Workers subjected to harassment and discrimination will no longer be silenced by controversial non-disclosure agreements (NDAs).
The Government will amend the Employment Rights Bill to ban employers from using NDAs to cover up appalling behaviour.
NDAs were originally designed to protect commercially sensitive information or intellectual property.
But these gagging orders have been widely used to prevent people speaking out about their experiences in the workplace.
Zelda Perkins, a former PA to disgraced movie producer Harvey Weinstein who broke her NDA to expose his conduct, said it was a victory for victims.
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Ms Perkins, who founded the campaign Can't Buy My Silence, said: "This is a huge milestone, for years, we’ve heard empty promises from governments whilst victims have continued to be silenced, to see this Government accept the need for nationwide legal change shows that they have listened and understood the abuse of power taking place.
“Above all though, this victory belongs to the people who broke their NDAs, who risked everything to speak the truth when they were told they couldn’t. Without their courage, none of this would be happening."
A clause will be added to the bill, which returns to the House of Lords next week, that will mean confidentiality clauses in settlement agreements or other agreements that seek to prevent a worker speaking about an allegation of harassment or discrimination will be null and void.
It will allow victims to speak freely about their experiences and for witnesses to support them without fear of being sued.
Deputy Prime Minister Angela Rayner said: “We have heard the calls from victims of harassment and discrimination to end the misuse of NDAs.
“It is time we stamped this practice out – and this government is taking action to make that happen.
“The Employment Rights Bill will ban any NDA used for this purpose, so that no one is forced to suffer in silence.”
Former Cabinet Minister Louise Haigh, who has been campaigning to change the law on NDAs, said: "Victims of harassment and discrimination have been forced to suffer in silence for too long.
"This legislation is the result of years of tireless campaigning by victims and advocates. This victory belongs to them."
She added: "Today's announcement will mean that bad employers can no longer hide behind legal practices that cover up their wrongdoing and prevent victims from getting justice."
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