Are there any exceptions to the right to discuss salary?

Yes. Managerial and supervisory employees, as well as independent contractors and public sector employees, may not be covered by the NLRA. Additionally, you cannot disclose proprietary trade secrets or confidential business data that is not related to your own compensation.

What should I do if my contract contains a salary gag clause?

Do not sign it without seeking clarification. You can request an addendum stating the clause does not apply to protected concerted activity. If you have already signed, the clause is likely void, but you should consult with legal counsel or the NLRB.

A TermScore is an AI-generated risk rating from 0 to 100 that evaluates the fairness and risk level of any legal document. A score of 86-100 means the contract is highly favorable, while 0-30 indicates dangerous terms you should walk away from.

What types of documents can TermScore analyze?

TermScore analyzes any legal document including freelance contracts, employment agreements, residential leases, NDAs, brand sponsorship deals, SaaS vendor agreements, and rental applications. Upload PDFs, Word documents, or images.

How much does TermScore cost?

TermScore offers a free plan with 3 scores per month. The Team plan is $15/month for 30 scores, and the Professional plan is $50/month for 500 scores with team collaboration features.

Is my document data secure?

Yes. Documents are processed in memory and analysis results are stored encrypted. TermScore never shares your document data with third parties and you can delete your data at any time from your dashboard.

Can an employment NDA stop me from disclosing salary information to coworkers?

No. Under the National Labor Relations Act (NLRA), most private-sector employees have the protected right to discuss wages and working conditions. Any NDA clause attempting to prohibit salary transparency is generally unenforceable and may constitute an unfair labor practice.

The Legal Foundation: Why Salary Secrecy Clauses Fail

The National Labor Relations Board (NLRB) has consistently ruled that "concerted activity"—which includes discussing pay with colleagues—is a protected right under Section 7 of the NLRA. Employers who attempt to chill this activity through restrictive NDAs are violating federal law.

Protected vs. Unprotected Activity

Protected: Discussing your own salary, asking coworkers about their pay, or organizing to demand higher wages.
Unprotected: Disclosing proprietary trade secrets, customer lists, or non-public financial data that is not related to employee compensation.

Key takeaway: An employer cannot fire, discipline, or threaten you for discussing your salary with coworkers, even if you signed a contract that says otherwise.

Action Item: Review your employment agreement for broad "confidentiality" definitions that include "compensation data." If you find one, document it for your records.

Jurisdictional Nuances and Exceptions

While federal law provides a strong baseline, your specific employment status determines your level of protection. Not every worker falls under the NLRA umbrella.

Employee Category	NLRA Protected?	Notes
Private Sector Employees	Yes	Full protection for concerted activity.
Supervisors/Managers	No	Generally excluded from NLRA protections.
Independent Contractors	No	Not considered "employees" under the NLRA.
Public Sector Employees	Varies	Governed by state-specific public labor laws.

State-Level Transparency Laws

Beyond federal protections, many states have enacted specific pay transparency laws that go further than the NLRA. For example, states like California, Colorado, and New York have passed legislation requiring salary ranges in job postings and explicitly prohibiting retaliation for salary discussions.

Action Item: Check your state labor department website to see if your state has passed "Pay Transparency Acts" that provide additional remedies beyond federal law.

How to Identify Red Flags in Your NDA

When reviewing your contract, look for language that is overly broad. Employers often hide restrictive clauses in "Confidential Information" sections.

The "Catch-All" Clause: Language that defines all "business information" as confidential, including "compensation structures."
The "Non-Disparagement" Trap: Clauses that prevent you from discussing your employment experience, which can be used to silence salary complaints.
The "Sole Discretion" Clause: Language stating the employer has the final say on what constitutes confidential information.

Key takeaway: If a contract clause is so broad that it could reasonably be interpreted to prevent you from discussing your pay, it is likely legally unenforceable.

Action Item: If you are presented with a contract containing these clauses, ask HR to include a "Savings Clause" that explicitly states: "Nothing in this agreement shall be construed to limit the employee's rights under Section 7 of the NLRA."

What to Do If You Are Threatened

If an employer attempts to enforce an illegal NDA clause, you have specific avenues for recourse:

Document Everything: Keep a written record of any threats or disciplinary actions related to salary discussions.
File an Unfair Labor Practice (ULP) Charge: You can file a charge with your local NLRB regional office. There is no cost to file.
Consult Counsel: Employment law is fact-specific. A local attorney can help you determine if your specific role is covered by the NLRA.

Action Item: Never sign a document under duress. If you are being forced to sign an NDA that you believe is illegal, note "Signed under protest" next to your signature if you must sign to maintain employment.

Streamlining Contract Review with TermScore

Navigating complex legal language in employment contracts is difficult, but you don't have to do it alone. TermScore uses advanced AI to instantly scan your employment agreements, flagging potentially illegal or overreaching clauses like restrictive salary gag orders. By identifying these risks before you sign, TermScore empowers you to negotiate from a position of knowledge and confidence.