On July 30, 2026—National Whistleblower Day—Senators Chuck Grassley and John Fetterman along with cosponsors Susan Collins and Raphael Warnock introduced the CFTC Whistleblower Protection and Program Improvement Act of 2026, legislation that—if enacted—would make several significant changes to the Commodity Futures Trading Commission (CFTC) whistleblower program. According to Senator Grassley, the bill “strengthens protections for patriotic whistleblowers, prevents unnecessary delays in the disbursement of whistleblower awards and ensures the CFTC whistleblower program can operate smoothly.” Below are some of the bill’s principal provisions.
Expanded Anti-Retaliation Protections
The bill would significantly expand the CFTC’s anti-retaliation protections by:
- Protecting written or documented oral disclosures;
- Clarifying that protected disclosures include reports made as part of an employee’s ordinary job responsibilities;
- Expanding protected reporting channels to include the Department of Justice, other federal, state, and local regulators, Congress, and internal reports to supervisors or others with authority to investigate or address misconduct; and
- Protecting participation in CFTC and Department of Justice investigations and proceedings.
The legislation would also broaden the statutory definition of “whistleblower”, extending protection to individuals who engage in protected activity regardless of whether they ultimately qualify for a monetary award. Additionally, the bill expressly includes blacklisting among the prohibited retaliatory acts.
Changes to Procedures and Remedies for Retaliation Claims
The bill proposes several changes to claims alleging retaliation against a whistleblower. Specifically, it would:
- Provide defendants with a statutory right to a jury trial;
- Apply the burden-shifting framework found in 5 U.S.C. § 1221(e), under which an employer generally must demonstrate by clear and convincing evidence that it would have taken the same action even absent the employee’s protected whistleblowing activity; and
- Increase the current back-pay remedy to double back pay.
Employee Education Requirements
The proposed legislation would require the CFTC, within 360 days of enactment, to publish a final rule requiring registered entities to educate employees about whistleblower rights. The bill provides that at a minimum, the rule must require individual employee notice, website postings, and mandatory employee training. This would create new compliance obligations for CFTC-regulated entities while increasing employee awareness of available reporting channels and anti-retaliation protections.
Timelines for Award Determinations
The bill also would establish statutory deadlines for the CFTC to process whistleblower award claims. Generally, it would require:
- The CFTC to issue a preliminary award determination within one year after the applicable filing deadline or final resolution of related litigation, whichever is later;
- Limited extensions for complex matters, with notice to the whistleblower; and
- A final Commission order within one year after the preliminary determination.
These provisions are intended to provide greater predictability regarding the award process while preserving flexibility for more complex claims.
Changes Related to the Customer Protection Fund, Permanent Funding, and Bankruptcy-Related Awards
The legislation also proposes several administrative changes to the CFTC Customer Protection Fund from which whistleblower awards are paid. Among other things, it would increase the statutory cap on the fund from $100 million to $300 million and establish a separate account to support education initiatives and administrative expenses of the whistleblower program.
Importantly, the legislation would also provide for permanent funding for the CFTC’s Office of the Whistleblower. Currently, the Whistleblower Office operations from funding that is set to expire in September.
Finally, the bill would also close a loophole that has prevented whistleblowers from receiving awards when the sanctioned company or individual declares bankruptcy. Under the current law, distribution from a bankruptcy settlement does not count as a “monetary sanction” arising from a “covered action” from which a whistleblower award can be made. The bill provides a fix to this loophole by including recoveries from bankruptcy proceedings that result from a whistleblower’s information within the definition of these terms.
What Comes Next for the CFTC Whistleblower Bill
Although the bill remains at an early stage, it reflects continued congressional interest in strengthening the CFTC whistleblower program through broader anti-retaliation protections, enhanced employee education, improved program administration, and more predictable award processing. The bill also follows reforms that have been proposed for the Securities and Exchange Commission’s whistleblower program through the SEC Whistleblower Reform Act of 2025. As with any introduced legislation, however, the proposal may be amended as it moves through Congress, and its ultimate enactment remains uncertain.
Phillips & Cohen is the most successful law firm representing whistleblowers, with recoveries from cases totaling over $13 billion. Phillips & Cohen clients have received 26 awards under the SEC and CFTC whistleblower reward programs created by the Dodd-Frank statute. P&C’s roster includes the former first head of the SEC Office of the Whistleblower, Sean McKessy, the former Director of the Whistleblower Office of the CFTC, Christopher Ehrman, the attorney with the most awards under these Dodd-Frank whistleblower awards programs, Erika Kelton, and numerous attorneys with decades of experience representing whistleblowers under the Dodd-Frank Whistleblower Programs and other whistleblower programs. If you know of possible violations of commodities laws and would like to speak to an experienced whistleblower attorney, contact Phillips & Cohen for a confidential review of your case.
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