Law to target bosses’ use of gagging orders

EMPLOYERS will not be able to use gagging orders to stop workers from reporting crimes to the police, ministers have said.

Toughened-up laws will make it clear that staff can always report harassment or discrimination even after signing a non-disclosure agreement (NDA).

Business minister Kelly Tolhurst said the aim is to clamp down on abuse, such as employers using confidentiality clauses to intimidate whistleblowers, hide harassment and discrimination incidents.

The legal proposals come after a spotlight was shone on retail tycoon Sir Philip Green’s use of NDAs.

Miss Tolhurst said workers would be protected for the first time from the threat of these agreements potentially being used to ‘silence victims’.

She suggested the Government’s plan could also help prevent employees from being duped into signing gagging clauses which they were unaware of.

The proposals include clarifying in law that confidentiality clauses cannot prevent people from speaking to the police to report a crime, or halt the disclosure of information in criminal proceedings.

They call for a clear, written description of rights before anything is signed in confidentiality clauses in employment contracts or a settlement agreement.