Within hours of the vote, the U.S. Chamber of Commerce pledged to sue the agency over the rule.
Fuck those guys.
I’m pretty sure their founding documents include “shafting workers and consumers” as a core mission.
The chamber of commerce can get fucked.
Class warfare.
Non-competes have been null and void in California for some time. Employees can also recover attorney fees if someone tries to enforce one. It’s one of the reasons startups can be started here without fear of persecution by a previous employer.
It’s great to see this become national policy.
Good on them. Noncompete clauses are bullshit and yet another tool to take away workers’ rights.
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I’ve had a few of these. Honestly, they’re pretty hard to actually trigger. At least in mine, short of something along the lines of corporate espionage or insider trading, there’s not much in there that’s vague enough to hinder career prospects since, I assume, they’re legally not allowed to. It’s generally been, “You can’t work for another company on this very specific thing you never heard of before starting here and will probably never hear of again, for the next 24 months.”
Haven’t heard of them being misused for retention out in the wild, but I assume they must be enough to cause this.
My last company sued at least two former employees that I know about. The thing with non competes isn’t that the company makes money back by suing. It’s more worth it for them to file suit if the executive’s pride is hurt or if they want to send a message to other employees.
I have. A guy was an electronics sales account manager at a previous job. He came to work for us as an IT services sales manager. Two or three months in, the previous employer called us and said his noncompete covered everything related to technology (or maybe just a combination of sales and technology), so he left.
That’s not how a free job market is supposed to work.
Yes, you’re right.
And so non-competes should indeed be banned.
Healthcare, specifically providers, are extremely hampered by these. Imagine working at a hospital in a big city and you must sign a noncompete that blocks you from working at any other hospital system within 50 miles. If you’re a specialist, it’s worse than that because you can’t exactly flex into another role easily.
The last noncompete I signed, I wrote in the margins, in pen, that I was allowed to do anything I wanted so long as it didn’t directly harm the interests of the company I was leaving. They signed it.
At least in mine, short of something along the lines of corporate espionage or insider trading
Normally that would be covered by something like an NDA or Non-Solicitation, rather than a Non-comp - or even just federal law for something like insider trading.
It’s true though, Non-comps are usually unfair and unnecessary and overly restrictive.
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Thank you Biden
NonCompete about to get a huge surge of subscribers.
