Learn everything about the Whistleblowing Law in Denmark

Tuesday, June 20, 2023

8 Minutes reading time

Whistlehub content team

Whistleblowing plays a crucial role in maintaining transparency and accountability within organizations. In Denmark, a new law designed to protect whistleblowers is set to reshape the landscape for both employees and businesses alike. Our comprehensive guide aims to provide you with an in-depth understanding of this significant legislation, known as the Danish Whistleblowing Law, which implements the EU's whistleblower directive.

Key Takeaways

  • The Danish Whistleblowing Law aims to promote transparency, accountability, and ethical conduct in public and private workplaces with at least 50 employees.
  • Whistleblowers are protected from potential retaliation they might face due to their disclosure through confidentiality and anonymity protections, as well as legal safeguards against any form of retribution or discrimination.
  • Employers must establish a whistleblower program that complies with several legal requirements and best practices to effectively receive reports, ensure confidentiality, protect whistleblowers from reprisals and provide support if needed.
  • Implementing a whistleblower program can bring benefits such as promoting ethics, integrity and accountability culture within the workplace while mitigating against risks associated with non-compliance.

Overview Of The Danish Whistleblowing Law

The Danish whistleblowing law, known as "Lov om beskyttelse af whistleblowere," implements EU's whistleblower directive and aims to provide the maximum protection for whistleblowers while ensuring violations of certain areas of EU law, serious national legal breaches, and other significant matters are reported.

Purpose And Objectives

The primary purpose of Denmark's Whistleblowing Law is to provide a secure and confidential avenue for employees to report any serious misconduct or unlawful activities occurring within their organizations.

One key objective of the legislation is to protect whistleblowers from potential retaliation they might face due to their disclosure. The law prohibits any form of retribution against those who come forward, ensuring that they receive compensation or reinstatement if necessary.

For instance, an employee working at a large manufacturing company might witness unethical disposal practices that can severely damage the environment; under this law, they would have the right to report such activity without fearing repercussions from their employer.

Key Provisions

The Danish Whistleblowing Law offers various crucial provisions to protect whistleblowers, improve transparency, and encourage reporting of misconduct. These key provisions include:

  1. Mandatory establishment of internal whistleblower schemes for employers with more than 49 employees.
  2. Creation of an external whistleblower scheme under the authority of the Danish Data Protection Agency (Datatilsynet) to handle reports from smaller organizations and individuals.
  3. Confidentiality and anonymity protections for whistleblowers, ensuring their identity remains safe throughout the entire reporting process.
  4. Implementation of strict measures against retaliation or repressalier, safeguarding whistleblowers from any negative consequences as a result of their report.
  5. Coverage for a wide range of offenses, including violations of Danish law and EU law, financial irregularities, environmental concerns, and personal security issues like sexual harassment.
  6. Clear communication channels within organizations to receive whistleblower reports and provide feedback on how investigations have progressed.
  7. Employer responsibility to provide training and awareness programs regarding the importance of whistleblowing and how to use established reporting channels effectively.
  8. Extensive legal safeguards for whistleblowers in case they face any form of retaliation or discrimination as a result of their actions.
  9. Strict monitoring by the Danish Data Protection Agency (Datatilsynet) to ensure compliance with all legal requirements related to whistleblower protection while providing guidance to both employers and whistleblowers.

By implementing these key provisions, Denmark aims to foster an environment where potential whistleblowers feel secure in coming forward without fear of reprisal or damage to their professional reputation while promoting transparency in both public institutions and private businesses throughout the country.

The Whistleblower Protection Process

The whistleblower protection process includes reporting channels, confidentiality and anonymity measures, and protection against retaliation.

Reporting Channels

The Danish Whistleblowing Law mandates that employers establish an efficient and easily accessible reporting channel for raising concerns about potential violations of EU or national laws.

Employers can choose to set up either an internal or external whistleblower unit for handling reports impartially. While the law encourages individuals to report internally first, they may opt for external reporting if they believe it would be safer and more effective.

For instance, if there is suspicion of senior management involvement in the issue being reported, external channels such as regulatory authorities may offer better protection and objectivity in processing the case.

Confidentiality And Anonymity

Whistleblowers are often concerned about retaliation and harm to their careers or personal lives when reporting violations. That is why the Danish Whistleblowing Law ensures confidentiality for whistleblowers who report internally and establishes an external scheme with a focus on protecting personal data.

Confidentiality means that reports will be treated with discretion, and only those who need to know will have access to the information provided. However, anonymity is not guaranteed, as there may be times when authorities require more detailed information from the whistleblower to conduct investigations properly.

Protection Against Retaliation

The Danish Whistleblowing Law provides protection against retaliation for individuals who report, serious national legal violations, and other significant matters.

This means that any employer who attempts to punish or discriminate against a whistleblower for reporting such violations can be held liable under the law. The law prohibits adverse treatment of whistleblowers and provides legal remedies for those who suffer harm as a result of reporting.

For example, whistleblowers are protected from being fired, demoted, or subjected to other punitive measures because they reported wrongdoing in good faith.

