Civil penalties under SOX include reinstating the whistleblowing employee to the same position with the same seniority status, back pay with interest, and compensatory damages, including attorneys' fees and costs.
The Act also provides for criminal penalties for individuals who knowingly retaliate against whistleblowers who have provided any truthful information to a law enforcement officer relating to the commission (or possible commission) of a federal offense.
Individuals who violate that provision may be subjected to fines and imprisonment of up to 10 years. Significantly, those criminal penalties aren't limited to publicly traded companies but, rather, apply to all individuals and employers.
Given the potential consequences to supervisors in their individual capacities and you as an employer, you must instruct your supervisors to report to HR any complaints regarding criminal or fraudulent activity. They also should be instructed to report any incidents they have observed personally. That includes violations of your business policies, ethical standards, accounting practices, and codes of corporate conduct.
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