Resistance to Noncompete Agreements Is a Win for Workers
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Re: Resistance to Noncompete Agreements Is a Win for Workers
#2I'm surprised more states and provinces don't take the example of California as a guide for non-competes. Places are always trying to create their own Silicon whatever which is obviously easier said than done, but getting rid of non-competes is one thing that can be done.
Re: Resistance to Noncompete Agreements Is a Win for Workers
#3In Washington State, there was an almost full-ban on non-compete that was proposed a few years ago. Google came to the public hearings with full support for the law as it is (which make sense given the status for non compete in California - and how it got sued by Microsoft over one employee). The law would have made it that non-compete are void if laid-off, and void if over 1 year max or if you're not an executive employee.
But Microsoft, Amazon, and the hospitals fought it hard. (Hospitals are using it on both nurses and doctors apparently)
So the bill got rewritten where it only applies to people with a total comp less than 185k, and where student debt could be subtracted to that 185k. This got fought more by opponents.
Now the ban on non compete only applies to people whose yearly salary (total comp as listed on W-2) is less than 100k, So doctors and tech workers at those companies get nothing out of it, except the clarification that non compete:
- cannot be for longer than 18 months
- if employee is laid off and non compete is enforced, the company must pay base salary for the duration of non-compete.
Geekwire had a good coverage of it over the years:
https://www.geekwire.com/2016/non-compete-bill-stalls-washin...
https://www.geekwire.com/2018/effort-kill-non-competes-washi...
https://www.geekwire.com/2019/tech-leaders-sound-off-washing...
EDIT:
original bills: http://lawfilesext.leg.wa.gov/biennium/2015-16/Pdf/Bills/Hou... ; http://lawfilesext.leg.wa.gov/biennium/2017-18/Pdf/Bills/Hou...
final bill: https://app.leg.wa.gov/billsummary?BillNumber=1450&Initiativ...
Re: Resistance to Noncompete Agreements Is a Win for Workers
#4In Washington State, there was an almost full-ban on non-compete that was proposed a few years ago. Google came to the public hearings with full support for the law as it is (which make sense given the status for non compete in California - and how it got sued by Microsoft over one employee). The law would have made it that non-compete are void if laid-off, and void if over 1 year max or if you're not an executive em…
> - if employee is laid off and non compete is enforced, the company must pay base salary for the duration of non-compete.
That sounds like a pretty big "nothing" to get out of it?
Re: Resistance to Noncompete Agreements Is a Win for Workers
#5In Washington State, there was an almost full-ban on non-compete that was proposed a few years ago. Google came to the public hearings with full support for the law as it is (which make sense given the status for non compete in California - and how it got sued by Microsoft over one employee). The law would have made it that non-compete are void if laid-off, and void if over 1 year max or if you're not an executive em…
> - if employee is laid off and non compete is enforced, the company must pay base salary for the duration of non-compete. That sounds like a pretty big "nothing" to get out of it?
The trick is not to enforce the non-compete but to deter other companies from hiring because it's too much trouble.
Re: Resistance to Noncompete Agreements Is a Win for Workers
#6Earlier quoted context omitted.
> - if employee is laid off and non compete is enforced, the company must pay base salary for the duration of non-compete. That sounds like a pretty big "nothing" to get out of it?
The trick is not to enforce the non-compete but to deter other companies from hiring because it's too much trouble.
Should be a single time decision made at the end of employment
Re: Resistance to Noncompete Agreements Is a Win for Workers
#7I am bound by a non-compete agreement, but until a few months ago, I didn’t remember that I had signed it. At that time, I received an offer for much more money and more responsibility from a competitor. However, a close friend and co-worker reminded me about the agreement when I told him I was mulling the offer.
Ultimately, I decided I didn’t want to risk asking my manager for a release, and I certainly didn’t want to violate an enforceable non-compete without the blessing of my employer. So I scuttled the move.
I was disappointed, but I hold nothing against my employer or against the laws of NY. They hid nothing from me when I accepted the offer, and the noncompete was very limited in scope (geography, industry, and duration). If I had left for the competitor, I would have brought a lot of knowledge that I gained as a result of my position in the company. Not legally protected IP, mind you, but still valuable technical know-how and information about our customers’ biggest problems and the trade offs of various solutions. I don’t think it’s unreasonable to allow organizations to protect that kind of information.
Edit to add that I don’t believe all non-compete agreements are reasonable. Just that I think it’s misguided to ban them wholesale.
Re: Resistance to Noncompete Agreements Is a Win for Workers
#8Non competes should be enforced symmetrically. If a company won't let you work for another company they can't hire another employee.
Re: Resistance to Noncompete Agreements Is a Win for Workers
#9I am bound by a non-compete agreement, but until a few months ago, I didn’t remember that I had signed it. At that time, I received an offer for much more money and more responsibility from a competitor. However, a close friend and co-worker reminded me about the agreement when I told him I was mulling the offer. Ultimately, I decided I didn’t want to risk asking my manager for a release, and I certainly didn’t want…
I agree that companies should be able to enforce these contracts. But there should also be more realistic limitations. For one, there needs to be good compensation for the employee. Too often an employee signs a non-compete and gets locked in to a job that isn't paying market rates.
If the company fired you tomorrow, would you still be bound by the non compete?
Many people are and they receive no additional compensation. I think there need to be provisions requiring an additional non-compete accompanied with comeserate severance pay upon termination.
Re: Resistance to Noncompete Agreements Is a Win for Workers
#10I am bound by a non-compete agreement, but until a few months ago, I didn’t remember that I had signed it. At that time, I received an offer for much more money and more responsibility from a competitor. However, a close friend and co-worker reminded me about the agreement when I told him I was mulling the offer. Ultimately, I decided I didn’t want to risk asking my manager for a release, and I certainly didn’t want…
Did you receive extra compensation for the non-compete?