US: auto sector now has a whistle blower law image

The US Senate has recently passed an important bit of the new auto legislation legislation, with a bill that allows incentives for industry sources, which would be rewarded if they come forth with important safety information.

The whistle blower bill comes in the wake of last year’s record recall tally, which saw US auto safety campaigns break the precedent record as the GM and Takata crises hit with full force. The largest US|automaker’s ignition switch debacle from February triggered a massive safety reassessment inside the company and in return tens of millions of vehicles were called back for servicing. Additionally, ten automakers last year recalled other millions of autos to address the issue of Takata produced airbags that could rupture and explode with too much force. The new measure to incentivize whistle blowers will still need to pass through the House and other important auto safety bills have not had the chance of a hearing. The Motor Vehicle Safety Whistleblower Act was first proposed back in November and has passed unanimously in the US Senate. “This bill provides important incentives for whistle-blowers in the auto industry to bring safety concerns to the attention of federal regulators when harmful safety defects are not reported,” commented Senate Commerce chairman John Thune.

The new law would allow the US transportation secretary to give away up to 30 percent of the financial penalties imposed on automakers, dealerships or suppliers, if the Department of Transportation or Justice Department punitive measures total at least one million dollars.