Texas 2025 - 89th Regular

Texas House Bill HB5425

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to prohibiting certain nondisclosure or non-disparagement agreements by employers; creating a civil cause of action.

Impact

If enacted, HB 5425 would have significant implications for the Labor Code in Texas by amending existing statutes governing employer-employee agreements. This change is directed towards reinforcing the rights of employees, particularly focusing on whistleblower protections. The bill's provisions would empower employees to disclose unlawful behavior without facing discrimination or retaliation for doing so, thereby promoting a more transparent and accountable workplace environment.

Summary

House Bill 5425 aims to prohibit certain nondisclosure and non-disparagement agreements imposed by employers on their employees. The bill introduces provisions that make any such agreement void and unenforceable if it prevents an employee from reporting or discussing conduct they reasonably believe violates state or federal laws. This includes violations related to wages, discrimination, harassment, retaliation, or sexual assault. The legislation seeks to protect employees' rights to speak out against illegal practices without fear of retribution from their employers.

Contention

Notable points of contention around HB 5425 may arise from employers who argue that such nondisclosure agreements are necessary for protecting business interests and maintaining confidentiality in certain contexts, such as sensitive business practices or proprietary information. However, the bill articulates specific exemptions for agreements that protect trade secrets and proprietary information, seeking a balance between employer rights and employee protections. Concerns may also be raised regarding the potential for increased litigation as employees gain a clearer pathway to civil action against employers for violations of this law.

Companion Bills

No companion bills found.

Previously Filed As

TX HB4309

Relating to prohibiting certain nondisclosure or confidentiality provisions in employment agreements.

TX HB893

Relating to requiring certain employers to provide paid sick leave to employees; providing administrative and civil penalties.

TX HB404

Relating to requiring certain employers to provide paid leave to employees; providing civil and administrative penalties.

TX HB138

Relating to an employee's right to privacy of personal health information; providing a civil penalty.

TX HB123

Relating to an employee's right to privacy of personal health information; providing a civil penalty.

TX HB52

Relating to an employee's right to privacy of personal health information; providing a civil penalty.

TX HB4

Relating to prohibitions on the illegal entry into or illegal presence in this state by a person who is an alien, the enforcement of those prohibitions and certain related orders, including immunity from liability and indemnification for enforcement actions, and authorizing or requiring under certain circumstances the removal of persons who violate those prohibitions; creating criminal offenses.

TX SB4

Relating to prohibitions on the illegal entry into or illegal presence in this state by a person who is an alien, the enforcement of those prohibitions and certain related orders, including immunity from liability and indemnification for enforcement actions, and authorizing or requiring under certain circumstances the removal of persons who violate those prohibitions; creating criminal offenses.

TX HB1012

Relating to the prohibition of certain discrimination; authorizing civil penalties.

TX SB110

Relating to the prohibition of certain discrimination; authorizing civil penalties.

Similar Bills

CA AB1370

State Legislature: nondisclosure agreements.

WV SB453

Establishing uniform requirements for restrictive employment agreements

NJ A5287

"Imprisoning Illegal Aliens Act;" allows State and local entities and private detention facilities to enter into agreements to detain noncitizens.

ME LD1511

An Act to Expand Direct Health Care Service Arrangements

CA AB3086

Interdistrict attendance: prohibition on transfers by a school district of residence.

VT S0103

An act relating to amending the prohibitions against discrimination

VT H0205

An act relating to agreements not to compete

CO SB053

Restrict Governmental Nondisclosure Agreements