Establishing A Whistleblower Program

Employers must establish a whistleblower program to comply with the law and best practices, which includes legal requirements, such as an impartial unit to receive reports, secure reporting channels, and IT security protection.

The Danish Whistleblowing Law imposes several legal requirements that employers must comply with in establishing a whistleblower scheme. These include:

  • Employers with 50 or more employees must establish an internal whistleblower scheme.
  • The scheme must provide clear and accessible information to employees about how to report violations and the consequences of making false allegations.
  • Employers must appoint an impartial person or department to handle reports and ensure their confidentiality.
  • The scheme must allow for oral or written reports, and confirm receipt of reports within seven days.
  • Employers must ensure that whistleblowers are protected from reprisals and have access to support and assistance.
  • The scheme must be capable of handling personal data in accordance with data privacy law, including encryption and secure storage.
  • Companies that fail to comply with their legal obligations can be held criminally liable under the law.

Best Practices

To establish an effective whistleblower program under the Danish Whistleblowing Law, organizations should follow these best practices:

  1. Establish a culture of transparency and accountability that encourages employees to report concerns without fear of retaliation.
  2. Implement clear reporting channels, including a dedicated whistleblower hotline or online platform that is secure and confidential.
  3. Ensure that whistleblowers have access to legal assistance and support if needed.
  4. Train all employees on the whistleblower program, including how to identify potential issues and how to properly report them.
  5. Put in place robust IT security measures to safeguard the confidentiality of whistleblowers' identities and personal information.
  6. Regularly review and update policies and procedures based on feedback from whistleblowers and lessons learned from previous cases.
  7. Create a supportive work environment for whistleblowers by recognizing their contributions to the organization's integrity.

By following these best practices, organizations can not only comply with the requirements of the Danish Whistleblowing Law but also create a workplace culture that promotes ethics, integrity, and accountability across all levels of the organization.

Benefits For Organizations

Implementing a whistleblower program can bring many benefits for organizations. Firstly, it promotes transparency and accountability within the workplace, which can lead to increased trust from stakeholders and improved reputation.

Secondly, by providing employees with an avenue to report concerns or wrongdoing anonymously and securely, organizations are better equipped to identify potential legal or regulatory violations early on.

This helps mitigate against risks such as litigation costs or damage to brand reputation that may result from non-compliance. Additionally, implementing a whistleblower program indicates that an organization values ethics and integrity in the workplace – this positive message can help promote a better corporate culture overall.

Responsibilities Of Employers

Employers are responsible for implementing the whistleblower program, providing training and awareness, monitoring reports, and protecting whistleblowers from retaliation.

Implementation Of The Program

Employers must ensure that the whistleblower scheme is effectively implemented in their organizations. This involves creating a system for receiving reports, investigating them, and taking appropriate action.

To achieve this, they must provide training to staff about the program's operation and ensure they understand their role in responding to reported violations.

Bech-Bruun advises employers to create consistent guidelines for reporting and investigation procedures, ensuring that reports are handled with discretion while complying with relevant privacy laws.

It is crucial for companies to prevent retaliation against whistleblowers by keeping their identity confidential during investigations and ensuring they do not suffer negative consequences following disclosure.

Training And Awareness

Employers have a crucial role in ensuring that their employees are aware of the whistleblowing law and the importance of speaking up against wrongdoing. This involves organizing training programs to educate workers on the internal whistleblowing scheme, how to use it, and how they can report any violations without fearing retaliation.

Moreover, employers should develop awareness campaigns that remind employees regularly of the whistleblower scheme's existence. Communicating these messages through multiple channels like emails, posters, or online platforms ensures maximum engagement with all staff members.

Monitoring And Reporting

Employers have a legal obligation to monitor and report on their whistleblower program's effectiveness continually. They must ensure that all reports are processed promptly and efficiently by an impartial unit, with appropriate feedback provided to the whistleblower where necessary.

Effective monitoring and reporting can help organizations identify areas for improvement in their internal controls and address issues before they escalate into more significant problems.

It also helps build trust among employees that their concerns will be taken seriously and investigated thoroughly within a safe environment.

Rights And Protections For Whistleblowers

The Danish Whistleblowing Law provides robust safeguards and support for whistleblowers, including legal protections against retaliation, access to confidential reporting channels, and remedies for any harm suffered.

The Danish Whistleblowing Law provides several legal safeguards to protect employees who disclose information on violations of the law. These include:

  1. Protection against retaliation: Employers are prohibited from taking retaliatory actions against whistleblowers, such as termination, demotion, or harassment.
  2. Confidentiality and anonymity: Employees have the right to report violations anonymously or with confidentially protected identity, but they should provide enough information that could help an investigation.
  3. Access to support and assistance: Whistleblowers have access to support from a designated whistleblower unit established in each organization and an external whistleblower scheme placed under the authority of the Danish Data Protection Agency.
  4. Remedies for retaliation: The law provides remedies for whistleblowers who are subject to retaliation. This includes compensation for damages and other means of redress.
  5. Legal protections: Whistleblowers are afforded legal protections against civil and criminal liability for disclosing information, provided it is not done maliciously or with the intention of causing harm.
  6. Upartisk person eller afdeling: The law requires that investigations related to whistleblower reports be conducted by an impartial person or department within the organization.

