The term SOX stands for the Sarbanes-Oxley Act, also known as the Public Company Accounting Reform and Investor Protection Act. Signed into law by President George Bush in 2002, it is intended to protect the public against accounting scandals, such as the famous incidents at Enron, Worldcom, and other companies across the US.
The Act contains eleven titles spelling out complex regulations that public companies must adhere to in their accounting practices. These regulations are meant to ensure that companies are honest, accurate, and transparent in all of their accounting and tax-related practices.
Employees who notice violations of the Sarbanes-Oxley Act in their workplace have a responsibility to report the situation to the Public Company Accounting Oversight Board. This is an agency created by the Act that is meant to research and discipline violations of the Act.
SOX and Retaliation
Employees who speak out against criminal activities in their place of employment are taking a brave and valuable step. Unfortunately they are not always rewarded in the way that they deserve. Many whistleblowers suffer unfair treatment from their employers as a punishment, or as an attempt to intimidate them into dropping their complaints. This behavior is legally known as retaliation.
Common forms of workplace retaliation include:
State and federal laws protect employees from retaliation if they report violations of the SOX Act. If you have suffered retaliation in your workplace, you may have grounds for a retaliation lawsuit. Filing a suit could allow you to win compensation for the unfair treatment you suffered.