Non-disclosure agreements (NDAs) are often used to settle disputes quietly. In such agreements, the accused party gets assurance that the allegations won’t be made public or repeated. In return, the accuser typically receives financial compensation. In workplace disputes, NDAs are often part of broader settlement agreements.

However, some complaints, like whistleblowing or reporting crimes, cannot be silenced by NDAs. Until now, in the UK, NDAs could still be used to cover up sexual harassment allegations. This has sparked debate, with many calling for a ban on such practices. Countries like Ireland, Canada and the USA have already introduced similar bans.

Recently, a Liberal Democrat MP proposed an amendment to the Employment Rights Bill (ERB) to make NDAs covering sexual harassment void. The government rejected this in January but acknowledged concerns about NDAs being misused to silence victims of harassment, discrimination and bullying. They promised to review the issue.

The government might have already, at least partially, introduced its own solution. The ERB includes a provision adding sexual harassment to the list of whistleblowing protections. If enacted, sexual harassment allegations could no longer be silenced using NDAs as they would be protected by the wider ban on using NDAs in whistleblowing situations. Whether the government will go further and have an outright ban on NDAs for sexual harassment is still uncertain.

For further information, please contact Kerry Curd in the employment team on 01626 202406 or email KerryCurd@wbw.co.uk.

WBW Solicitors has offices in Axminster, Bovey Tracey, Brixham, Chard, Exeter, Exmouth, Honiton, Launceston, Newton Abbot, Paignton, Seaton, Sidmouth, and Torquay.

This article is for general information only and does not constitute legal or professional advice. Please note that the law may have changed since this article was published.