Employers in Maryland and Virginia should be aware of new laws that affect non-compete, confidentiality, non-disclosure, and non-disparagement provisions in pre-dispute agreements that are provided to employees at the onset of, or during, their employment. In Virginia, employers are now prohibited from requiring employees to enter into non-disclosure, confidentiality, and/or non-disparagement agreements that relate to claims of sexual harassment. Virginia’s House Bill 1895 amends an existing Virginia law that already covers sexual assault. Separately, in Maryland, employers may not impose non-compete agreements upon employees that earn less than $41,350 in 2023 or $46,800 in 2024.
Employers in both states should review and revise their agreements with employees to account for these new laws.
Non-Disclosure, Confidentiality, and Non-Disparagement Agreements in Virginia Must Carve Out Sexual Assault and Sexual Harassment Claims
Effective July 1, 2023, Virginia employers are prohibited from requiring employees to enter into confidentiality, non-disclosure, or non-disparagement agreements that relate to claims of sexual harassment in addition to claims of sexual assault, the inclusion of which is already unlawful. Virginia is following the lead of other states that have similar laws, including New Jersey, New York, Washington, and California, as well as provisions under the recent federal Speak Out Act. The Speak Out Act prohibits the use of non-disclosure and...
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