NHTSA Whistleblower Program: Awards, Rules & Eligibility

Motor Vehicle Safety Whistleblowers are critical to ensuring the integrity of the auto industry and protecting the lives of Americans on the road.

Every day, millions of cars and trucks travel on our roads and highways nationwide. Our vehicle safety laws demand that if a vehicle is on the road, it must be safe and function properly. Yet, we learn of vehicles with safety issues like faulty airbags, defective suspensions, uncontrolled acceleration issues, and unreliable transmission switches to name a few. Sometimes the vehicle manufacturers know of the defects and take a wait and see approach to avoid costly recalls.

How the Takata Air Bag Recall Led to the Motor Vehicle Safety Whistleblower Act

For example, Takata, the auto supplier whose defective air bag inflators resulted in the largest safety recall in American history, was warned internally by a senior engineer and others that Takata’s inflators could explode, unleashing metal shrapnel inside cars and trucks. Takata did not initiate voluntary recalls. Ultimately, the defective air bag inflaters caused 22 deaths and hundreds of injuries worldwide.

In December 2015, in response to the Takata revelations and several other high-profile and deadly auto safety scandals, Congress amended the Vehicle Safety Act to add a provision creating the Motor Vehicle Safety Whistleblower Act.

What the NHTSA Whistleblower Program Offers Auto Industry Insiders

The Motor Vehicle Safety Whistleblower Act authorized the National Highway Traffic Safety Administration (NHTSA) to design and oversee a Whistleblower program to help protect the public by providing incentives for insiders working at auto manufacturers, vehicle part suppliers or dealerships to submit information to the NHTSA about violations of vehicle-safety laws that are likely to cause unreasonable risk of death or serious physical injury (the “NHTSA Whistleblower Program”).

In forming the NHTSA Whistleblower Program, Congress authorized the Secretary of Transportation to pay monetary awards to Whistleblowers of between 10% to 30% of collected monetary sanctions if the Whistleblower’s tip resulted in a successful NHTSA resolution exceeding $1 million.

When Did the NHTSA Whistleblower Program Take Effect?

Even though the NHTSA Whistleblower Program was mandated in 2015, it took years to develop. On January 16, 2025, the final governing rules of the NHTSA Whistleblower Program went into effect. NHTSA enforcement under the final rules began on March 20, 2025. Even before the final rules went into effect the NHTSA made its first award of $24.3 million (30%) to a former Hyundai Motor engineer who reported a design problem that caused engines in Hyundai and Kia vehicles to stall and even ignite.

Motor Vehicle Safety FAQs

What Types of Misconduct Can Be Reported Under the NHTSA Whistleblower Program?

The NHTSA Whistleblower Program applies broadly to safety-related vehicle and vehicle equipment defects, including failures to notify the government of such defects. NHTSA investigators consider information provided by Whistleblowers, which may lead to formal actions like an investigation, recall, or civil penalty enforcement action. The NHTSA welcomes information from Whistleblowers on a wide variety of topics, including:

Potential vehicle safety defects,
Noncompliance with the Federal Motor Vehicle Safety Standards, and
Violations of the Vehicle Safety Act.

For example, previous safety-related violations for which a whistleblower could have received an award include:

Takata’s airbag ruptures,
General Motors’ ignition switch defects,
Toyota’s “sticky” pedals that caused unintended acceleration, and
The Early Warning Reporting (EWR) failures that affected Fiat, Chrysler, Honda, Ferrari, Triumph, and Forest River.

Who Qualifies as a NHTSA Whistleblower?

A NHTSA Whistleblower is any employee or contractor of a motor vehicle manufacturer, part supplier, or dealership who voluntarily provides to the NHTSA Whistleblower Office original information not previously known to the NHTSA relating to any motor vehicle defect, noncompliance, or any violation of any notification or reporting requirement of the Vehicle Safety Act, which is likely to cause unreasonable risk of death or serious physical injury.

The Whistleblower must be an individual (including persons living outside the United States and non-U.S. citizens) and not a company or other type of entity.

The categories of employees and contractors who can be Whistleblowers are very broad and include independent contractors, former contractors and employees, employees of foreign parent companies, and even owners. There is no minimum amount of time an employee or contractor must have worked for or formerly worked with the motor vehicle manufacturer, parts supplier, or dealership before they may become a Whistleblower.

Advocacy groups, media reporters, and industry trade associations are excluded from NHTSA’s definition of “Whistleblower.”

What Counts as Voluntary and Original Information?

When is Information Considered to be Provided Voluntarily?