These legal safeguards aim to ensure that employees can report any wrongdoing without fear of reprisal while also providing avenues to investigate and address reported issues effectively.

Support And Assistance

Whistleblowers play a crucial role in preventing and addressing illegal activities, but they can also face significant risks and challenges. The Danish Whistleblowing Law aims to provide effective support and assistance to whistleblowers throughout the reporting process.

Moreover, the Danish Data Protection Agency oversees the operation of the whistleblower scheme and provides guidance and assistance to both employers and whistleblowers. If an employer fails to comply with the whistleblower law, financial penalties could be imposed on them.

It is important that whistleblowers feel empowered to report wrongdoing without fear of retaliation or reprisals from management.

Remedies For Retaliation

If a whistleblower experiences retaliation for reporting misconduct, the law provides several remedies. Whistleblowers who suffer harm as a result of reporting can seek legal remedies through the courts or file a complaint with an external whistleblower unit.

The law prohibits employers from taking retaliatory action against whistleblowers and requires them to establish procedures for addressing complaints of retaliation. In addition, whistle-blowers are entitled to compensation for any damages they have incurred due to retaliation.

Challenges And Limitations Of The Law

Despite the comprehensive protections provided under the Danish Whistleblowing Law, there are some potential drawbacks and limitations to its implementation.

Potential Drawbacks

Despite the benefits of the Danish Whistleblowing Law, there are potential drawbacks to consider. For example, anonymity is not guaranteed under the law, but whistleblowers can report confidentially.

This means that their identity may be revealed if a legal dispute arises, or if required by authorities.

Another potential drawback is related to data privacy concerns since whistleblower reports may involve personal information about individuals accused of wrongdoing. Employers must ensure appropriate IT security measures and confidentiality protocols to protect sensitive data from breaches and cyber threats.

Areas For Improvement

Despite the Danish Whistleblowing Law's many benefits, there are still areas for improvement. One such area is the lack of clarity around what constitutes a "serious" violation in need of reporting.

Some companies may be unsure whether to report certain incidents and may therefore fail to protect whistleblowers who come forward with legitimate concerns. Another area that requires attention is education and awareness among employees about their rights and responsibilities when it comes to whistleblower protection.

Additionally, some critics have suggested that external entities overseeing the program could face challenges ensuring impartiality due to their potential ties to government or other powerful organizations.

There have also been calls for clearer guidelines regarding confidentiality measures and data privacy laws surrounding the handling of whistleblower reports and personal information.

The Future Of Whistleblowing In Denmark

The future of whistleblowing in Denmark looks positive, with the implementation of the whistleblower law and the EU's whistleblower directive providing more protection for individuals who choose to speak out.

Recent Developments

The Danish Whistleblowing Law was proposed by the Ministry of Justice in February 2021 and is part of a broader European effort to promote transparency and accountability.

The law aims to protect individuals who report violations of EU law, serious legal violations, and other significant matters in both public and private workplaces with 50 or more employees.

Additionally, the Danish Data Protection Agency will oversee the operation of the whistleblower scheme and offer guidance and support to whistleblowers and employers. The law emphasizes confidentiality regarding the identity of individuals mentioned in a report, prohibits retaliation against whistleblowers, and requires employers to establish clear procedures for handling reports.

Legal persons can also face criminal liability if they fail to comply with their legal obligations under the law.

Expected Changes In Legislation

Proposed changes in legislation related to the future of whistleblowing in Denmark have been adopted through the Danish Ministry of Justice. The legislative proposal aims to establish a comprehensive framework for the protection of whistleblowers under Danish law.

The proposed law implements the whistleblower directive of the European Parliament and Council, which requires companies to protect individuals who report violations of EU law.

The proposed law is expected to have a significant impact on how organizations handle reports of misconduct and promote ethical behavior. Companies with more than 249 employees are required to comply with these rules by December 17, 2021, while those with 50-249 employees have until December 17, 2023.

The proposed legislation applies not only to private enterprises but also extends its ambit over public workplaces that employ at least fifty people; hence both groups will be covered irrespective of employing less than or above two hundred forty-nine persons as directed by the new provisions come into force before December's conclusion this year onwards till Decembers' closure two years later depending upon their workforce size distinction mentioned earlier.


In conclusion, the Danish Whistleblowing Law is a significant step towards protecting whistleblowers and encouraging transparency in both public and private institutions.

The law aims to provide a safe and secure environment for reporting potential violations of the law without fear of retaliation. Companies should take proactive measures to establish an internal whistleblower scheme or prepare to report to external schemes by the required deadlines.

While there are limitations and challenges associated with implementing the program, Denmark is taking important steps towards ensuring that issues are identified early before escalating into more significant problems.

Frequently asked questions


© All Rights Reserved. Whistlehub Inc