Illinois

The Workplace Transparency Act (2020) restricts non-disclosure and non-disparagement language in employment agreements, separation agreements, and settlement agreements unless mutually agreed on. These restrictions apply to employees and independent contractors. It also restricts the employer's ability to require mandatory arbitration of sexual harassment or other discrimination claims. Employers cannot use language that would completely prohibit employees from making truthful statements regarding unlawful employment practices. An employee, prospective employee, or former employee and an employer may enter into a valid and enforceable settlement or termination agreement that includes promises of confidentiality related to alleged unlawful employment practices, so long as it is mutually beneficial to both parties and confidentiality is the documented preference of the employee. 820 ILCS 96/.