Whistleblower

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Whistleblowing
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Whistleblowing
A Whistleblower is an individual an employee of an organization being private, public, or
a government institution. The whistleblower exposes information or activity that is deemed
illegal, fraud, or abuse of public funds. Whistleblowers prove to be an effective source of
information to detect financial fraud and other illegal activities within an institution and report to
the appropriate authorities. Whistleblowing is an important aspect of running an organization as
it helps to protect the institution's reputation. Therefore, companies and organizations encourage
their employees to whistleblowing any illegal activities that might harm the company.
Whistleblower payouts to informants are becoming more and more commonly funded by the
Federal government and guided by the Federal False Claim Act. This paper aims at discussing
the importance of whistleblowing in an organization.
Federal False Claim Act is a whistleblower law that provides clauses where the
whistleblower is rewarded for confidentially disclosing fraud and other illegal activities.
Retaliation is predicted as a result of whistleblowing, which can jeopardize a whistleblower's
career. Therefore, resulting in financial losses, reputational injury, mental suffering, and
isolation. As a result, the False Claims Act of the United States contains an anti-retaliation
provision that protects both internal whistleblowers and the government. Whistleblowers should
educate themselves on the function of the federal False Claim Act. This will enable them to deal
with any situations regarding their whistleblowing activity.
Benefits of whistleblowing
Currently, the whistleblowing approach to illegal activities is gradually increasing. The
increase has been b by the awareness created in organizations to protect their reputation. Also,
public institutions reduce the possibility of public utility misuse. Carson et. al, (2008) affirms
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that whistleblowing aids in the battle against fraud and misuse of public funds, as well as dealing
with management failures. Creating awareness and encouraging people to speak up and reveal
wrongdoings. The presence of a whistleblower system is enough to put people off committing
any legal activities. Thus fraud activities are significantly reduced. Additionally, through the
whistleblowing system, escalation of issues is prevented early on. In the case of fraud happening
within an institution and is reported to the dedicated personnel in time, the issue can be dealt
with before it spills off and destroys the reputation of the institution. Government institutions
have encouraged employees to speak up and report fraud cases and hence able to formulate
robust measures o deal with illegal malpractices.
Government institutions have been incurring losses due to illegal activities being
practiced and going unnoticed. The losses cripple the operations of critical functions in the
institutions. For example, the health institutions faced with fraud are unable to provide adequate
health care to the public. A whistleblowing system in an institution will help combat illegal
activities and prevent losses. Many of the illegal activities happen with only a few people or
people with a ditto mindset only involved. This makes it difficult to be known to many except for
those involved. Whistleblowing creates awareness of the illegal malpractices thus creating the
need to address the issues that might cost the institution its reputation or monetary losses.
An open culture is critical in any company or organization. Honest intentions by the
company to its employees determine their interrelationship in matters concerning the
productivity of the company. A whistleblowing system comes with a reward as guided by the
federal False Claim Act. The reward is a motivation to the whistleblowers after their information
is verified and measures are taken to prevent the issue from happening again. Chalouat et al, 2019
affirms that it is expected to have retaliations towards the whistleblowers thus, the company
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should have measure to protect the whistleblowers from any kind of retaliation. Furthermore, the
federal government should protect whistleblowers who uncover wrongdoing in government,
corporate, and public organizations. The executive management's and the Federal government's
transparency fosters stronger working relationships inside the institutions.
Conclusion
In conclusion, the increment in whistleblower payouts is a result of the whistleblowing
system installed in various government institutions. The federal government employs the
whistle-blowing system to safeguard public resources from possible fraud. Additionally, the
general public is protected from possible life-threatening activities that could result from illegal
malpractices.
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References
Carson, T. L., Verdu, M. E., & Wokutch, R. E. (2008). Whistle-blowing for profit: An ethical
analysis of the Federal False Claims Act. Journal of Business Ethics, 77(3), 361-376.
Chalouat, I., Carrión-Crespo, C., & Licata, M. (2019). Law and practice on protecting whistle-
blowers in the public and financial services sectors. International Labour Organization,
Working Papers.

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1

A Whistleblower is an individual an employee of an organization being private, public, or

a government institution. The whistleblower exposes information or activity that is deemed

illegal, fraud, or abuse of public funds. Whistleblowers prove to be an effective source of

the appropriate authorities. Whistleblowing is an important aspect of running an organization as

the importance of whistleblowing in an organization.

Retaliation is predicted as a result of whistleblowing, which can jeopardize a whistleblower's

with any situations regarding their whistleblowing activity.

Currently, the whistleblowing approach to illegal activities is gradually increasing. The

robust measures o deal with illegal malpractices.

An open culture is critical in any company or organization. Honest intentions by the

company to its employees determine their interrelationship in matters concerning the

federal government should protect whistleblowers who uncover wrongdoing in government,

transparency fosters stronger working relationships inside the institutions.

In conclusion, the increment in whistleblower payouts is a result of the whistleblowing

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