The Employment Rights Bill, which is expected to become law later this year, introduces a significant change to the enforceability of confidentiality clauses in employment contracts. This will render void any provision in a contract between an employer and a worker that attempts to prevent the worker from making allegations or disclosures about harassment or discrimination.
This means that employers will be banned from using non-disclosure agreements (NDAs) to silence victims of workplace sexual misconduct or discrimination.
An NDA is a legally binding document that protects confidential information between two parties. Historically, many of these agreements have been appallingly misused to silence victims and cover up criminality, most notably in the high-profile cases of Harvey Weinstein and Mohamed Al Fayed, who deployed such confidentiality clauses to silence women they had abused.
These amendments aim to end the systemic misuse of NDAs and foster transparent and safe workplaces. Any gagging clause attempting to silence disclosures about equality breaches will be unenforceable and financially and reputationally risky to businesses. If facing abuse or harassment at work, workers will now be free to speak up – to regulators, police, media or colleagues – without the threat and fear of being silenced.
If you need any advice on this matter please contact us on 0345 646 0406 or complete an online enquiry form, and a member of the team will be in touch.