Texas Whistleblower Laws

The Texas Whistleblower Act is codified under Texas state statutes. Under the law, only public employees of state agencies, local governments, state and local public educational institutions, and related entities are protected when filing whistleblower claims. Private employees and independent contractors working in government agencies may be protected under other whistleblower protection laws.

What Is the Texas Whistleblower Protection Act?

Whistleblower protection acts encourage employees to report legal violations in the workplace without fear of retaliation. Federal laws sometimes offer financial incentives and protection from retaliation.

Texas law allows a public employee to make good-faith reports if they know of any violations of the law made by their employer or another public employee.

The report must be made to an appropriate law enforcement authority, state or local governmental entity, or agency of the federal government authorized to regulate or enforce the law or investigate or prosecute a violation of criminal law. The employee must “reasonably believe” a violation has occurred.

In City of Ft. Worth v. Pridgen (2022), the Texas Supreme Court held that a report must contain “relevant additional information” that can help “identify or investigate illegal conduct.” Opinions, conclusions, or information the agency received or could have received from another source is not sufficient to waive government immunity.

What’s Prohibited Under the Texas Whistleblower Protection Act?

Employers may not take any adverse employment action against an employee who reports illegal activity, including suspension, termination, reassignment, or demotion. Whistleblower retaliation can also include:

• Isolating a worker or moving their office or workspace to a different location
• Exclusion from work-related events
• Reduction of hours or denial of requested overtime
• Encouragement of employee harassment or retaliation

The statute prohibits any adverse personnel action.

What Are Remedies for Employees Under the Texas Whistleblower Protection Act?

Employees who report violations of laws and face retaliation can sue under the Texas Whistleblower Act. Although Texas has a narrow interpretation of the whistleblower’s report, employees can sue for:

• Injunctive relief to halt the retaliatory behavior
• Actual damages such as back pay and lost benefits
• Reasonable attorney fees and court costs
• Reinstatement to the former or equivalent position

Compensatory damages for emotional stress are subject to statutory caps.

Statutes of Limitations for Whistleblower Violations in the State of Texas

Employees must bring any legal action within 90 days of the date the retaliation occurred or was discovered. The statute of limitations is tolled (paused) while an internal investigation is completed. An employer can claim it would have taken the same action against an employee even without the whistleblower report.

Federal vs. Texas Whistleblower Laws

The Federal False Claims Act (FCA) protects private employees who report violations of federal contracts or fraud of federal funds. Anyone may report such violations and receive the protections and benefits of the FCA. If you’re in the private sector or a civilian worker in a government agency, you can file a whistleblower report under the FCA.

Other agencies, such as OSHA, have their own federal whistleblower tip lines and websites. Many of these offer whistleblowers the opportunity to share in the awards and fines recovered from fraudulent entities through qui tam actions.

Reporting a federal law violation may require steps beyond reporting. Consider speaking with an employment law attorney before reporting to a federal tip line.

Get Legal Advice From an Employment Law Attorney

Whether you report fraud to a government entity or need legal protection through the Texas Whistleblower Act, consider discussing your case with a Texas employment law attorney. A whistleblower and qui tam attorney can also give you advice on how to proceed with your case once you’ve made your report.