The Victorian Government is set to introduce sweeping changes to the way non-disclosure agreements (NDAs) operate in workplace sexual harassment matters. 

Following recommendations from the Victorian Ministerial Taskforce on Workplace Sexual Harassment and the Australian Human Rights Commission’s Respect@Work and Speaking from Experience reports, the Restricting Non-disclosure Agreements (Sexual Harassment at Work) Bill 2025 aims to limit the use of NDAs to situations where confidentiality is genuinely requested by the complainant. While NDAs have traditionally been used to protect trade secrets and provide certainty and confidentiality in settlements, their use in workplace sexual harassment matters has raised concerns about misuse to silence victims and shield employers from reputational harm.

For employers, these anticipated reforms signal a need to review current practices and ensure compliance with evolving expectations. 

What is a non-disclosure agreement? 

Workplace NDAs are defined in the Bill as agreements that restrict disclosure of material information about workplace sexual harassment where the complainant is a party and the other party is either their employer or the respondent.

The Bill applies to: 

• workplace NDAs; and
• any other contract or agreement that relates to the disclosure of material information about workplace sexual harassment that is connected to Victoria.

What does the Bill do? 

At a glance, the Bill:

• prohibits the use of workplace NDAs unless requested by the complainant
• mandates the provision of information statements and a review period of at least 21 days before a worker signs a workplace NDA
• prohibits an employer from pressuring or influencing a worker to enter into a workplace NDA
• allows a worker who has entered into a workplace NDA to talk to certain people and bodies such as Victoria Police and medical and legal professionals
• grants a worker an unconditional right to terminate a workplace NDA after giving 12 months of notice to the other party
• allows a worker to issue a breach notice if the statutory preconditions for a workplace NDA were not met

Is the Bill retrospective? 

The Bill is not retrospective. It will only apply to NDAs (and similar agreements) entered into after the commencement date.

What does the Bill hope to achieve? 

We have identified 3 main objectives:

1. To limit reliance on NDAs in workplace sexual harassment matters, ensuring they are only used when genuinely requested by the complainant.
2. To address the power imbalances between complainants and employers when negotiating a settlement.
3. To encourage transparency and better workplace practices to support effective management or sexual harassment issues. 

If the Bill becomes law, what will be the immediate impact? 

If the Bill becomes law, employers can only rely on an NDA for settling a workplace sexual harassment matter where a complainant requests it. For employers, this shift reflects the increased attention on a victim-centered approach. It may also make some matters more difficult to settle. Employers should already be engaging in proactive measures such as robust policies, training, and revisions of existing workplace health and safety practices to eliminate, so far as is possible, sexual harassment from occurring in the workplace. 

Key takeaways 

Bill status: The Bill has been introduced into Parliament but is not yet law.

Bill scope: The Bill applies to workplace NDAs and any agreements connected to Victoria that restrict disclosure of material information about workplace sexual harassment. 

Implications for employers: While the Bill is not yet law, employers should start reviewing settlement practices, templates, training, and workplace health and safety practices, to prepare for compliance.