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Employer Liability Issues Restrictive Covenants Low-Wage Workers

Fisher Phillips

Washington Supreme Court Significantly Limits Moonlighting Restrictions for Low Wage Employees: Your 4-Step Plan for Compliance

Fisher Phillips on

In a first-of-its-kind decision, the Washington Supreme Court took aim at the ability of employers to prevent low wage employees in the state from “moonlighting” or otherwise supplementing their income during their...more

McGuireWoods LLP

Virginia Increases Earnings Threshold for Prohibition on Non-Competes for “Low Wage Employees”

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Since July 1, 2020, Virginia has prohibited employers from entering into, enforcing or threatening to enforce non-compete agreements with “low wage employees.” The definition of “low wage employee” periodically changes...more

Constangy, Brooks, Smith & Prophete, LLP

D.C.’s employer-friendlier noncompete law will take effect November 10

In July 2019, Maryland banned non-compete clauses for employees who earn $15 an hour or $31,200 a year, or less. In 2020, neighboring Virginia passed a law prohibiting non-competes for “low-wage employees” (individuals...more

Proskauer - Law and the Workplace

In Colorado, “Low Wage” Now Means Six-Figures For Non-Competes

On June 8, 2022, Colorado Governor Jared Polis signed Colorado House Bill 22-1317 (the “Bill”), which was passed by the Colorado Legislature on May 10, 2022. Effective 90 days from the end of the legislative session – on...more

Epstein Becker & Green

#WorkforceWednesday: Non-Compete Compliance, New Requirements for Plan Sponsors, Get Ahead on Anti-Harassment Training -...

Epstein Becker & Green on

This week, we look at the increased focus on non-compete agreements across the country. The Current Environment for Non-Compete Agreements (see video attached) There has been a wave of legislation restricting non-compete...more

Kohrman Jackson & Krantz LLP

Illinois Restrictive Covenant Law: Key Changes, Requirements, and Limitations

On Aug. 13, 2021, Illinois Governor JB Pritzker signed Illinois Senate Bill 672 (the “Amendment”), an amendment to the Illinois Freedom to Work Act (the “Act”) that significantly limits an employer’s ability to bind employees...more

Seyfarth Shaw LLP

More States Eye Low-Wage Non-Compete Bans

Seyfarth Shaw LLP on

Over the past 10–15 years, we have seen an explosion of legislative activity related to restrictive covenants. This activity is happening not only in state legislatures but on the federal level as well. While each proposal is...more

Proskauer Rose LLP

Low Wage and Employee Classification Limits on Non-Compete Agreements

Proskauer Rose LLP on

Over the past few years, states across the country have sought to limit or reduce the use of employee non-compete agreements. While some states have imposed outright bans on such agreements, many more have passed laws that...more

Proskauer - Law and the Workplace

Reminder: Illinois Restrictive Covenant Law Takes Effect on January 1, 2022

As we previously reported, a new amendment to the Illinois Freedom to Work Act (820 ILCS § 90) regarding the use of non-competition and non-solicitation restrictive covenants for Illinois employees will take effect on January...more

Robinson & Cole LLP

The Ever-Changing Landscape of Non-Compete Agreements – Recent Developments

Robinson & Cole LLP on

Recently, the federal government and various state governments have spoken out concerning new limits on non-compete agreements and other post-employment restrictions. Although the trend toward limiting non-compete agreements...more

Bilzin Sumberg

Millions of American workers are shackled by absurd non-compete agreements. Companies need to stop needlessly restricting workers.

