About the campaign
Addressing whistleblower complaints has quickly become front and center for companies in Asia Pacific. Research shows that it is increasingly apparent that whistleblowing programs need to adapt and evolve with the legal and regulatory landscape, and it is vital that management implements a regular review of those programs.
Leaders and decision makers have the power to take ownership of — and invest resources in — their organization’s whistleblowing program to give it every chance of success. Where does your business stand compared with others in the sector or against key jurisdictions in the region?
Explore Baker McKenzie's custom research, conducted in collaboration with Acuris Studios, based on responses from 523 senior executives from companies in Asia Pacific.
Explore the Main Themes
The broader range of conduct which can be reported and receive protection as well as the expanded scope of persons eligible for protection under the revised legislation means that it is imperative for companies to be on top of the new requirements. — Michael Michalandos, Partner, Sydney
Respondents believe Australia’s reforms have provided whistleblowers with a supportive climate to report issues with 87% believing the 2019 reforms have encouraged employees to report illegal activities and misconduct. This includes 45% who think a willingness to bring complaints has greatly increased.
Key Stats
59% of Australian respondents reported that they had encountered difficulty in establishing whether the whistleblowing laws applied to a particular report.
22% of respondents identified an issue with the complaint not including sufficient information for the company to take a view on whether it is a protected.
Download the full report and explore more in Section 4
These interim measures are part of a concerted effort to reduce misconduct in the market, and particularly in those industries which have traditionally been difficult to monitor, but which have significant interactions with the public (e.g., healthcare and food and beverage industry). Through introducing financial incentives and whistleblower protections, the aim is to encourage those who are aware of serious misconduct to come forward. — Vivian Wu, Partner, Beijing, FenXun Partners *
The past few years have seen some significant development in whistleblowing programs in Mainland China. A reliable whistleblowing program is an integral part of a robust compliance program, as it allows for companies to review and address misconduct it might not otherwise see.
This increase in prominence and use of whistleblowing programs is reflected in our survey results. A significant majority of companies recorded an increase in the number of whistleblowing complaints compared to the previous year. Only 9% of companies responded that they had a decrease in the number of complaints stating that the number of complaints stayed the same.
There is mixed sentiment amongst corporates as to whether the growth of whistleblower programs is a positive development. For those who receive whistleblowing complaints in Mainland China, almost three quarters (72%) consider that their organization has received reports that are vexatious or prompted by self-preservation. This is 30% higher than the average of respondents surveyed, which sits at 42%.
In 2019, Mainland China called for governmental agencies to establish and promote whistleblowing programs. In recent years, various government agencies have issued specific rules on whistleblowing programs in their respective areas. As noted above, the MOF and SAMR have recently introduced the “Interim Measures for Rewards for Whistleblower Reports of Major Violations in the Field of Market Regulation.” These provide for financial rewards of up to RMB 1 million for whistleblowers.
Download the full report and explore more in Section 5
* FenXun established a joint operation office with Baker McKenzie in China as Baker McKenzie FenXun, which was approved by the Shanghai Justice Bureau in 2015.
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* Vivian Wu, partner at Baker McKenzie FenXun, participated in this report. Vivian Wu is a partner of FenXun Partners, which is a premier Chinese law firm. FenXun established a joint operation office with Baker McKenzie in China as Baker McKenzie FenXun, which was approved by the Shanghai Justice Bureau in 2015.
