August 3, 2026
We are closely watching pending legislation designed to strengthen protections for federal contractor whistleblowers who initiate False Claims Act lawsuits. It also broadens accountability for whistleblower retaliation. H.R. 5578, known as the Expanding Whistleblowers Protection for Contractors Act of 2026 (the “Act”), unanimously passed the U.S. House of Representatives on July 20, 2026. The Act is now with the U.S. Senate.
The legislation amends two existing whistleblower protection statutes: 10 U.S.C. § 4701 (Defense Department and NASA contractors) and 41 U.S.C. § 4712 (Civilian federal contractors government-wide).
Rather than protecting only employees, the Act creates a broader category of “protected individuals” that includes contractors, subcontractors, grantees, former employees, and certain personal services workers.
The Act also protects individuals who:
A significant feature of the Act is its focus on government-directed retaliation. The legislation clarifies that executive branch officials may not request or direct contractors, subcontractors, grantees, or subgrantees to retaliate against whistleblowers. Inspectors General would also be authorized to recommend disciplinary action against officials who make such requests.
The Act further strengthens whistleblower rights by providing that the statutory rights, remedies, and forums available to whistleblowers cannot be waived through employment agreements, company policies, forms, or predispute arbitration agreements.
If enacted, H.R. 5578 would substantially expand protections for individuals working on federal contracts and grants while reinforcing accountability for both contractors and federal officials who participate in or encourage retaliation. As lawyers who assist whistleblowers nationwide in reporting fraud, waste, and abuse, we will be closely tracking the status of H.R. 5578.
We represent whistleblowers nationwide in bringing False Claims Act cases including those alleging government contractor fraud. If you have information about possible government fraud, please get in touch with us for a free consultation. We have the expertise and desire to help.