Aggressive Attacks on Employers’ Post-Employment Restrictions Continue
Employers beware. The Department of Justice’s attack on employee restrictions has gotten a new boost in a no-poach antitrust case alleging that competitors agreed not to recruit or hire the other’s employees. The Department is using this win to try to leverage other prosecutions.
In light of the increased activism by the federal government and its state counterparts in attacking no-poaches and non-competes, employers should review their restrictions on employees to ensure that they are narrowly drawn and used only in necessary circumstances. Employers also should consider using other mechanisms to protect their confidential and proprietary information and trade secrets.
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