Tougher legal safeguards could be introduced to give workers greater protection from abuse of non-disclosure agreements (NDAs).
The government is proposing to clarify that NDAs cannot prevent a worker disclosing criminal conduct to the police; ensure workers receive a clear, written description of rights before signing; and requiring that workers receive independent advice before signing a settlement agreement.
Paul Quain, partner at employment law firm GQ|Littler, said: ‘The proposals will still allow NDAs to prevent disclosure of non-criminal forms of sexual and racial discrimination.
‘This means direct discrimination, such as through not promoting someone due to their gender, would not be covered despite being one of the top issues in the workplace. The proposed laws could therefore throw up legal anomalies, with some unlawful (but not criminal) behaviour still covered by agreements, but others not being covered.’
The Department for Business, Energy and Industrial Strategy’s consultation on ‘Confidentiality clauses: measures to prevent misuse in situations of workplace harassment or discrimination’ was opened this week and runs until 29 April.
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