In a significant ruling, the U.S. Court of Appeals for the Federal Circuit established that federal whistleblowers can get compensatory damages if their firings negatively impact their future earning capacities. Deborah Perlick, a federal employee, faced retaliation after exposing a $78,000 discrepancy in a study tied to traumatic brain injury at the Veterans Affairs Department. She worked on a series of contracts that were renewed annually since 2010. When VA fired her in 2017, she sought back pay and other compensation, including a half-million dollars in damages for loss of future earnings.
A new precedent
The court clarified that federal whistleblowers need not prove guaranteed future employment. Instead, they must demonstrate that reprisals caused defamation, harming their chances of future work. The court’s decision expands the scope beyond back pay, recognizing the impact on potential future wages.
The implications of this ruling
This ruling has far-reaching consequences. Fired whistleblowers can now seek compensation not only for lost jobs but also for harm to her reputation, career disruption, and causing complications for her future employment. It underscores the importance of protecting those who come forward to expose wrongdoing within federal agencies.
Potential whistleblowers working for federal agencies put their careers on the line when they come forward. This ruling acknowledges the professional risk and provides protections, but it is still often helpful for employees to consult with an attorney who represents whistleblowers. These legal advocates can help present evidence, fight for damages when necessary and provide other support.