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Equality North East

Private sector employers urged to brace themselves for discrimination claims following Equality Act in October

Employers in the private sector have been warned to brace themselves for a wave of discriminations claims as 'equal pay firms' seek to cash in on the abolition of pay secrecy clauses, according to legal experts.

From October this year, the Equality Act will render pay secrecy clauses unenforceable, and employers will not be able to prevent staff disclosing salary information provided it is to establish pay discrimination.

The ban on ‘gagging clauses’ has been welcomed by diversity campaigners, and the move is designed to enable workers to seek pay disclosure from colleagues in order to stamp out salary discrimination in the workplace.

But according to law firm Pannone, the Act will allow workers to disclose salary details to anyone whose enquiry is based on establishing pay discrimination, which has the potential to open the floodgates to mass equal pay claims.

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September 3, 2010

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