Pay Secrecy
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Across all industries and workplaces, over two-million workers in unions across Australia continue to negotiate higher pay to ensure all members get a fair wage for a fair day’s work. Join your union today and make it happen.Let’s talk about pay secrecy
Pay secrecy is when workers are banned from talking about how much they earn with their coworkers, or from asking others about their pay.
It means that in workplaces where some workers are paid less than others for the same job, they often won’t know about it – or if they do, they can’t act without repercussions.
Pay secrecy can lead to serious inequality at work and is a big contribution to Australia’s gender pay gap.
But all that has changed, thanks to the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022 – a new law won by union members!
What was the law before these changes?
Previously, your boss could direct you to keep your wages secret. They would do this by adding a pay secrecy clause to your individual employment contract or the Enterprise Agreement at your workplace.
What’s new?
These new rights empower workers to talk about their wages. That means you can’t get into trouble for talking about your pay or asking your workmates about theirs.
As of 7 December 2022:
New employment contracts and Enterprise Agreements made after this date are not allowed to contain pay secrecy clauses.
Pay close attention if your contract or Agreement was made before 7 December 2022 (and it had a pay secrecy clause):
- For contracts – it will stay in effect until your contract is varied, or you start a new one.
- For Agreements – the pay secrecy clause is now void.
As of 7 June 2023:
Employers who continue to include pay secrecy clauses in new written agreements and employment contracts are liable for penalties.
Where to from here?
Pay transparency is powerful. These new laws are the final step in a long campaign by unions to ensure that all workers not only have the right to freely discuss wages, but are empowered to challenge pay discrimination and wage inequality in their workplaces. So speak up!
Already a union member?
Reach out to your union for more specific information about how you and your workmates can make the most of pay secrecy rights in your workplace.
Not yet a member of your union?
Joining your union will ensure your workplace is a place where those conversations between workmates can occur.
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