5 Trends Shaping Whistleblower Regulations in 2025

The Ethics and Compliance Initiative (ECI) 2023 survey revealed a startling statistic: nearly 50% of employees who reported misconduct experienced some form of retaliation. As we move into 2025, policy makers globally understand the urgent need for robust whistleblower regulations and protection laws, and are taking the appropriate steps by enacting regulatory shifts.

From groundbreaking legal frameworks to enhanced protections in critical sectors, these emerging developments mark a significant step forward in the global effort to uphold ethical standards and foster a culture of respect, civility, and integrity. Staying informed will help organizations better protect their employees and maintain a trustworthy work environment.

So, without further ado, let’s dive into 5 key regulatory shifts that should be on your radar.

AI and Emerging Technologies

No ‘trend’ article in this day and age would be accurate without highlighting AI and emerging technologies. As artificial intelligence continues to integrate into various industries, the need for specific whistleblower protections has become increasingly apparent. Current federal whistleblower protection laws mainly stem from specific legislation addressing issues like:

• Tax evasion
• Money laundering
• Foreign bribery
• Health care fraud

However, they fall short in covering the unique dangers posed by AI, such as deepfake videos and discriminatory algorithms. Lawrence Lessig, a Harvard law professor representing AI industry whistleblowers, criticizes the notion that tech giants and AI startups can self-regulate, calling it naive and advocating for necessary regulations.

Stay ‘AI Risk Ready’

While specific regulations are not yet required, companies can start monitoring their AI governance and take the following steps:

1. Gain Transparency on AI Models and Usage: Ensure clear visibility of AI models and their applications both within your organization and with third parties.
2. Manage and Monitor End-to-End AI Application Lifecycle: Implement continuous monitoring and management practices for the entire AI application lifecycle.
3. Hold AI Models to High Standards: Ensure AI models comply with leading laws and frameworks, maintaining high accountability and ethical standards.

Updated DOJ Guidance on Whistleblower Protection Laws

The U.S. Department of Justice (DOJ) is taking significant steps to enhance whistleblower protections in the coming years. Recognizing the crucial role whistleblowers play in uncovering corporate misconduct, the DOJ is committed to ensuring that individuals who expose misconduct are safeguarded against retaliation and supported throughout the reporting process. These efforts are part of a broader initiative to foster a culture of transparency and accountability within organizations.

ECCP

In its latest update to the Evaluation of Corporate Compliance Programs (ECCP), the DOJ emphasizes the importance of proactive risk management and encourages companies to address potential compliance issues before they escalate. By promoting a proactive approach, the DOJ aims to incentivize companies to continuously improve their compliance programs and create a safer environment for whistleblowers.

DOJ Whistleblower Rewards Program

Additionally, the DOJ has launched the Whistleblower Rewards Pilot Program, a three-year initiative incentivizing individuals to report corporate misconduct. Under this program, whistleblowers who provide valuable information leading to successful enforcement actions may receive a percentage of the recovered funds. This initiative not only rewards those who come forward but also sends a strong message that corporate misconduct will not be tolerated.

Global Cybersecurity Regulations

As of June 2024, all EU Member States have fully enacted the EU Whistleblower Directive, setting new standards for protections. One key development is the European Union’s NIS2 Directive, which aims to bolster cybersecurity resilience across member states. This directive requires organizations to report cyber breaches within 24 hours, ensuring rapid response and mitigation. Additionally, NIS2 promotes enhanced cooperation between national authorities and mandates the creation of a central hub for coordinated responses to major cyberattacks.

Voluntary Self-Disclosure

In 2025, voluntary self-disclosure will be even more encouraged, thanks to the foundations laid by the Voluntary Self-Disclosure Program established in 2023. This program aims to foster a speak-up and listen-up culture by incentivizing organizations to report their own violations before being discovered by regulators. By stepping forward voluntarily, companies can benefit from reduced penalties and demonstrate their commitment to ethical practices.

Deputy Attorney General Lisa Monaco emphasized this proactive approach, stating, “Our message to whistleblowers is clear: the Department of Justice wants to hear from you. And to those considering a voluntary self-disclosure, our message is equally clear: knock on our door before we knock on yours.”

Reversal of Burden of Proof

An emerging trend in whistleblower regulations is the shift to include reversal of the burden of proof. Traditionally, whistleblowers had to prove that their retaliation was directly linked to their disclosure, a challenging and often daunting task. However, recent regulations, such as the EU Whistleblower Directive, have shifted this burden to employers. Now, employers must demonstrate that any adverse actions taken were for legitimate reasons unrelated to the whistleblowing. This change aims to level the playing field, making it easier for whistleblowers to seek justice and ensuring that their disclosures are taken seriously without fear of unfair reprisal.

Embracing New Horizons in Whistleblower Regulations and Protections

As policies emerge encouraging and protecting whistleblowers, we notice a pivotal shift towards a more transparent and accountable future. These emerging trends, such as the DOJ’s updated guidance, enhanced protections in the tech sector, and increased emphasis on cybersecurity compliance, underscore the critical role of whistleblowers in safeguarding organizational integrity.

As we look ahead, it’s clear that these regulatory advancements will continue to shape the landscape, ensuring that whistleblowers are not only heard but also protected in their pursuit of justice and ethical conduct.