A Whistleblower’s information is provided “voluntarily” if it is provided to the NHTSA before a request, inquiry, or demand relating to the subject of the Whistleblower’s information is directed to the Whistleblower or anyone representing the Whistleblower (i.e., an attorney):

by the Secretary of Transportation,
in connection with an investigation, inspection, or examination by the Secretary of Transportation, or
in connection with an investigation by Congress, any other authority of the Federal government, or a state Attorney General.

Whistleblower information submitted to the NHTSA will be considered voluntarily provided if the same information was provided to the above identified authorities, or to the employer’s internal compliance program or anti-retaliation mechanism, or to the news media, and prior to receiving a request, inquiry, or demand from the Secretary of Transportation or NHTSA.

A Whistleblower’s submission of information will not be considered voluntary if the Whistleblower is required to report their original information to the NHTSA/Secretary of Transportation as a result of a preexisting legal duty, a contractual duty that is owed to the NHTSA/Secretary of Transportation, or a duty that arises out of a judicial or administrative order.

What is Considered Original Information?

“Original Information” is information derived from the Whistleblower’s independent knowledge or independent analysis that is not already known by the NHTSA. Information of misconduct does not have to take place in the United States as long as it affects the U.S. vehicle market.

Independent knowledge means factual information in the Whistleblower’s possession that is not solely derived from publicly available sources, but is gained from the Whistleblower’s experiences, communications and observations in their business or social interactions, and need not be first-hand knowledge of the alleged violation.
Independent analysis means the Whistleblower’s own analysis, whether done alone or in combination with others. Analysis means the Whistleblower’s examination and evaluation of information that may be publicly available, but which reveals information that is not generally known or available to the public.
The Whistleblower information is not original if:
- The Whistleblower information was subject to any attorney-client privilege, unless disclosure would be permitted by an attorney pursuant to the crime-fraud or other exceptions under the applicable state attorney conduct rules.
- The Whistleblower information relates to the legal representation of a client on whose behalf the Whistleblower or their employer or firm are providing services.
- The Whistleblower information is derived from allegations made in a judicial or administrative hearing, government reports, hearings, audits, or investigations, or from the news media, and the Whistleblower was not a source of the allegations.
- The Whistleblower information was learned because the Whistleblower held certain titles at a company (such as attorney, corporate officer, director, auditor, and compliance officer) and the Whistleblower learned the information from another person or through the entity’s internal reporting systems or anti-retaliation mechanism. These individuals face additional hurdles as potential Whistleblowers and must carefully analyze how they came to learn the information they want to report and any obligations they may have to report that information through other processes.

Are There Any Rules about which Employees or Insiders Can be a Whistleblower?

Yes. For certain employees or individuals in certain positions in a company, the Whistleblower Program has rules that impose additional requirements before someone may become a Whistleblower.

For a narrow category of individuals, the NHTSA does not consider their information to be “original” or derived from “independent knowledge” or “independent analysis” because of their status and/or role with the company. This includes anyone who obtained their information because they:

held certain titles of an entity (such as officer, director, trustee, or partner) and was informed by another person of the misconduct, or learned of the misconduct in connection with the entity’s processes for identifying, reporting, and addressing possible violations of law;
were an employee at an entity whose principal duties involved compliance or internal audit responsibilities, or were employed by or otherwise associated with a firm retained to perform compliance or internal audit functions for an entity; or
were an employee of a firm retained to investigate possible misconduct.

A Whistleblower who falls into one of these narrow categories may still be eligible to be a Whistleblower, and to receive an award, if they satisfy one of the following:

The Whistleblower reasonably believes that disclosure of the misconduct to the NHTSA is necessary to prevent the relevant entity from engaging in conduct that is likely to cause substantial injury to the public health and safety;
The Whistleblower reasonably believes that the relevant entity is engaged in conduct that will impede an investigation of the suspected safety violations (i.e., destroying documents, improperly influencing witnesses); or
The Whistleblower, before reporting the misconduct to the NHTSA, waits at least 120 days from:
- when they provided the information to the entity’s audit committee, MAP-21 Mechanism, chief legal officer, chief compliance officer (or their equivalents), or their supervisor, or
- when they received the information, if the Whistleblower received the information under circumstances indicating that the entity’s audit committee, MAP-21 Mechanism, chief legal officer, chief compliance officer (or their equivalents), or their supervisor was already aware of the information.

Reporting Internally and Submitting Information to the NHTSA

Am I Required to Report Wrongdoing Internally Before Going to the Government?

It depends.

