Employers can face serious legal consequences when they retaliate against whistleblowers. A whistleblower is an employee who voices a complaint about a company’s misconduct, such as filing complaints about safety and health code violations, shareholder fraud, mismanagement of fiances or other illegal activity. Additionally, employees who make initial complaints, those that follow up on those concerns or give information to investigators are also considered whistleblowers. Whistleblowers are protected against retaliation by their employers and companies under both federal and state laws.
Many circumstances can result in the termination of employment. A firing is often a traumatic and destabilizing event. While these unfortunate occurrences may seem untimely, unfair, and unsubstantiated; the termination may not always qualify as “wrongful.”
What is Wrongful Termination?
A former examiner at the Federal Reserve Bank of New York has claimed she was fired as a result of her complaints about practices at Goldman Sachs Group, Inc. However, a federal district court in New York has dismissed the claim, stating the conduct alleged by the former examiner does not violate the whistleblower protection provisions of the Federal Deposit Insurance Act.