New York State Senate passes prohibitions on non-competes (ogletree.com)

Article summary

The New York State Senate has passed two bills related to non-compete agreements, one of which proposes a ban on all non-compete agreements, while the other proposes a limited ban on certain non-compete agreements. If passed, these bills would significantly change New York law on non-compete agreements. The bills are currently pending before the New York State Assembly and would need to be signed into law by Governor Kathy Hochul. The proposed laws would prohibit employers from entering into non-compete agreements with workers, with some exceptions.

Main themes

• non-compete agreements
• New York law
• employee mobility
• intellectual property protection
• garden leave
• fair compensation

What commenters say

• Non-compete agreements are often used to restrict employees' ability to work for competitors, but some argue that they can be unfair and stifle career growth.
• Paid non-compete agreements, also known as garden leave, can be a fair deal for employees, but others argue that they can still be problematic.
• Some commenters believe that non-compete agreements should be banned altogether, as they can be used to hold down salaries and limit employee mobility.
• Others argue that non-compete agreements can be necessary to protect companies' intellectual property and trade secrets.
• The proposed laws in New York would provide more protection for employees and limit the use of non-compete agreements.
• Some commenters think that the laws do not go far enough, and that non-compete agreements should be banned entirely, including paid ones.
• There is disagreement about whether non-compete agreements are effective in preventing employees from sharing confidential information with competitors.
• The use of non-compete agreements varies by industry and company, with some using them more frequently than others.