ARTICLE
22 November 2024

Restriction On Use Of NDAs In Employment Equality Claims Now Law

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Arthur Cox

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The Maternity Protection, Employment Equality and Preservation of Certain Records Act 2024 (Commencement) Order 2024 has been signed and names 20 November 2024 as the date on which the Maternity Protection...
Ireland Employment and HR

The Maternity Protection, Employment Equality and Preservation of Certain Records Act 2024 (Commencement) Order 2024 has been signed and names 20 November 2024 as the date on which the Maternity Protection, Employment Equality and Preservation of Certain Records Act 2024 (the "Act"), insofar as it is not already in operation, comes into operation.

Under the Act, it is now possible for employees to postpone maternity leave in the event of a serious health condition.

In addition, the Act amends the Employment Equality Acts to provide for a restriction on the use of non-disclosure agreements ("NDAs") in respect of allegations of discrimination, victimisation, harassment and sexual harassment. In such circumstances, NDAs may only be entered into as part of terms of settlement agreed in a WRC mediation or where the NDA satisfies the requirements of an 'excepted non-disclosure agreement'.

To be an excepted non-disclosure agreement, the employee must request the employer to enter into an NDA and, prior to entering into the agreement, the employee must have received independent legal advice in writing from a legal practitioner in relation to the implications of entering into an agreement. The employer must also pay the reasonable legal costs and expenses of obtaining the legal advice. The agreement must also satisfy a number of other criteria.

For more information on the provisions on the Act, please see our Insight blog post here.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

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