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HB1216 • 2026

Retaliatory action against employee prohibited; remedies available.

<p class=ldtitle>A BILL to amend and reenact § 40.1-27.3 of the Code of Virginia, relating to retaliatory action against employee prohibited; remedies available.</p>

Labor
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Delaney
Last action
2026-02-10
Official status
Incorporated
Effective date
Not listed

Plain English Breakdown

The candidate explanation incorrectly states that employees can sue within two years when the bill's language suggests a period of one year for filing a civil action.

Stopping Bosses from Punishing Workers Who Speak Up

This law stops employers from punishing employees who report violations or refuse to break the rules, and it allows workers to sue if they are unfairly punished.

What This Bill Does

  • It says that employers cannot punish employees for reporting illegal activities or refusing to do something against the law.
  • Employees can go to court within two years of being punished by their boss if they think it was because they reported a violation or refused an order.
  • If the employer's punishment was intentional, workers can get extra money as compensation in addition to lost wages and benefits.

Who It Names or Affects

  • Employees who report violations or refuse illegal orders from employers
  • Employers who might punish employees for reporting issues

Terms To Know

Retaliatory action
When someone punishes another person because that person reported a problem or refused to do something wrong.
Treble damages
Three times the amount of money as compensation for a serious wrongdoing.

Limits and Unknowns

  • The law does not allow employees to break confidentiality rules or make false statements.
  • It is unclear how this will be enforced in specific situations without further guidance.

Bill History

  1. 2026-02-10 Labor and Commerce

    Incorporated by Labor and Commerce (HB930-Simon) (Voice Vote)

  2. 2026-02-05 Subcommittee #2

    Subcommittee recommends incorporating (Voice Vote)

  3. 2026-02-03 House

    Fiscal Impact Statement from Department of Planning and Budget (HB1216)

  4. 2026-01-27 Subcommittee #2

    Assigned HCL sub: Subcommittee #2

  5. 2026-01-14 House

    Prefiled and ordered printed; Offered 01-14-2026 26102383D

  6. 2026-01-14 Labor and Commerce

    Referred to Committee on Labor and Commerce

Official Summary Text

Retaliatory action against employee prohibited; remedies available.
Provides that a violation of certain provisions regarding retaliatory action against employees may be alleged in a court of competent jurisdiction within two years after the employer's most recent prohibited retaliatory action. The bill states that in such a case, treble damages may be awarded if such violation was willful.

Current Bill Text

Read the full stored bill text
A BILL to amend and reenact §
40.1-27.3
of the Code of Virginia, relating to retaliatory action against employee prohibited; remedies available.

Be it enacted by the General Assembly of Virginia:

1. That §
40.1-27.3
of the Code of Virginia is amended and reenacted as follows:

§
40.1-27.3
. Retaliatory action against employee prohibited.

A. An employer shall not discharge, discipline, threaten, discriminate against, or penalize an employee, or take other retaliatory action regarding an employee's compensation, terms, conditions, location, or privileges of employment, because the employee:

1. Or a person acting on behalf of the employee in good faith reports a violation of any federal or state law or regulation to a supervisor or to any governmental body or law-enforcement official;

2. Is requested by a governmental body or law-enforcement official to participate in an investigation, hearing, or inquiry;

3. Refuses to engage in a criminal act that would subject the employee to criminal liability;

4. Refuses an employer's order to perform an action that violates any federal or state law or regulation and the employee informs the employer that the order is being refused for that reason; or

5. Provides information to or testifies before any governmental body or law-enforcement official conducting an investigation, hearing, or inquiry into any alleged violation by the employer of federal or state law or regulation.

For the purposes of sub
division 1
, a good
-faith report of a violation of a federal or state law or regulation

need not
contain specific reference to the law or statute violated.

B. This section does not:

1. Authorize an employee to make a disclosure of data otherwise protected by law or any legal privilege;

2. Permit an employee to make statements or disclosures knowing that they are false or that they are in reckless disregard of the truth; or

3. Permit disclosures that would violate federal or state law or diminish or impair the rights of any person to the continued protection of confidentiality of communications provided by common law.

C. A person who alleges a violation of this section may bring a civil action in a court of competent jurisdiction within
one year
of
two years
after
the employer's

most recent
prohibited retaliatory action. The court
or jury
may order as a remedy to the employee
(i)
compensation for lost wages, benefits, and other remuneration, together with interest thereon,
including
treble damages if such violation was willful, and the court may

(i)
award reasonable attorney fees and costs
, (ii)
grant
an injunction to restrain continued violation of this section
,
and
(ii)

(iii) order
the reinstatement of the employee to the same position held before the retaliatory action or to an equivalent position
,
and (iii) compensation for lost wages, benefits, and other remuneration, together with interest thereon,
as well as
reasonable attorney fees and costs
.