Arkansas Whistleblower Laws: Protections and How to Report

Arkansas protects public employees from retaliation under the Arkansas Whistle-Blower Act, codified at Ark. Code Ann. 21-1-601 through 21-1-610, when they report waste, fraud, or legal violations in good faith. Private-sector workers must rely on common law public policy protections or federal statutes for coverage.

Overview of Arkansas Whistleblower Laws

Arkansas follows the employment-at-will doctrine, which means employers can generally terminate workers for any reason. However, several important exceptions protect employees who speak up about wrongdoing. These protections come from both state statutes and common law principles developed through court decisions.

The primary state-level protection is the Arkansas Whistle-Blower Act, codified at Ark. Code Ann. 21-1-601 through 21-1-610. This law shields public employees from retaliation when they report waste of public resources or violations of law. Additional protections exist under the Arkansas Civil Rights Act of 1993, the workers' compensation anti-retaliation statute, and several federal laws.

This guide covers the full scope of whistleblower protections available to Arkansas workers, including who qualifies, what activities are protected, how to file a complaint, available remedies, and filing deadlines. For a broader view of protections that apply nationwide, see our guide to Federal Whistleblower Laws.

Who Is Protected Under the Arkansas Whistle-Blower Act

The Arkansas Whistle-Blower Act applies specifically to public employees. Under Ark. Code Ann. 21-1-602, a "public employee" is any person who performs full-time or part-time service for wages, salary, or other remuneration for a public employer. This includes state employees, county workers, municipal employees, and employees of other political subdivisions.

A "public employer" includes any department, agency, office, board, commission, or other governmental body of the state or any political subdivision of the state. This covers a wide range of government entities at the state, county, and city levels.

The Act does not cover private-sector employees. Workers in the private sector must rely on common law protections, federal whistleblower statutes, or other state laws described later in this guide.

Protected Activities Under the Act

Under Ark. Code Ann. 21-1-603, a public employer cannot take adverse action against a public employee who does any of the following:

• Reports waste or violations. The employee communicates in good faith to an appropriate authority about the existence of waste of public funds, property, or manpower (including federal funds administered by a public employer) or a violation or suspected violation of a law, rule, or regulation.
• Participates in investigations. The employee participates in, gives information during, or testifies at a hearing, investigation, court proceeding, legislative inquiry, or administrative review.
• Refuses to carry out an illegal directive. The employee objects to or refuses to carry out a directive that the employee reasonably believes violates a law, rule, or regulation.

The key requirement is good faith. The employee must have a genuine and reasonable belief that waste or a violation has occurred. The Act defines "waste" as conduct involving substantial abuse, misuse, destruction, or loss of public funds, property, or manpower. A "violation" is an infraction or breach of a state statute, ordinance, or regulation designed to protect the public interest.

What Counts as Adverse Action

The Act defines "adverse action" broadly under Ark. Code Ann. 21-1-602. It includes discharge, threats, discrimination, or retaliation against a public employee in any manner that affects:

• Employment status or compensation
• Job location or assignment
• Rights, immunities, or privileges
• Promotions or advancement opportunities

Common Law Public Policy Protections

Arkansas courts recognize a public policy exception to at-will employment that can protect both public and private employees. Under this doctrine, an employer cannot fire an employee for reasons that violate established public policy.

To determine what qualifies as public policy, Arkansas courts look at existing statutes and constitutional provisions. Courts have recognized protections for employees who:

• Report violations of state or federal law to authorities
• Refuse to violate a criminal statute at the employer's request
• Exercise a statutory right, such as filing a workers' compensation claim
• Comply with a statutory duty, such as serving on a jury

An important limitation exists: the employee's actions must serve the public interest, not just a private one. When an employee reports to a government agency that their company is defrauding the government, that conduct is protected. But when an employee acts solely in their own private interest, the common law exception does not apply.

