Whistleblower Policy for Nonprofits
A whistleblower is a person who exposes illegal or unethical activities in an organization with the goal of having them correctied. The Sarbanes-Oxley Law of 2002 addressed whistleblower protection in publicly traded companies, and in 2005 the Panel on the Nonprofit Sector issued recommendations for nonprofits regarding whistleblowers.
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Who is Covered by the Policy
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Your policy should include individuals within the organization as well as people outside the organization with whom you do business. This includes employees, volunteers, board members, vendors and clients.
Non-Retaliation
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The Nonprofit Risk Management Center recommends that the policy prohibit retaliation and harassment against anyone who points out illegal or unethical activities within the organization. Retaliation could include firing, demotion, harassment and cancellation of contracts. This section should include a disclaimer that anyone filing suit against the organization for retaliation must reasonably believe that retaliation has taken place.
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Confidentiality
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The whistleblower's identity should not be made available to anyone except those involved in the investigation of his complaint, according to a 2010 report by the Public Counsel's Community Development Project. The person filing the complaint should not feel his work environment has become hostile because he spoke out.
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References
Resources
- Photo Credit whistle image by John Hartley from Fotolia.com