In an article by Zenger News, Culhane Meadows’ Atlanta office partner Harvey Linder explores the mixed reactions to Biden’s push to ban employers’ non-compete clauses.
Here are a few excerpts from Harvey’s interview:
As part of his overall goal of promoting competition to help keep the economy on track, President Joseph R. Biden Jr. is pushing for a ban or limits on employers’ non-compete agreements.
Three states and the District of Columbia already ban these agreements, while a dozen other states ban their use for low-wage employees.
“Roughly half of private-sector businesses require at least some employees to enter non-compete agreements, affecting some 36 to 60 million workers,” states Biden’s July 9 executive order.
While the ban is seen as a boon to workers’ freedom to change jobs, some employment lawyers caution any ban should be carefully considered.
In the past, non-compete agreements were applied largely to executives or salespeople — “people who can go out and go after the customers or prospective customers of the former employer” — or those privy to sensitive information, such as workers in finance and accounting, marketing or new products, said Harvey Linder, a partner at the Culhane Meadows law firm in Atlanta. He was not one of the signatories on the letter to the FTC.
“Non-competes generally don’t work to the benefit of the individual employee.”
The complete article can be found here.
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