The National Highway Traffic Safety Administration (NHTSA) finalized a landmark rule to formalize its whistleblower program, providing critical protections and monetary incentives to individuals who report safety violations within the automotive industry.
“Whistleblowers shine a light on critical safety issues and play a vital role in safeguarding our nation’s vehicles and roads,” NHTSA Deputy Administrator Sophie Shulman said. “Safety is NHTSA’s top priority, and the agency is committed to doing everything in its power to protect whistleblowers.”
This rule fulfills a requirement of the Motor Vehicle Safety Whistleblower Act, which was introduced under the Fixing America’s Surface Transportation (FAST) Act. After publishing a Notice of Proposed Rulemaking in April 2023 and considering public comments, NHTSA adopted the rule without significant changes.
The whistleblower program applies to current or former employees and contractors of vehicle manufacturers, parts suppliers and dealerships. These individuals can provide information on topics such as potential vehicle safety defects, noncompliance with Federal Motor Vehicle Safety Standards, and violations of the Vehicle Safety Act. Such reports can lead to formal enforcement actions, including investigations, recalls or penalties.
To encourage participation, the rule allows for whistleblowers to receive monetary awards ranging from 10% to 30% of monetary sanctions exceeding $1 million that result from their disclosures. The program also emphasizes protecting the anonymity and rights of whistleblowers.
For more information, potential whistleblowers can visit NHTSA’s webpage to learn about eligibility, submission procedures and available protections.
