What are gagging orders?
Gagging orders are better known in legal terms as confidentiality clauses. They are usually agreed when an employee leaves an employer, having been made redundant or after a disagreement or issue in the workplace.
How do they work?
The employer asks the employee to sign a compromise agreement, under which they waive their right to legal action. This could be in the form of a claim for unfair dismissal at an employment tribunal or a claim for breach of contract.
According to employment lawyers, most compromise agreements also include confidentiality clauses. These bar employees from talking publically or to the press about their former employer of the circumstances under which they left.
They can be far-reaching, barring an individual from even speaking to their spouse about the issue. One council barred an employee from making freedom of information or data protection requests.
Why do people sign them?
In return for signing the agreement and remaining silent, the employee is usually given a lump sum. Barry Warne, head of employment at HLW Keeble Hawson, said: "The employee is being bought off, often with more than his claim is really worth. It is the price of silence."
Why is it so controversial?
Under the terms of the Public Interest Disclosure act, whistleblowers are supposed to be protected. However, many believe that gagging orders have a "deterrent effect". "Employers can't sign away the right to whistleblow, but many people think they can," said Mr Warne.
Mr Warne believes the agreements should not be used in the public sector, except for matters of national security. "Everything in the public sector should be public information," he said.
What happens if people breach their agreement?
An employee could face demands for the return of the severance payment or be sued for damages in the High Court.
http://www.telegraph.co.uk/news/politics/9967899/Gagging-orders-explained.html