If the Whistleblower is a company officer, director, trustee, partner, or an employee with compliance or internal audit responsibilities (including those employed by firms hired to audit the entity or investigate violations), then there is a requirement to report internally first and to wait 120 days before reporting to the Government. See “Are There Any Restrictions about which Employees or Insiders Can be a Whistleblower?” for more information if this applies to you.

If the Employer has an “internal reporting mechanism in place to protect employees from retaliation” in compliance with the Moving Ahead for Progress in the 21st Century Act (MAP-21 Mechanism), then the Whistleblower must first inform their supervisor or another employee within the chain of command, an internal compliance program, or the MAP-21 Mechanism of their safety concern in order to be eligible for a reward.

For anyone else, there is no requirement to report internally to the company in order to receive an award. However, participation in an internal compliance program is a factor considered in determining the appropriate award and may increase the award amount. An experienced Whistleblower Attorney will help a potential Whistleblower to decide whether to report internally first before reporting to the NHTSA.

If the Whistleblower elects to report internally, then the Whistleblower must report to the NHTSA within 120 days of reporting internally to be eligible for an award.

When the Whistleblower reports the information to the NHTSA within 120 days of reporting internally, then:

the NHTSA will consider the Whistleblower’s information internally reported to be original information under the NHTSA Whistleblower Program (provided it is not already known by the NHTSA); and
the NHTSA will consider the Whistleblower’s information to be reported to the NHTSA on the date it was reported internally, and preserve the Whistleblower’s “place in line” in the event another Whistleblower provides the same or related information to the NHTSA in the interim.

If the Whistleblower’s company self-discloses the original information or the results of an investigation initiated by the Whistleblower’s internal report to the NHTSA, then the NHTSA will give the Whistleblower credit for all information provided by the company to the NHTSA, which may include information not provided by the Whistleblower in their internal report. To receive this benefit, the Whistleblower must also report to the NHTSA within 120 days of reporting internally.

The above “lookback” provision and procedure also applies to original information voluntarily provided by the Whistleblower to Congress, any other authority of the Federal government, a state Attorney General or a regulatory authority under any Federal Department with responsibility to investigate motor vehicle safety, when the Whistleblower also reports the same information to the NHTSA within 120 days of providing it to one of these authorities.

If the Whistleblower is employed outside the United States, any requirement that a Whistleblower report to a MAP-21 Mechanism or any other internal compliance program is not applicable.

How Does a Whistleblower Submit Information Under the NHTSA Whistleblower Program?

To become eligible for an award, Whistleblowers must provide their original information of a possible auto safety violation to the NHTSA Whistleblower Office by submitting a completed and signed Whistleblower Disclosure Form under penalty of perjury. Whistleblowers do not file a complaint in any court.

The Whistleblower does not have any right to participate as a party in any administrative actions brought by the NHTSA. If the NHTSA decides not to pursue an enforcement action, there is no option or mechanism for the Whistleblower to independently pursue their claims under the NHTSA Whistleblower Program.

Whistleblowers can increase the chances that their information will lead to a successful NHTSA investigation and action for an award if they keep three things in mind:

The more specific the information is, the easier it is for the NHTSA to follow the lead in opening an investigation or pursuing a new line of inquiry.
The more credible the information is, the more likely it is that the NHTSA will pursue it.
The more timely the information, the better able the NHTSA is to discover any misconduct and put a stop to it before further danger and damage can be done to vehicles and innocent people.

If the Whistleblower provides information that leads to a successful NHTSA resolution involving collected civil penalties and sanctions exceeding $1 million, the Whistleblower can apply for a Whistleblower reward. The $1 million threshold can be satisfied if the total amount of monies collected from all defendants or parties in all civil or criminal actions or Related Actions which relied upon the NHTSA Whistleblower’s original information totaled at least $1 million.

What Are the NHTSA Whistleblower Rewards?

What Are the Whistleblower Rewards?

The determination of the award amounts under the NHTSA Whistleblower Program is entirely discretionary and not guaranteed.

Assuming all eligibility conditions are met for a Whistleblower award, the NHTSA will award at least 10% and no more than 30%, in total, of the collected monetary sanctions. The percentage awarded in connection with an NHTSA action may differ from the percentage awarded in connection with a Related Action.

When the NHTSA makes awards to more than one Whistleblower in connection with the same action or Related Action, the NHTSA will determine each Whistleblower’s individual award percentage. The total amount awarded to all Whistleblowers in the aggregate will be at least 10% and no greater than 30% of the amount the NHTSA or the other authorities collect.

