His anonymity was not protected, he was subject to death threats, he lost his job and in the end he lost his whole family."
O'Dwyer announced plans to introduce a bill later in 2017 which aims to improve protections for whistleblowers, including "US bounty-style reward system as an incentive for whistleblowers" if the whistleblowing results in a successful prosecution. The new powers proposed in the report's recommendations included:
- whistleblower support and anonymity
- assessing merit of allegations
- conducting criminal &/or other investigations
- communicating case status and development to whistleblowers
Under the proposed system, financial rewards for whistleblowers would be a proportion of any penalty imposed under successful prosecutions. The reward amount would be determined by a court, assess the degree of contribution the whistleblower's information made towards the prosecution, and whether there was an appropriate and accessible internal whistleblower system within the organisation.
"I believe strongly that no-one should be worse off for blowing the whistle on misconduct and that all whistleblowers should have greater access to compensation if they suffer a detriment as a result of the whistleblowing."
- Kelly O'Dwyer, Financial Services Minister
However, a financial incentive may lead to an increase in frivolous or spurious accusations. The Financial Services Minster acknowledged that a bounty system may be "counterproductive", "deter people from coming forward at an earlier stage", "reduce the opportunity to detect malpractice early".
"For example, individuals may only be willing to raise a concern when there is proof of a breach and certainty that a monetary reward will be available."
"a reward system could encourage greater levels of nuisance reporting to regulators, leading them to a waste of resources checking claims that lead nowhere"
- Financial Services Minister Kelly O'Dwyer
The lifeblood of a healthily functioning democratic society is the free flow of unadulterated true and factual information upon which decisions can be made with informed consensus. How we treat those who take personal risk for the benefit of others is a powerful indicator of the innate cultural nature of society.
What do you think, traitor or patriot? Benefactor or bounty hunter?
Is this good policy, or unwise folly?
I look forward to your comments and perspectives, why not join the discussion and STEEM ON!!
Questions and comments are welcomed in the replies. If you'd like to see more articles like this then ^vote and resteem. Considerable effort has gone into researching, testing, graphics capture/edit, and formatting for this article.