Today, 10:24 AM
I agree. Even if most small businesses have their employees sign non-competes, the enforcement of them is pretty low.
That being said, it is typical for salon workers, construction workers, plumbers, etc. to have non-competes. Their concern is training employees who end up starting their own competing business in the same geographic area after they gain a reputation. Usually, there's a time-limited period. But when the business start up costs are low, employers have to be wary of over-training their hires.
Here's the other thing which will have to be worked out - when NCA's first started gaining traction, those employees got compensated at a higher rate because they had to sign the contract. So, will companies start hiring at lower wages since they can't be sure the employee will stay?
This really feels like an unconstitutional step that will surely be challenged in court. The whole NCA process is often abused, but to say that a business isn't allowed to arrange contract terms like this with a potential employee seems like an overstep. I guess we'll see.
One thing is for sure, this is HUGE and isn't getting the attention it deserves.
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