AB 331 known as the “Silenced No More Act,” was approved by the Governor on October 7, 2021, and its provisions applies to employment agreements, such as severance agreements, settlements agreements, or a release of claims. Here are five items employers should understand about AB 331:
1. When does AB 331 take effect?
AB 331 applies to agreements entered on or after January 1, 2022.
2. AB 331 broadens the categories that employers cannot restrict employees from disclosing.
AB 331 amends Code of Civil Procedure Section 1001 and prohibits settlement agreements filed in a civil action or a complaint in an administrative action from preventing the disclosure of factual information related to the claim. This applies to claims for sexual harassment, as well as workplace harassment, discrimination, or retaliation based on any other protected characteristic under California law. AB 331 builds on the laws passed in 2018 from the #metoo movement, which prohibited employers from preventing employees or former employees from discussing claims and facts related to sexual harassment in the workplace. AB 331 broadens this prohibition to apply to any type of workplace harassment or discrimination.
AB 331 also prohibits employers from requiring employees to sign an agreement (a nondisparagement agreement or any other document) that would restrict the employee’s ability to disclose information about unlawful acts in the workplace.
3. AB 331 requires certain disclosures be made in agreements...
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