How nondisclosure agreements became one of the tech industry’s favorite tools—and why free speech may still be a long way off.
ACCEPT A JOB AT ANY SILICON VALLEY COMPANY, and chances are someone will ask you to sign a nondisclosure agreement. These documents, dubbed “contracts of silence” by academics, were once only required of senior managers, but today they are as common in the tech world as fleece vests.
At companies like Google, Apple, and Amazon, every low-level employee or contractor is expected to sign an NDA, and so are vendors and visitors. The contracts typically don’t specify a dollar figure for violating the terms, but they do make one thing clear: Anyone who talks too much—about anything from their salaries to their manager’s weird behavior—may be sued.
NDAs have played a central role in a number of recent tech industry controversies, raising new questions about their proliferation and scope. While businesses insist the agreements are necessary, critics say they scare people from talking about the darker sides of the industry.
When sexual harassment allegations roiled companies, including Uber, some tech workers blamed the agreements for preventing victims from speaking out. When employees at blood-testing startup Theranos grew suspicious about potential fraud by executives, they feared sounding the alarm publicly.
This story is from the May 2019 edition of Fortune.
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This story is from the May 2019 edition of Fortune.
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