On September 30, 2013, the United States Department of Labor, through its extension – the Occupational Safety and Health Administration (OSHA) – issued a press release regarding whistleblower and related retaliation allegations that had been brought against Clean Diesel Technologies, Inc., by its former Chief Financial Officer, whose identity remains undisclosed.
The former Chief Financial Officer of Clean Diesel Technologies, Inc., voiced concerns to Clean Diesel Technologies, Inc.’s board of directors about ethical and financial issues related to a proposed merger of the company. Specifically, the former employee raised concerns about a conflict of interest affecting the Chairman of the Board of Directors, as well as concerns that the merger was not in the best interests of the company and that the conflict of the Chairman of the Board of Directors violated internal company ethics and Securities Exchange Commission required policies. This reporting occurred in March 2010. Clean Diesel Technologies, Inc., terminated the former Chief Financial Officer in April 2010.
One week after the termination, the former employee brought a whistleblower complaint with OSHA against Clean Diesel Technologies, Inc. OSHA found the complaint to be valid and awarded the former employee $1.9 million in damages. The damages include: $486,000 in lost wages, bonuses, severance pay, and stock options; and $1.4 million in compensatory damages for pain and suffering, lost 401(k) matching, and damage to career prospects and reputation. Clean Diesel Technologies, Inc., must also expunge its records of disciplinary actions related to the former Chief Financial Officer’s termination.
Many individuals associate OSHA with setting and enforcing workplace safety and health standards and providing training and outreach assistance to employees and employers. However, OSHA is also responsible for administering twenty-one federal whistleblower protection laws. These include: the Asbestos Hazard Emergency Response Act; the Clean Air Act; the Comprehensive Environmental Response, Compensation and Liability Act; the Consumer Financial Protection Act of 2010; the Consumer Product Safety Improvement Act; the Energy Reorganization Act; the Federal Railroad Safety Act; the Federal Water Pollution Control Act; the International Safe Container Act; the Moving Ahead for Progress in the 21st Century Act; the National Transit Systems Security Act; the Occupational Safety and Health Act; the Pipeline Safety Improvement Act; the Safe Drinking Water Act; the Sarbanes-Oxley Act; the Seaman’s Protection Act; portions of the Food Safety Modernization Act; portions of the Affordable Care Act; the Solid Waste Disposal Act; the Surface Transportation Assistance Act; the Toxic Substances Control Act; and the Wendell H. Ford Aviation Investment and Reform Act for the 21st Century.
Retaliation actions that OSHA, via the whistleblower protection laws, has authority over include termination or laying-off; demoting; blacklisting; denying promotion or overtime; disciplining; denying benefits; failing to hire or rehire; making threats; intimidating; reassigning, which affects promotion prospects; and reducing pay or hours.
If you are a federal employee and have been terminated or otherwise suffered adverse action because you raised concerns about the illegality or impropriety of your employer’s actions, Barrett Law PLLC, can help. Please be aware that there are relatively short and absolute deadlines for filing complaints with OSHA regarding whistleblowing allegations. As such, if you have suffered such an action, please contact us immediately to set up your initial consultation. We have a history of helping to protect the rights of whistleblowers, and stand by ready to help you. Our firm can be reached at (800) 707-9577.