Federal law protects whistleblowers, prohibiting corporations, including nonprofits, from retaliating against employees who “blow the whistle”. There are 45 states that have enacted additional laws to increase protection of whistleblowers from retaliation.
The legal issues around whistleblowing are compelling reasons to have a whistleblower policy that covers the entire process and is explicit in stating there will be no retaliation towards an employee who blows the whistle.
You can find more information and resources at the National Whistleblower Center, an organization dedicated to supporting and celebrating whistleblowers. https://www.whistleblowers.org/
Here’s where you can find out if your state has additional whistleblower protections http://www.ncsl.org/research/labor-and-employment/