When you are an employee who witnesses unlawful, fraudulent or hazardous conduct by co-workers or supervisory personnel, you may find that you are in an awkward position. If you report the activity to managers, you may be afraid of some form of retribution from your employer, while remaining silent about the transgressions may expose you to liability, or put others at risk of loss or injury.
The Conscientious Employee Protection Act 1 (CEPA) is designed to protect employees from retaliatory termination for reporting such violations, but the case of White vs. Starbucks makes it important to obtain legal advice before assuming you will be protected by CEPA. White was a regional manager for Starbucks who was charged with a variety of managerial duties, including safety and security in district stores, and overseeing legal and operational compliance requirements.
White reported a number of illegal activities, such as theft, sex parties after hours, transmittal of pornography via email, unsanitary conditions and other violations of law and practices that threatened public health. When managers in the stores in her district complained about the regional manager, White was terminated by the company.
After her termination, White filed a claim alleging she was a victim of retaliatory termination for acting as a whistleblower under CEPA. The Appellate division upheld the dismissal of White’s case because she was simply performing her job. The court pointed out that if an employee could claim to be a whistleblower under CEPA by carrying out one’s job functions then most managers and supervisors involved in enforcing compliance with law, safety regulations and public policy could seek damages under CEPA.
While there are many protections provided to employees under CEPA and other laws that protect whistleblowers, it is important to seek legal advice early so that you can determine your rights and options. The procedural requirements of laws that protect employees that disclose unlawful, fraudulent or other unsafe conduct in the workplace can be complicated.