What is pay secrecy?
Pay secrecy refers to terms that stop employees discussing their pay; since the 2022 reforms employees have a protected right to share or keep pay private.
Pay secrecy refers to clauses or workplace rules that prevent employees from discussing or disclosing their remuneration. Since the Secure Jobs, Better Pay reforms in late 2022, employees have a positive workplace right to share — or choose not to share — information about their pay and the terms and conditions needed to work out their pay.
Pay secrecy terms entered into after 7 December 2022 have no effect and are unenforceable. Including a new pay secrecy term in a contract is prohibited and can attract penalties. The right is protected under the general protections provisions of the Fair Work Act 2009.
Key facts
- •Employees have a protected right to disclose, or not disclose, their own pay since the 2022 reforms
- •Pay secrecy terms made after 7 December 2022 are unenforceable and have no effect
- •Employers must not include new pay secrecy terms in contracts, and breaches can attract penalties
- •The right is backed by the general protections provisions of the Fair Work Act 2009
- •Employees can also ask others about their pay, but no one is obliged to answer
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Can my employer stop me telling colleagues my salary?
No. Since the 2022 reforms, you have a protected workplace right to share or keep private your pay and related conditions. Any pay secrecy clause made after 7 December 2022 is unenforceable, and disciplining you for exercising this right may breach the general protections.
Are older pay secrecy clauses still valid?
Pay secrecy terms in contracts made before 7 December 2022 can remain in effect until the contract is varied. However, employers cannot add new pay secrecy terms, and once a relevant variation is made the term loses effect.
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General information and estimates only — not legal, financial or tax advice. Always check your specific award, agreement or contract, or a qualified professional, before you rely on the result.