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New Victorian law changes the operation of NDAs in sexual harassment cases

Victoria has become the first Australian jurisdiction to restrict the use of non-disclosure agreements (NDAs) in workplace sexual harassment matters from 1 July 2026. 

May 29, 2026

In practical terms, employers will no longer be able to treat confidentiality as a settlement default. The Restricting Non-disclosure Agreements (Sexual Harassment at Work) Act 2025 (Vic) provides that an NDA preventing disclosure of workplace sexual harassment will only be valid if the worker who made the complaint requests it, has been given a mandatory information statement, and has had a 21-day review period to seek advice. The worker can shorten or waive the review period. Both parties must confirm that the preconditions were met. 

The Act applies to workers who usually work in Victoria, including where their employer is based interstate. 

JobWatch Executive Director Zana Bytheway said the reform was overdue. “For too long, NDAs have been the default in workplace sexual harassment settlements,” Ms Bytheway said. “Workers contacting JobWatch describe being told to sign or walk away with nothing. They are concerned about being unable to warn the next worker, talk to a doctor, or even tell their family what happened. This reform puts the choice back where it belongs, with the worker.” 

In 2023, JobWatch in conjunction with RMIT University and the University of Wollongong, published the Report, Overwhelmed and Frustrated: Experiences of workplace sexual harassment and discrimination. JobWatch made a submission to the Victorian Government’s 2024 consultation on restricting NDAs, drawing on the research for this report. In that research, one participant said: 

“Being restricted by confidentiality clauses at conciliations continues to silence the victims, and does not depict the true crisis and numbers that sexual harassment in the workplace affects… The perpetrator remains protected by a cone of silence.” 

Eva’s story 

Eva worked for a regional employer. Her boss told her to wear “more sexy clothes” and to stop breastfeeding because he was “a boob man.” He made racist comments about her children andwhen she wouldn’t date him, he fired her. 

Eva pursued her rights. She made internal complaints, sought legal advice and made unfair dismissal and discrimination claims. Her matter was never resolved. 

Eva’s story was published in JobWatch’s ‘Overwhelmed and Frustrated Report’. She is one of 48 workers who describe experiences of workplace sexual harassment, assault or offence. Many of those workers also describe being silenced by confidentiality clauses in Agreements they were pressured to sign, often without legal advice, at the worst moments of their working lives. 

The Victorian Ministerial Taskforce on Workplace Sexual Harassment found NDAs were being used to silence workers, protect employer reputations, and conceal serial offending. The Act addresses the power imbalance the Taskforce identified. 

Calls to JobWatch’s Telephone Information Service about workplace sexual harassment have risen each year for the past three years: 114 matters in 2023/24, 137 in 2024/25, and 163 already in 2025/26. 

Ms Bytheway said the proposed Act is a strong start, but more is needed. “In our submission, we proposed a levy on employers to fund free legal advice for workers, delivered through community legal centres and Victoria Legal Aid. Without that, the workers most likely to be pressured into signing an NDA are the ones least likely to get the information and advice they need to make a genuine choice.” 

The Australian Human Rights Commission’s Respect@Work report recommended restricting the use of NDAs in workplace sexual harassment cases, although Victoria is the only jurisdiction that has acted. 

Workers in Victoria, Queensland or Tasmania who have questions about workplace sexual harassment, including questions about a Settlement Agreement they are being asked to sign, can contact JobWatch’s free and confidential Telephone Information Service on-  

Melbourne: (03) 9662 1933
Regional VIC, TAS, QLD: 1800 331 617 

 

FAQs 

When does the new law start? 

The Act commences on 1 July 2026.  

Does the Act apply to NDAs I have already signed? 

No. The Act applies only to NDAs entered into after the Act commences. Existing NDAs are not affected. 

Does the Act ban NDAs in workplace sexual harassment cases? 

No. The Act regulates how NDAs can be used. An NDA is still permitted if the worker who made the complaint requests it, has been given a mandatory information statement, and has had a 21-day review period to seek advice. 

What does the 21-day review period mean? 

If you have requested an NDA, you must be given 21 days to consider it before signing. You can use this time to obtain legal information and seek advice. You can choose to shorten or waive the review period. 

Can I still talk to a lawyer or support service before signing? 

Yes. If you are asked to sign any Settlement Agreement containing a confidentiality clause, you should seek legal advice before signing. From commencement, the Act requires a 21-day review period where the worker has requested an NDA, unless the worker chooses to shorten or waive that period. 

What happens if my employer doesn’t follow the new rules? 

If the preconditions for the NDA were not met, the NDA will not be enforceable to the extent that it prevents you from disclosing details about the conduct. There is also a breach notice mechanism that can be enforced through the Industrial Division of the Magistrates’ Court. 

Does the Act cover NDAs about the financial settlement amount? 

No. NDAs about the amount of any compensation paid are not affected by the Act. 

If I work in Queensland or Tasmania. Does this affect me? 

The Act applies to workers who usually work in Victoria, including where their employer is based interstate. Workers in Queensland and Tasmania are not covered by this Act. JobWatch supports workers in all three jurisdictions and can provide assistance on the laws that apply where you work. 

Where can I get more information? 

You can contact JobWatch’s free and confidential Telephone Information Service on-  

Melbourne: (03) 9662 1933
Regional VIC, TAS, QLD: 1800 331 617 

Read our Fact sheet

About JobWatch 

JobWatch is an employment rights community legal centre operating across Victoria, Queensland and Tasmania. We have been supporting workers since 1980. Our services include a free Telephone Information Service, legal advice and representation for vulnerable workers, community legal education, and law reform work. 

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