The Organisation for Economic Co-operation and Development (OECD) has previously stated, "Encouraging employees to report wrongdoing ('or blow the whistle'), and protecting them when they do, is an important part of corruption prevention in both the public and private sectors. Employees are usually the first to recognize wrongdoing in the workplace, so empowering them to speak up without fear of reprisal can help authorities both detect and deter violations."
Internal detection, proactive deterrence, and company culture are the first line of defense when combating fraud, misappropriations, embezzlement, and other financial crimes. Throwing away protection for the persons on that line would likely result in more regulatory and investigative costs in the future.
The Supreme Court on Monday agreed to consider whether employees who report misconduct at their companies are entitled to protections as “whistleblowers” if they report the alleged wrongdoing only internally, not to the Securities and Exchange Commission.