Fixing the Recently Proposed Blanket Bans on Non-Compete Agreements
Non-compete clauses are under fire on the federal, state and city level, but the proposed bans aren't always taking into consideration some of the reasons that non-compete clauses can be necessary for employers—and beneficial for employees. David Azrin breaks down the issues that current proposed changes to non-compete laws in New York state and New York City, as well as on the federal level, don't address that will impact New York business owners and high-earning employees if the bans are implemented.
July 31, 2023 at 10:00 AM
8 minute read
Commentary
On June 20, 2023, the New York State Legislature passed a bill that would impose a blanket ban on New York employers from entering into non-compete agreements with employees. The bill now goes to Governor Kathy Hochul for her consideration. If enacted, New York would join four other states—California, Oklahoma, North Dakota, and Minnesota—which ban all non-compete agreements, regardless of position or income level.
In New York City, on June 8, 2023, City Council members introduced a bill that, if enacted, would prohibit employers from entering into new non-compete agreements, and make all existing non-compete agreements unenforceable.
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