Non-disclosure agreements are a standard tool in workplace settlements.
Across three continents, lawmakers are now restricting when employers can use them.
Writing in Ius Laboris, Susan Gross Sholinsky of Epstein Becker Green examined how Australia, the United Kingdom, and the United States are narrowing the use of non-disclosure agreements in employment. Sholinsky is a Member of the Firm in the Employment, Labor & Workforce Management practice, where she oversees the firm's employment compliance work.
The push follows the #MeToo movement and concern that NDAs can silence workers who report harassment or discrimination. Victoria became the first Australian state to restrict these agreements in sexual harassment cases, effective July 1, 2026. Workers there can now end a confidentiality term one year after signing, on seven days' notice, without losing their settlement.
The United Kingdom plans to void any clause that blocks a worker from reporting harassment or discrimination, while leaving trade secret and commercial protections in place. In the United States, Sholinsky explains a patchwork rather than one national rule. At least 21 states restrict NDAs alongside the federal Speak Out Act.
Her guidance for multinational employers is to treat confidentiality as limited rather than automatic, and to update settlement templates jurisdiction by jurisdiction.
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To discuss this perspective, contact Susan Gross Sholinsky at sgross@ebglaw.com.
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