Cultural Attitudes To Whistleblowing: Argentina

• Law Firm: lus Laboris
• Subject Matter: Employment and HR, Criminal Law, Compliance, White Collar Crime, Anti-Corruption & Fraud, Whistleblowing
• Author: Ius Laboris
• Published date: 09 January 2023

The upcoming implementation of the EU Whistleblowing Directive is a good occasion to take a closer look at the cultural implications of whistleblowing in Argentina. Whistleblowing is increasingly perceived positively in Argentina, as a sign of integrity. However there is not yet specific legal protection for whistleblowers.

Whistleblowing has begun to be recognised almost as a sign of business integrity. It is the method by which those who excel in ethics and moral values find the courage to denounce a situation that harms the public good.

In Argentina, there is no legal definition or framework regarding employment law to protect whistleblowers. However, under the Corporate Criminal Liability Law there is criminal liability for private legal entities for crimes of corruption that have been carried out with their intervention or in their name or interests, or for their benefit, directly or indirectly. Section 24 establishes the need for compliance programmes where there are contracts with the public sector. These compliance programmes may include a whistleblower protection policy against retaliation and channels for reporting irregularities. Although these reporting channels (internal or external) are not mandatory, they are essential for the compliance programme to be effective.

According to the Corporate Criminal Liability Law, the minimum content of a compliance programme is:

• a code of ethics or conduct or the existence of integrity policies and procedures applicable to all directors administrators, and employees;
• specific rules and procedures to prevent illegal acts in the field of public bids; and, in general, in the execution of administrative contracts or any other interaction with the public sector;
• periodic training for directors on the compliance program.

It also provides that Intrusion Prevention Systems (IPS) may include:

periodic analysis of risks and adaptation of the compliance programme as a result;

• visible and unequivocal support for the compliance program by senior management and management;
• internal channels for reporting irregularities open to third parties;
• a whistleblower protection policy against retaliation;
• an internal investigation system;
• procedures that verify the integrity and trajectory of third parties or business partners;
• due diligence during corporate transformation and acquisitions;
• continuous monitoring and evaluation of the effectiveness of the compliance programme;
• an internal...