June 26th, 2024

Federal whistleblowers are entitled to damages of missed future pay, court rules

The U.S. Court of Appeals ruled federal whistleblowers can claim compensatory damages for future lost pay due to retaliation, without proving guaranteed future employment. This decision sets a precedent for whistleblower cases.

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Federal whistleblowers are entitled to damages of missed future pay, court rules

In a recent ruling, the U.S. Court of Appeals for the Federal Circuit determined that federal whistleblowers are entitled to compensatory damages for missed future pay if they face retaliation after reporting misconduct. The case, Perlick v. Veterans Affairs Department, established that whistleblowers can receive financial compensation for the loss of potential future wages without needing to prove guaranteed future employment. The court clarified that federal employees can seek compensatory damages for harm to their earning capacities caused by reprisals, including reputational damage affecting their future job prospects. The decision emphasized Congress' intent to provide "make-whole relief" to whistleblowers, including compensation for future lost earnings. The ruling has significant implications for federal employees who suffer retaliation for speaking up, ensuring they can seek redress beyond back pay. The case was remanded back to the Merit Systems Protection Board for a final decision, setting a precedent for future whistleblower cases seeking compensation for future lost earnings.

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Link Icon 11 comments
By @freddie_mercury - 4 months
I'm a little confused about this and the article doesn't help explain it very well.

On the one hand it says

"The latter category has long been interpreted to include future lost earnings, the court said, including when reputational harm can hurt employees’ earning potential."

Which makes it sound like the decision is no big deal and in standing with long set precedent.

But then it also says, "Patrick Walsh, one of Perlick's attorneys, said the case could have far reaching impact."

But it isn't clear what the far reaching impact is, since future earnings have always been a factor?

It sounds like the actual far reaching impact is this?

"The court also said MSPB erred when it ruled Perlick was not entitled to compensatory damages because she was not guaranteed a job after her research concluded. Instead, the judges ruled, Perlick needed only to show that a preponderance of the evidence that she was likely to have future employment. That standard does not require certainty, the court ruled"

So they just clarified you don't need a guarantee of a future job to seek lost future wages, just a preponderance of evidence?

I'm just trying to parse what is actually novel & news here and the article isn't helping.

By @sharpshadow - 4 months
That's would be a great incentive especially for better payed workers with possibly more access to critical information.
By @robertlagrant - 4 months
Instinctively I worry about unintended consequences for this sort of thing, but in this case it seems...pretty good? Can anyone think of any?
By @RecycledEle - 4 months
Any sociopath who is afraid of whistleblowers will work the system until they are the person (or part of the committee) that handles whistleblower complaints.

I have seen this at multiple employers.

The whistleblower system is hopelessly broken.

By @hulitu - 4 months
> Federal whistleblowers are entitled to damages of missed future pay, court rules

I guess they forgot the "if they manage to stay alive" part. /s

By @longitudinal93 - 4 months
I expect Julian Arrange to get a substantial award.