Arkansas Civil Rights Act Protections

The Arkansas Civil Rights Act of 1993 (ACRA) provides additional retaliation protections at Ark. Code Ann. 16-123-108. Under this statute, it is unlawful for any person to discriminate against an individual because that individual:

• Opposed in good faith any practice made unlawful by the ACRA
• Made a charge, testified, assisted, or participated in an investigation, proceeding, or hearing under the ACRA

The ACRA also prohibits anyone from coercing, intimidating, threatening, or interfering with a person who exercises their civil rights or who helps another person exercise those rights.

The ACRA protects against discrimination based on race, religion, national origin, gender, or the presence of a sensory, mental, or physical disability. Employees who report discrimination in any of these categories and face retaliation can bring a claim under this statute.

Damages Under the ACRA

For employment discrimination claims, the ACRA caps combined compensatory and punitive damages based on employer size:

Notably, damages for retaliation claims under the ACRA are not subject to these caps. Employees can also recover back pay, interest, and reasonable court costs and attorney fees.

Workers' Compensation Retaliation Protections

Ark. Code Ann. 11-9-107 protects employees from retaliation for filing workers' compensation claims. Under this statute, employers cannot:

• Discharge an employee because the employee filed a workers' compensation claim
• Alter the terms or conditions of employment because of a claim
• Obstruct or impede an employee from filing a workers' compensation claim

Employers who violate this statute face significant consequences. The Arkansas Workers' Compensation Commission can impose a fine of up to $10,000. The employer may also be found guilty of a Class D felony, which carries potential prison time of up to six years. The prevailing complainant can recover costs and a reasonable attorney fee from the fine amount.

Arkansas Medicaid Fraud False Claims Act

The Arkansas Medicaid Fraud False Claims Act (Ark. Code Ann. 20-77-901 through 20-77-911) provides a separate whistleblower mechanism for reporting Medicaid fraud. This law is enforced by the Arkansas Attorney General against individuals or entities that submit false Medicaid claims. Unlike the federal False Claims Act, it does not create a private qui tam right of action; a person cannot file and prosecute their own lawsuit under this statute.

Key provisions of this statute include:

• Attorney General enforcement. Only the Arkansas Attorney General may bring a civil action under this statute (Ark. Code Ann. 20-77-903, -904); a person who has evidence of Medicaid fraud reports it, but cannot file their own lawsuit as a private relator the way they can under the federal False Claims Act.
• Informant rewards. A person who provides information leading to a recovery may receive a court-determined, discretionary reward of up to 10% of the aggregate penalty recovered (Ark. Code Ann. 20-77-911), not a guaranteed relator's share.
• Civil penalties. Defendants found liable may face a civil penalty between $5,000 and $10,000 per false claim, plus three times the damages sustained by the state.
• Immunity for providing records. A person who provides records or information to the Attorney General under this statute cannot be held civilly or criminally liable for doing so (Ark. Code Ann. 20-77-907(d)(2)). This subchapter does not include a separate employer anti-retaliation provision; public employees who report Medicaid fraud may instead be protected under the Arkansas Whistle-Blower Act described earlier in this guide.
• Statute of limitations. Claims must generally be filed within five years of the violation.

The federal False Claims Act provides broader coverage and more generous whistleblower rewards of 15% to 30% of the government's recovery. Arkansas workers can pursue claims under the federal law when fraud involves federal funds.

Federal Whistleblower Protections for Arkansas Workers

Several federal laws protect Arkansas employees regardless of whether they work in the public or private sector:

• OSHA Section 11(c). Protects employees who report workplace safety violations. Claims must be filed within 30 days of the retaliatory action.
• Sarbanes-Oxley Act. Protects employees of publicly traded companies who report securities fraud or financial misconduct.
• Dodd-Frank Act. Provides protections and financial incentives for employees who report securities law violations to the SEC.
• Federal False Claims Act. Protects and rewards employees who report fraud against federal programs.
• Title VII of the Civil Rights Act. Protects employees who report workplace discrimination based on race, color, religion, sex, or national origin.

