The deadline is approaching for all companies with at least 50 employees to set up a whistleblowing system.
Although the Parliament adopted a new law on complaints, whistleblowing and abuse reporting rules on 23 May 2023 ("Complaints Act"), so far only larger companies with 250 or more employees and certain companies, mainly those covered by the Act on the Prevention and Combating of Money Laundering and Terrorist Financing, have had to set up their whistleblowing system.
Under the Complaints Act, organisations with 50-249 employees have to comply by 17 December 2023, i.e. an internal abuse reporting system will have to be established.
In practice, this system could be an online platform or a telephone "hotline" where employees and partners can report abuse and irregularities they have experienced, through a secure and protected system that ensures that the incident is investigated and that the whistleblower is not harmed in any way as a result of the report. The system itself can be operated by a designated person or department within the employer who cannot be instructed to do so, but can also be trusted to be operated by a whistleblower protection attorney or other external organisation.
How can we help?
In designing and building an internal whistleblowing system, we will help you to develop a channel that meets both legal requirements and practical considerations. We believe it is important to note that our approach is that this reporting channel is an important element in the fight against abuse, but that education and awareness raising of the related tasks and activities is equally important, and we are happy to help with this. We have assisted several companies and other organisations to develop and implement internal abuse reporting systems. ABT Legal's lawyers are also serve as whistleblower protection attorneys, registered with the Budapest Bar Association.
Our services include:
- assistance in the development and implementation of the whistleblowing system, drafting of regulations and related documentation,
- training (in-person training or e-learning training material) on the system and the rules and regulations,
- web-based reporting channel service,
- outsourced management of the whistleblowing channel – serving as whistleblower protection attorney.
