What Are SOX & C-13?
SOX and C-13 were both enacted to crack down on corporate and financial fraud. Protecting workers who blow the whistle on their companies is part of that strategy. Accordingly, Section 806 of SOX bans companies from firing or taking other “adverse action” against workers in retaliation for exposing corporate fraud or working with the authorities on a fraud case. Workers who feel they’ve been the victim of retaliation can complain to OSHA. Section 608 gives OSHA authority to investigate the complaint and, as shown in the New Jersey case above, order the company to reinstate the worker with back pay and interest. OSHA can also order the company to pay special damages covering the worker’s attorney’s fees and legal costs. Canadian law provides for similar penalties but goes SOX one better. C-13 is a criminal law and carries a maximum penalty of five years in jail. The 4 Elements of a Retaliation Violation SOX applies only to companies that are publicly traded. There are four things the go