For a complete overview of these protections, visit our guide to Federal Whistleblower Laws.

How to Report Whistleblower Concerns in Arkansas

Reporting Under the Whistle-Blower Act

Public employees should report concerns to an "appropriate authority," which the Act defines as including:

• The employee's supervisor or agency head
• The Arkansas Attorney General's Office at (800) 482-8982
• The Arkansas Legislative Audit at (501) 683-8600
• The Arkansas Ethics Commission
• The Prosecuting Attorney for the relevant jurisdiction

Reporting Fraud, Waste, and Abuse

The State of Arkansas maintains a Fraud, Waste, and Abuse Reporting system for state government concerns:

• Office of Internal Audit: (501) 682-0370
• 24-Hour Toll-Free Report Center: (800) 952-8248
• Online reporting forms are available through the Arkansas.gov portal

Filing Discrimination Complaints

For claims under the Arkansas Civil Rights Act, employees can contact the U.S. Equal Employment Opportunity Commission (EEOC) at 1-800-669-4000.

Workers' Compensation Retaliation

Employees who face retaliation for filing a workers' compensation claim can contact the Arkansas Workers' Compensation Commission at 1-800-622-4472.

Filing Deadlines for Whistleblower Claims

Meeting the correct deadline is critical. Missing a filing deadline can permanently bar your claim. The following table summarizes key deadlines:

Remedies and Penalties for Retaliation

Under the Whistle-Blower Act

Public employees who prove retaliation under the Arkansas Whistle-Blower Act can recover through a civil lawsuit (Ark. Code Ann. 21-1-605). Available remedies include:

• Actual damages (lost wages, benefits, and other financial losses)
• Injunctive relief (court order requiring the employer to stop the retaliation)
• Reinstatement to the employee's former position and status
• Restoration of full benefits and retirement credit
• Compensation for lost wages and benefits
• Reasonable court costs and attorney fees (Ark. Code Ann. 21-1-606)

Under Common Law

Employees who succeed on a common law wrongful termination claim may recover:

• Compensatory damages (economic losses and emotional distress)
• Punitive damages (in cases of particularly egregious employer conduct)
• Back pay with interest
• Court costs and attorney fees

Under the ACRA

Retaliation claims under the Arkansas Civil Rights Act may result in:

• Back pay and interest
• Compensatory and punitive damages (not subject to the employment discrimination caps)
• Court costs and reasonable attorney fees

Workers' Compensation Retaliation

Employers who retaliate face:

• A fine of up to $10,000 imposed by the Workers' Compensation Commission
• Criminal prosecution for a Class D felony (up to 6 years imprisonment)
• Costs and attorney fees awarded to the prevailing employee

Confidentiality Protections

The Arkansas Whistle-Blower Act includes confidentiality safeguards for employees who report concerns. Under Ark. Code Ann. 21-1-607, communications regarding waste or violations are privileged and confidential. These communications are exempt from disclosure under the Arkansas Freedom of Information Act (FOIA).

This protection helps encourage reporting by reducing the risk that a whistleblower's identity will be publicly revealed through a public records request.

Employer Notice Requirements

Under Ark. Code Ann. 21-1-608, state agencies must use appropriate means to inform employees of their protections and obligations under the Whistle-Blower Act. Public employers are required to post a sign prepared by the Division of Legislative Audit in a visible location. This sign must inform employees about the law and identify the appropriate authorities to contact when reporting waste or violations.

Related Arkansas Laws

• Arkansas Recording Laws
• Arkansas Statute of Limitations
• Arkansas Background Check Laws
• Arkansas Surveillance Camera Laws
• United States Whistleblower Laws
• Federal Whistleblower Laws

More Arkansas Laws

• Arkansas At-Will Employment Laws
• Arkansas Employee Monitoring Laws
• Arkansas Final Paycheck Laws
• Arkansas Workers Compensation Laws