For decades, the confidentiality clause has been an almost invisible fixture of the British professional landscape. Historically, such non-disclosure agreements (NDAs) were designed to protect commercially sensitive information such as trade secrets and intellectual property. Over time, however, their use has become embedded in the resolution of workplace disputes, with alarming consequences, particularly for women.
Allegations of harassment, discrimination, or misconduct have been increasingly settled privately, with confidentiality clauses preventing individuals from speaking about their experiences. Last summer, the Policy Liaison Group (PLG) held a roundtable on workplace bullying. Campaigners and survivors noted that NDAs “started as trade secret tools, now they’re silence contracts”. In other words, non-disclosures not only silence victims they also enable harmful workplace cultures to persist.
Our work is founded on the idea that employers’ duty of care to their employees is fundamental not only for organisational resilience but to national productivity. When workplace harm is addressed primarily through confidential settlements rather than transparent processes, the notion of employees having a duty of care is completely undermined. The passage of the Employment Rights Act 2025, which received Royal Assent on 18 December, marks an important moment in UK workplace policy. New restrictions on the use of NDAs in cases of harassment and discrimination will bring about a broader shift in expectations about accountability at work.
Workplace culture and the wellbeing agenda
The debate surrounding NDAs sits within a wider national conversation about the health of the workforce and the quality of working environments. According to ACAS, 44% of UK workers experienced some form of dispute or disagreement at work in 2025, a historic high.
Workplace bullying is associated with increased risks of burnout, depression and prolonged absence from work. Data from the ONS shows that long-term sickness-related economic inactivity has reached record levels in the UK, with millions of working-age people currently outside the labour market due to ill health.
This has prompted a stronger policy focus on the relationship between employment practices and national productivity. Government initiatives such as the Get Britain Working White Paper and the review led by Sir Charlie Mayfield reflect a growing understanding that workforce health and economic performance are closely linked.
Within this context, the misuse of NDAs has come to be viewed as a barrier to building psychologically safe workplaces. Occupational Psychologist Maria Paviour, who sits on the PLG’s Advisory Board, describes a genuine workplace wellbeing culture as one “where people can speak openly, without fear of reprisal, about what needs to change so organisations can improve, for the benefit of colleagues, organisations and society. Creating psychological safety for employees is not only the right thing to do, but it also evidentially improves outcomes for the organisation”. Paviour cautions that organisations often rely on NDAs to manage reputational risk, “sometimes confusing the protection of reputation with the silencing of those who raise legitimate concerns.”
A reform agenda shaped by campaigning and cross-party pressure
The policy change is the result of several years of campaigning and parliamentary scrutiny. One of the most influential figures in this movement has been Zelda Perkins CBE, founder of the Can’t Buy My Silence campaign. Perkins worked as an assistant to film producer Harvey Weinstein in the 1990s and in 2017. She was one of the first women to publicly break the NDA she had signed after confronting the disgraced Hollywood producer about sexual harassment. Her decision to speak out helped bring wider attention to the ways confidentiality agreements can prevent victims from sharing their experiences.
In 2018, the Women and Equalities Committee investigated the use of NDAs as part of its inquiry into workplace sexual harassment, hearing evidence from campaigners, lawyers, and survivors. MPs across the political spectrum subsequently sought legislative change. Former Conservative MP Dame Maria Miller introduced a Private Member’s Bill aimed at limiting the misuse of NDAs. Liberal Democrat MP Layla Moran also brought forward proposals to reform how such agreements are used in employment settlements.
This momentum accelerated during the passage of the Employment Rights Bill when Louise Haigh MP, who served as Transport Secretary in Keir Starmer’s inaugural cabinet, tabled an amendment to prohibit NDAs in cases of harassment and discrimination. The proposal secured the backing of more than sixty MPs.
Implications for employers
For employers, the immediate impact of the legislation will be practical as well as cultural. Settlement agreements, employment contracts and confidentiality clauses will need to be reviewed to ensure they do not restrict disclosure of harassment or discrimination allegations. HR teams may also require additional training.
Some commentators have suggested that restricting NDAs could make employers more cautious about settling disputes privately. Others believe the reforms will ultimately strengthen trust in reporting procedures by demonstrating that organisations cannot rely on confidentiality to manage reputational risk.
Importantly, the new legislation does not remove the ability to protect legitimate commercial information. NDAs will continue to play a role in safeguarding intellectual property and sensitive business data. The government has also indicated that certain limited forms of confidentiality agreement may remain permissible, subject to further consultation and regulation.
Legal compliance and duty of care
For the Policy Liaison Group on Workplace Wellbeing, these reforms raise broader questions about how organisations respond to harm and support those who raise concerns. Our ongoing work to develop practical Duty of Care Guidelines aims to help employers move beyond legal compliance towards proactive approaches to employee wellbeing that align with existing frameworks. On Wednesday, 18 March, the PLG will host a roundtable in Parliament with Louise Haigh and Zelda Perkins. The discussion will explore how organisations can move beyond reliance on confidential settlements to foster working cultures where concerns are addressed transparently and with sensitivity.
As workplace psychologist and PLG Chair Gethin Nadin has noted, the growth of the corporate wellbeing industry has not always translated into better outcomes for workers. Meaningful change requires evidence, leadership and sustained commitment. The new restrictions on NDAs should therefore be understood not only as a legal reform, but as part of a wider shift in expectations around accountability at work. Workplaces that prioritise transparency, dignity and psychological safety are likely to be stronger, more resilient and better prepared for the future of work.