Bilzin Sumberg on

President Biden has directed the FTC to crack down on non-competition agreements. Non-compete clauses can unfairly hinder the mobility of low-level workers due to disparate bargaining power. Originally Published in...more

Quarles & Brady LLP

Updated: Illinois Freedom to Work Act Imposes New Restrictions on Restrictive Covenants

Quarles & Brady LLP on

Joining a recent slew of other states, Illinois recently enacted a new law limiting the use of restrictive covenants and codified existing case law around their enforcement and interpretation. ...more

Quarles & Brady LLP

Illinois Freedom to Work Act Imposes New Restrictions on Restrictive Covenants

Quarles & Brady LLP on

Note - This article has been updated to reflect that the amendments to the Illinois Freedom to Work Act discussed in our June 9, 2021 article have now been signed into law. The law goes into effect January 1, 2022. Joining...more

Polsinelli

Illinois Law Places New Limits Restrictive Covenants

Polsinelli on

On January 1, 2022, Public Act 102-0358, an amendment to the Illinois Freedom to Work Act will take effect and impact all non-compete agreements entered into prospectively. The law will ban employers from using non-compete...more

Proskauer - Law and the Workplace

Illinois Governor Signs Restrictive Covenant Bill Into Law

On August 13, 2021, Illinois Governor J.B. Pritzker signed into law an amendment to the Illinois Freedom to Work Act (820 ILCS § 90), which imposes restrictions on the use of non-competition and non-solicitation (employee and...more

Littler

The Trend Continues: Illinois Imposes Additional Prerequisites and Restrictions on Employers’ Use of Restrictive Covenants

Littler on

In the last 10 years, states across the country have passed measures imposing new requirements and restrictions on employers wishing to use non-compete agreements with their workforces. In 2016, Illinois enacted the Freedom...more

Stokes Wagner

Biden’s Executive Order on on Non-Compete Clauses & Agreements

Stokes Wagner on

On July 9, 2021, President Biden issued his Executive Order directing federal agencies to implement seventy-two different initiatives intended to promote competition across the American economy. Ideally, these initiatives...more

Benesch

Biden Administration Encourages Federal Agency to Clear the Muddy Waters of Non-Compete Agreements

Benesch on

Citing concerns about worker mobility and advocating for increased market competition, President Biden signed Executive Order No. 14036: Promoting Competition in the American Economy, on July 9, 2021. The Order, published in...more

Polsinelli

District of Columbia Bans the Enforcement of New Non-Compete Agreements

Polsinelli on

On December 15, 2020, the District of Columbia Council unanimously passed the Ban on Non-Compete Agreements Amendment Act of 2020, under which the District of Columbia joins California and a small handful of jurisdictions...more

Epstein Becker & Green

Virginia Prohibits Non-Compete Agreements with “Low-Wage” Workers

Epstein Becker & Green on

Virginia may be for lovers, but it no longer loves non-compete agreements.  Starting on July 1, 2020, employers may not “enter into, enforce, or threaten to enforce” a non-compete agreement with any “low-wage employee.”  As...more

Seyfarth Shaw LLP

“Give Me Liberty”: Virginia Legislature Passes Law to Exempt Low-Wage Workers from Employment Restrictions

Seyfarth Shaw LLP on

Legislators in the Commonwealth of Virginia, the site of Patrick Henry’s infamous “Give me liberty, or give me death” speech, have enacted legislation that gives more liberty to low-wage workers looking to leave for greener...more

Proskauer - Law and the Workplace

Maryland Bars Non-Competes for Low-Wage Employees

Quick Hit: Effective October 1, 2019, Maryland law prohibits the use of non-competition agreements for employees with wages equal to or less than $15 per hour or $31,200 annually....more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Maryland Prohibits Noncompetes for Low-Wage Employees

A new state law in Maryland now prohibits employers from requiring low-wage employees to enter into noncompete agreements. Maryland Senate Bill 328, which took effect on October 1, 2019, prohibits employers from obligating...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Are You in Compliance? Rhode Island and New Hampshire Restrict Noncompetition Agreements

As 2020 approaches, employers in New England may want to review their noncompetition agreements to determine whether they comply with recently enacted laws in Rhode Island and New Hampshire. In 2019, both states passed laws...more

Seyfarth Shaw LLP

Rhode Island Joins the Fray, Passing Legislation that Restricts the Use of Non-Compete Agreements for Certain Low-Wage Workers

Seyfarth Shaw LLP on

Following in the footsteps of its neighbors Maine, Massachusetts, and New Hampshire, Rhode Island recently enacted legislation that restricts the use of non-competition agreements with certain types of employees. The Rhode...more

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