The NHTSA will consider the following factors in determining the amount of an award based on the facts and circumstances of each case:

Factors that may increase the award percentage:
- The significance of the information provided by the Whistleblower.
- The extent of the assistance provided by the Whistleblower.
- Law enforcement priority in deterring violations of the motor vehicle safety laws in certain areas of programmatic interest.
- The extent to which the Whistleblower participated in the company’s internal compliance systems or MAP-21 Mechanism.
- Whether the Whistleblower resided outside of the United States and was subject to retaliation practices that were beyond the reach of U.S. law enforcement.
- Whether the Whistleblower promptly contacted federal or state law enforcement officials if they believed that the underlying violation also constituted a violation of federal or state criminal law.
Factors that may reduce the award percentage:
- The Whistleblower’s participation in, or culpability for, the motor vehicle safety law violations reported.
- Unreasonable delay by the Whistleblower in reporting the violations to the NHTSA.
- Whistleblower interference with the company’s internal compliance and reporting systems (i.e., making false statements that hindered the compliance department’s efforts to investigate possible wrongdoing).
- The Whistleblower’s management role over the personnel or offices involved in the misconduct.

Can a Whistleblower Involved in the Misconduct Still Receive an Award?

The NHTSA Whistleblower Act does not provide amnesty to Whistleblowers who provide information to the NHTSA. The Whistleblower’s assistance in investigations and enforcement actions does not preclude an action against the Whistleblower for their violations of the motor vehicle safety laws. However, if there is a possibility of an action against the Whistleblower, the NHTSA will factor in the Whistleblower’s cooperation into any decision regarding the filing of any enforcement action and/or any penalty against the Whistleblower.

A Whistleblower may negotiate amnesty or other reductions in potential criminal penalties with the Department of Justice or any other appropriate federal law enforcement agency. Any such agreements reached by the Whistleblower will not impact the Whistleblower’s eligibility for an award. A Whistleblower who obtains immunity from prosecution from Congress or any law enforcement agency will still be eligible for an award.

Any monetary sanctions ordered against the Whistleblower, or against any entity based substantially on conduct that the Whistleblower directed, planned, and initiated, will not count toward the $1 million threshold for making any award.

How to Apply for an Award, Including Non-NHTSA Related Actions

How Does a NHTSA Whistleblower Know to Apply for an Award?

The NHTSA will publish a Notice of Covered Action for all successful actions resulting in monetary sanctions exceeding $1 million on the NHTSA Office of Whistleblower website.

Additionally, the NHTSA will use its best efforts to notify any Whistleblower who the NHTSA believes may be eligible for a reward before the publication of the Notice of Covered Action to reach an agreement as to the amount and basis for granting an award. If an agreement is reached, the NHTSA will publish that information in the Notice of Covered Action.

All Whistleblowers who believe they voluntarily submitted original information that resulted in a listed successful NHTSA Covered Action may apply for a Whistleblower Award in the action.

How Does a Whistleblower Apply for an Award in an NHTSA Action?

To apply for an award, a Whistleblower must timely complete and return a Whistleblower Reward Application Form to the NHTSA’s Office of Whistleblower by mail, email or fax within 90 days from NHTSA’s publication of the Covered Action. A Whistleblower’s award application must explain in detail all factual issues in support of their award eligibility, including when the Whistleblower learned of the misconduct, if there was a delay in reporting, and any involvement in the misconduct if applicable.

A Whistleblower may submit original information of a scheme to the NHTSA Whistleblower Program and to another agency’s whistleblower program. The Whistleblower must identify on their Whistleblower Reward Application Form other programs to which the Whistleblower provided their information. Additionally, the Whistleblower must update NHTSA with another Whistleblower Reward Application Form if the Whistleblower later reports to another agency’s program after their initial NHTSA submission.

The NHTSA will make a final decision regarding the eligibility for an award within 180 days following the formal receipt of the Whistleblower Reward Application Form.

What Happens When Tips Are Used in Non-NHTSA Related Action?

NHTSA Whistleblowers may also be eligible to receive an award in a non-NHTSA Related Action, if the Related Action is based on the same information provided by the Whistleblower in the NHTSA Covered Action, where:

The Related Action is a judicial or administrative action brought by either:
- The Attorney General of the United States;
- A federal regulatory authority;
- Any governmental agency to which the NHTSA referred information provided by the whistleblower; or
- A state attorney general or transportation regulatory agency in a criminal or civil case; and
The Related Action is based on the original information that the Whistleblower voluntarily submitted to the NHTSA and led to a successful resolution of the NHTSA action.

