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HB 4326

Labor: fair employment practices; whistleblower protection; modify to include employees reporting to the state employee ombudsman or the press. Amends secs. 1, 2 & 3 of 1980 PA 469 (MCL 15.361 et seq.). TIE BAR WITH: HB 4316'25

2025-2026 Regular Session Introduced by Joey Andrews and 17 co-sponsors

Expands whistleblower protections to report to the state ombudsman or press, with a 90-day filing window and clear-and-convincing evidence standard for retaliation.

bill electronically reproduced 04/16/2025
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Bill Summary · HB 4326

Summary of HB 4326 (Labor: fair employment practices; whistleblower protection)

What this bill does

HB 4326 seeks to amend the Whistleblowers’ Protection Act (1980 PA 469) to expand protections for employees who report suspected violations to new recipients, specifically the state employee ombudsman or the press, in addition to existing avenues. The bill is contingent on enactment of HB 4316 (tie-bar). If HB 4316 becomes law, HB 4326 would take effect 90 days after enactment.

Key themes:
- Strengthening protection against retaliation for whistleblowers.
- Expanding the range of protected reporting recipients to include the state employee ombudsman and the press.
- Maintaining existing protections for reporting to other public bodies, subject to certain conditions.
- Establishing a civil remedy framework with a tight filing window and a heightened evidentiary standard for actions alleging retaliation.

Key provisions (by section)

Sec. 1 — Definitions

  • Defines terms including:
    • “Employee”: a person who performs services for wages or other remuneration, employed by the state or a political subdivision, with an exception for the state classified civil service.
    • “Employer”: a person or entity employing one or more employees (including the state or political subdivisions and their agents).
    • “Public body”: broad listing that includes state and legislative branches, local government bodies, law enforcement, and judiciary.
    • “State employee ombudsman”: the state employee ombudsman established under the state ombudsman act.

Sec. 2 — Prohibition on retaliation

  • An employer may not discharge, threaten, or discriminate against an employee regarding compensation or terms of employment for reporting or being about to report, verbally or in writing, a violation (or suspected violation) of law/regulation to:
    • a public body
    • the press
    • the state employee ombudsman
    • or similar actors, unless the employee knows the report is false
  • Protection also applies if the employee is asked by a public body or the ombudsman to participate in an investigation, hearing, inquiry, or related court action.

Sec. 3 — Remedies and procedural framework

  • A person alleging a violation may pursue civil remedies, including injunctive relief, actual damages, or both, within 90 days of the alleged violation.
  • Venue for civil actions can be in the circuit court where the violation occurred, where the complainant resides, or where the defendant’s principal place of business is located.
  • “Damages” cover injury or loss caused by each violation, including reasonable attorney fees.
  • A key evidentiary standard: the employee must show by clear and convincing evidence that they or someone acting on their behalf was about to report a violation to a public body, the press, or the ombudsman.

Effective date and tie-bar

  • Enacting sections specify that the act takes effect 90 days after enactment.
  • Effectiveness is contingent on HB 4316 (tie-bar with HB 4316’25). If HB 4316 does not become law, HB 4326 does not take effect.

Who is affected

  • Employers, including state and local government employers (excluding the state’s classified civil service), and their HR/management decision-makers.
  • Employees who report or contemplate reporting violations to public bodies, the press, or the state employee ombudsman.
  • The state employee ombudsman and the press as protected reporting channels under the act.

Timeline and status

  • Introduced: March 11, 2025.
  • Read first time and referred to Committee on Economic Competitiveness (April 16–17, 2025 activity shown).
  • Electronically reproduced: April 16, 2025.
  • Tie-bar requirement: dependent on enactment of HB 4316’25.

Potential impact considerations

  • Expands whistleblower protections to additional reporting channels (ombudsman and press), potentially increasing the scope of protections and litigation risk for employers.
  • Tightens the filing window (90 days) and introduces a clear-and-convincing evidence standard for demonstrating retaliation related to imminent reporting.
  • The statewide applicability includes many layers of government and public bodies, given the broad definition of “public body.”
  • The precise scope depends on the fate of HB 4316’25, given the tie-bar.

Compiled from official sources — confirm details with the bill’s official record.

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