Minnesota has a Whistleblower Act akin to the federal act by the same name. The legislature's purpose for the Minnesota whistleblower law is to facilitate the disclosure of information to the authorities by those who are in possession of the information, without fear of retaliation against the disclosing party. In other words, Minnesota wants those with knowledge of illegal activity to be able to share that knowledge without being fired.
Employees are protected under the Act if they report illegal activity, whether actual or contemplated or upcoming. Employees can report directly to their supervisor or to a regulatory body. Internal reporting is, from an employer's perspective, the cheapest and safest route.
If there is a clear and well know internal reporting system, employers can save themselves substantial administrative and possibly even criminal penalties. Employers will also be able to avoid bad publicity, certain to have an adverse affect on business.
The Act is hopefully something no employer has to deal with, but if you do good counsel is the best course of action. Call me to discuss any situation you think might involve the Act and let's guide your company to shore as safely as possible.
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