Commons Sense

House of Commons · Westminster Hall

Non-disclosure Agreements in the Workplace — [Rushanara Ali in the Chair]

05 September 2023 · 12 other contributors · 13,857 words

Opened by Maria Miller Con Basingstoke

Responding minister: Kevin Hollinrake

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Maria Miller raised concerns about non-disclosure agreements in the workplace — [rushanara ali in the chair] in Westminster Hall. A government minister responded.

Key points

  • Concerns raised about non-disclosure agreements silencing victims of workplace wrongs, including sexual abuse and discrimination.
  • NDAs prevent victims from seeking medical support, taking legal action, or reporting crimes.
  • Women and minority groups disproportionately affected by NDAs, with women signing NDAs at six times the rate of men.

Key requests to Government

The Government should look into providing safeguards against NDAs in all workplaces across Britain. The Minister is urged to support an amendment to the Victims and Prisoners Bill recognising people who have signed NDAs as victims, ensuring consistency. It is time to turn advice into law so that legal clauses cannot be used by anyone to cover up illegal wrongdoing at work.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Maria Miller Con Basingstoke

The use of non-disclosure agreements (NDAs) to silence employees who face workplace wrongs, including sexual abuse and discrimination. NDAs prevent victims from seeking medical support, taking action through employment tribunals, or reporting criminal wrongdoing to the police. The issue disproportionately affects women and minority groups. Statistics show that 48% of those who reported workplace sexual harassment were asked to sign confidentiality agreements, with women signing NDAs at six times the rate for men.

Other contributors (12)
  • Caroline Nokes Con Romsey and Southampton North

    Acknowledged Jim Shannon's use of gender-neutral language but highlighted the importance of reiterating how often NDAs are used in gender-specific contexts.

  • Gregory Campbell DUP East Londonderry

    Thanked the right hon. Lady for securing the debate and raised concerns about costs when public money is used by large employers like the BBC to enforce NDAs against employees.

  • Expressed support for the initiative and emphasised that NDAs are unfair on individuals, doubling down on discrimination. She urged the Minister to consider the proposals presented and highlighted the detrimental impact of covering up wrongdoing within organisations.

  • Jess Phillips Lab Birmingham Yardley

    She highlighted cases of NDAs being used to victimise individuals, particularly in the context of sexual abuse and harassment. She cited examples from the Philip Green case where victims were silenced by threats and financial inducements, reinforcing that current laws permit such abusive practices.

  • Jim Shannon DUP Strangford

    Welcomed the Can't Buy My Silence campaign and highlighted that non-disclosure agreements (NDAs) are often used to silence victims of bullying or misconduct, impacting their mental health. Suggested extending the ban on abusive NDAs to more sectors beyond higher education.

  • Jo Gideon Lab Bury South

    Jo Gideon highlighted that NDAs have been weaponised to shield guilty parties from wrongdoing, failing to protect whistleblowers and address root causes. She mentioned a third of all universities in England used NDAs for student complaints and called on the Minister to review legal flaws. She also discussed how NDAs silence victims in property disputes and hinder justice. Jo Gideon supported the Whistleblowing Bill as it introduces provisions ensuring proper use of NDAs, police compliance, and protection for whistleblowers.

  • Justin Madders Lab Ellesmere Port and Bromborough

    Mr Madders highlighted the excessive use of NDAs, noting that they often perpetuate power imbalances between employers and employees. He cited evidence from the Women and Equalities Committee and the Solicitors Regulation Authority indicating widespread misuse of NDAs. Mr Madders argued that NDAs can prevent victims from seeking justice and contribute to a toxic workplace culture where perpetrators go unaccounted for.

  • Layla Moran Lib Dem Oxford West and Abingdon

    Ms Moran highlighted the misuse of NDAs to cover up bad behavior and silence victims, emphasizing their insidious nature. She stressed that many victims do not fully understand the implications of signing these agreements, which can lead to long-term trauma. Ms Moran also noted that other countries have enacted legislation against such practices, urging the UK government to follow suit.

  • Mary Robinson Lab Barking

    Mary Robinson argued that NDAs are often used to silence whistleblowers and victims of workplace harassment. She cited statistics from Speak Out Revolution, showing that 63% of respondents do not formally report bullying or harassment and only 3% reach a full resolution. She also mentioned the case of a whistleblower who exposed Harvey Weinstein's predatory behaviour despite an NDA.

  • Peter Grant Lab Coventry South

    Complimented the right hon. Lady's speech, arguing that it is hypocritical for media organisations to hide behind secrecy in how they treat their own employees while exposing information from other companies and governments. Peter Grant interjected to point out a massive injustice where victims denied employment opportunities for life face far harsher consequences than repeat offender employers who can continue their nefarious behaviour without repercussions. Emphasised that NDAs cannot be justified if they prevent employees from exercising their legal rights and are used to cover up criminal or unlawful behaviour. He called for stronger measures against professional societies misusing NDAs, suggesting criminal sanctions for employers exploiting employee ignorance and fear. Highlighted the need for extending protections under the Public Interest Disclosure Act beyond direct employment. We all understand that an NDA cannot prevent an employee or ex-employee from making certain kinds of disclosures, but if the former employee does not know this, it is ineffective. He suggests changing the law to require every NDA to state explicitly on its face what rights the former employee still retains.

  • Rachael Maskell Lab Co-op York Central

    Ms Maskell supports the proposal to outlaw NDAs, arguing they are used to hide discrimination and bad practice. She highlights how NDAs can silence whistleblowers and expose individuals raising concerns about workplace safety. Ms Maskell mentions her experience in health services and as a trade union official, noting that NDAs often lead to forced resignations and mental health challenges for the affected individuals. She calls for an open culture where workers feel safe to raise concerns without fear of retaliation or dismissal.

  • Rushanara Ali Lab Bethnal Green and Stepney

    I would be grateful, Minister, if you could leave a little bit of time at the end for Dame Maria Miller to respond to the debate.

Government Response

Kevin Hollinrake

It is a pleasure to serve with you in the Chair, Ms Ali. I commend my right hon. Friend the Member for Basingstoke (Dame Maria Miller) for securing this debate and her long-standing campaigning against inappropriate use of non-disclosure agreements (NDAs). The Government have taken significant steps, including introducing a world-leading pledge to end NDAs in cases of sexual misconduct in higher education, with 84 providers signing the pledge. The Higher Education (Freedom of Speech) Act 2023 bans NDAs in cases of sexual harassment and other forms of bullying and harassment in higher education, expected to take effect in 2024. There are existing legal limits on NDAs in employment contexts, ensuring they cannot prevent workers from blowing the whistle or reporting crimes. Independent legal advice is required for settlement agreements. The consultation found evidence that individuals may be intimidated into signing NDAs without understanding their rights, leading to guidance published by ACAS and the Equality and Human Rights Commission. The Government are also legislating through the Worker Protection (Amendment of Equality Act 2010) Bill to strengthen protections against workplace sexual harassment.

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