The NHTSA will make an award to a Whistleblower in a Related Action if the NHTSA determines the Whistleblower’s original information also led to the successful enforcement of the Related Action.

How Does a Whistleblower Apply for an Award for a Non-NHTSA Related Action?

If a final order imposing monetary sanctions has been entered in a Related Action when the Whistleblower submits their NHTSA award application, then the Whistleblower must also submit their claim for the Related Action award on Whistleblower Reward Application Form used for the NHTSA Covered Action.

If a final order has not yet been entered in the Related Action, then the Whistleblower must submit another Whistleblower Reward Application Form to the NHTSA within 90 days from the date of entry of the final order in the Related Action.

Staying Anonymous and Protection Against Retaliation

Can Whistleblowers Remain Anonymous Under the NHTSA Whistleblower Program?

The Whistleblower may submit information anonymously through an attorney, but the NHTSA may require the Whistleblower to disclose their identity and the NHTSA may, at some point, be required to disclose the Whistleblower’s identity to others. The Whistleblower may submit information anonymously in the following circumstances:

The Whistleblower is represented by an attorney in connection with both the Whistleblower’s submission of information and claim for an award, and the attorney completes the required attorney certification at the time of submission;
The Whistleblower signs under penalty of perjury a Whistleblower Disclosure Form, which the Whistleblower’s attorney must retain while the Whistleblower’s submission is pending with the NHTSA;
The Whistleblower and their attorney must agree to provide the Whistleblower’s identity when the NHTSA determines it is required in any investigation or prosecution; and
Before the NHTSA will pay any award, the Whistleblower may be required to disclose their identity to be verified by the NHTSA.

The NHTSA will not publicly disclose any information, including information the Whistleblower submitted to the NHTSA that could reasonably be expected to reveal their identity, except as required by law or NHTSA policy.

If the NHTSA determines that it is necessary to accomplish a valid law enforcement purpose or to protect the public, the NHTSA may provide the Whistleblower’s information to another federal, state, local, tribal, or international enforcement agency, provided that such agency complies with the same confidentiality commitments. The NHTSA may coordinate with the Department of Labor, the Securities and Exchange Commission, the Internal Revenue Service, the Commodity Futures Trading Commission, the Environmental Protection Agency, the Federal Trade Commission, or the U.S. Department of Justice on matters related to the Whistleblower Act that may also implicate the violation of laws enforced by those agencies. Additionally, the NHTSA will also coordinate with other applicable agencies, as may be appropriate to ensure the full enforcement of U.S. laws that also implicate motor vehicle safety.

A Whistleblower does not need to be represented by an attorney to submit information to NHTSA. However, the Whistleblower may not submit information anonymously without an attorney.

If a Whistleblower Reports Misconduct, Is There Any Protection Against Retaliation?

Under the Moving Ahead for Progress in the 21st Century Act (MAP-21), no motor vehicle manufacturer, part supplier, or dealership may discharge an employee or otherwise discriminate against an employee with respect to compensation, terms, conditions, or privileges of employment because the employee:

Provided or is about to provide to the employer or the NHTSA information relating to any motor vehicle defect, noncompliance, or any violation of any notification or reporting requirement;
Has filed, caused to be filed, or is about to file a proceeding relating to any violation of any motor vehicle defect, noncompliance, or any violation of any notification or reporting requirement;
Testified or is about to testify in such a proceeding;
Assisted, participated, or is about to assist or participate in such a proceeding; or
Objected to, or refused to participate in, any activity that the employee reasonably believed to be in violation of any provision of MAP-21.

MAP-21 provides the Whistleblower with an avenue of recourse and potentially a private right of action for wrongful discharge or discrimination.

A retaliation claim must be filed with the Secretary of Labor no later than 180 days after the date on which the violation occurs. The Secretary of Labor will then investigate the claim, provide the person or entity named in the complaint an opportunity to respond in writing and request a hearing, and if it determines that there is a reasonable cause to believe that a violation occurred, the Secretary of Labor can order relief.

If there is no final decision by the Secretary of Labor within 210 days of the filing of the claim, the Whistleblower may pursue an original action in the appropriate Federal District Court and seek back pay (with interest), reinstatement, reasonable attorneys’ fees, and reimbursement for certain costs in connection with the litigation. Individuals (not just employers) may be held liable for retaliation against the Whistleblower.

Helpful NHTSA Whistleblower Program Information

If you believe you have a claim, contact Keller Grover for a free and confidential consultation.