End of Gag Orders? Government Moves to Ban NDAs Covering Workplace Abuse

About the Author: Chris Hadrill

Chris Hadrill is head of the employment team, advising individuals and businesses. Chris has extensive experience with advising on all aspects of employment law.

In an unprecedented and long-awaited move, the government has pledged to ban NDAs that silence victims of sexual misconduct and workplace discrimination, a shift that legal experts have welcomed as both necessary and overdue. The move follows years of campaigning against the widespread practice of powerful individuals and employers using confidentiality agreements to cover up abuse and protect their own interests.

If you have been asked to sign an NDA and have any questions about your obligations of confidentiality, please contact us now. Settlement Agreement Lawyers are employment law specialists who, following a brief and confidential consultation, can provide you with clear, expert advice tailored to your situation. All you have to do to get started is:

The Push to Ban NDAs: From Corporate Secrecy to Legal Reform

After being mooted for several years, the government has finally decided to ban NDAs. Although the official plans have yet to be published, it states that the Employment Rights Bill, described as the largest overhaul of workers’ rights in decades, will be amended to prohibit the silencing of victims of workplace harassment and discrimination.

Often used in settlement negotiations, the non-disclosure agreement (NDA) was initially introduced and intended as a means to protect sensitive business information and intellectual property. However, over the years, several reports have shown that victims of workplace abuse have been forced into signing an NDA to prevent them from speaking out.

A highly publicised example of this involved the now-convicted Hollywood producer, Harvey Weinstein. When a colleague confided in Zelda Perkins in 1998 that Weinstein had assaulted her, Perkins attempted to speak up. However, following legal intervention, she was pressured into signing a confidentiality agreement, preventing her from disclosing the matter to anyone.

Perkins remained silent about the abuse for 20 years, but in 2017, she broke her NDA and risked significant legal consequences. Nevertheless, her bravery helped expose how confidentiality agreements were being used to shield powerful figures from accountability, ultimately leading to the government’s decision to ban NDAs.

This legislative amendment, expected to take effect later this year, would prohibit the use of NDAs in cases of harassment or discrimination. While NDAs would still be permitted to protect legitimate business interests, they would no longer be enforceable if used to conceal misconduct.

A Milestone Moment: Government and Campaigners Unite Against Misused NDAs

Deputy Prime Minister Angela Rayner announced the government’s proposal to ban NDAs. In her announcement, she asserted that victims of workplace misconduct should never be silenced, acknowledging the practice’s growing usage, particularly among those in vulnerable employment. She stated that the government would be “stamping out this practice,” concluding with a clear message: “…We will back workers and give survivors the voice that they deserve.”

Former cabinet minister Louise Haigh and Liberal Democrat Layla Moran jointly spearheaded the parliamentary effort to outlaw NDAs in this context. Haigh stated that victims had waited too long for legal redress but appreciated how “bad employers” would no longer be able to “hide behind legal practices.” Moran added that it had been a “privilege” to collaborate with Zelda, Louise, and many others in bringing their experiences to Parliament and helping to highlight the deeply damaging effects that the misuse of NDAs can have on individuals.

Following the government’s announcement, Zelda Perkins labelled the plans a “huge milestone.” While she acknowledged that there’s still more to be done to ensure that no legal loopholes can be exploited to silence victims again, she claimed that this legislative change would make the UK a global leader in worker protections.

Perkins made sure to credit those who breached their NDAs, stating, “Without their courage, none of this would be happening.” She emphasised that these individuals risked not only legal action but also personal and professional repercussions for speaking out.

What the Plan to Ban NDAs Means for Workplace Protections

The government’s plan to ban NDAs is significant in the UK employment law landscape. While current guidelines state that a non-disclosure agreement shouldn’t be used in cases involving discrimination or harassment, the ban would convert best practice into explicit, statutory law.

“Should not” would become “cannot,” and the way NDAs are drafted would likely change as well. At present, it’s common for a confidentiality agreement to include vague language that intimidates victims. Phrases like “you may not discuss any aspect of your employment or exit with anyone” make individuals believe they can’t report abuse, even if they legally can.

The ban would convert best practice into explicit, statutory law.

Photo Credits – Scott Graham via Unsplash

If the government’s proposal becomes law, NDAs used to conceal misconduct would be rendered unenforceable, and clearer drafting standards would likely be introduced. If there are any legal loopholes that powerful organisations and figures currently use to silence victims, these would likely be addressed, too.

These changes would make it harder to pressure victims into signing an NDA, as they would no longer serve as effective tools for concealment. As a result, accountability would increase, and more victims could feel empowered to seek justice.

How Can Settlement Agreement Lawyers Help?

Have you been asked to sign an NDA? Depending on the circumstances, your obligations of confidentiality may differ, and it might not be in your best interests. Before signing a confidentiality agreement, it’s wise to seek legal advice to ensure you make the best decision for you.

At Settlement Agreement Lawyers, we specialise in employment law and offer clear, confidential guidance on NDAs and settlement agreements. Whether you’re facing pressure to stay silent or simply want clarity on your rights, we’re here to help.

To learn more about how we could help you today, simply:

Alex Hodson
Alex HodsonSenior Associate, employment team

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Alex Hodson is a Senior Associate in our employment team and has extensive experience in advising employees on employment claims, Employment Tribunal proceedings, and settlement agreements.

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