Navigating the new era of noncompete agreements is crucial for businesses, as regulatory demands for transparency are rapidly increasing. States like California, Washington, and Oregon have significantly restricted noncompetes, and the FTC has approved a nationwide ban, pending legal challenges. Multi-state employers must understand the complex interplay of federal and state laws to remain compliant. With noncompetes becoming less viable, alternative strategies such as non-disclosure agreements, confidentiality provisions, and robust trade secret management are essential to protect business interests. Employers must proactively adapt to these changes to ensure compliance and safeguard their competitive edge.
Now is the time to review your employment documents and identify any provisions that may be classified as noncompete provisions that will contravene the new Washington law and the federal Rule. Assess the potential risks these changes pose to your business and consider alternative risk management tools to safeguard your business interests. Make necessary changes to documents and processes to ensure compliance with Washington’s law. Compile a list of current and former employees impacted by the new federal Rule and be prepared to modify your documents again to comply with the Rule, should it come into effect.
On March 13, 2024, Washington’s noncompete law was amended to further limit the use of noncompete provisions and nonsolicitation provisions against employees and contractors. The changes are a significant shift, and most employment agreements that have restrictive covenants will be in violation of the new requirements. It’s critical to review and update these documents prior... View Article
NOTE: This rule is currently in litigation and has not taken effect. We will continue to monitor and update this post. Employers should be aware of the continuing trends toward employee rights and be prepared for this kind of rule from states and the federal government. The National Labor Relations Board (NLRB) has rolled out... View Article
On August 2, 2023, the National Labor Relations Board (NLRB) issued the Stericycle, Inc. decision, creating a new standard for scrutinizing employer “work rules”. Work rules can consist of company handbooks, policies, and procedures. This decision specifically addresses employer work rules that could reasonably be construed as restricting employees’ rights to engage in activities protected under the National Labor Relations Act (NLRA), like unionization or openly discussing wages or benefits. Employers should carefully review their handbooks, policies, and procedures to ensure compliance with this decision and prepare for potential challenges.
As a business owner, you want to avoid costly employer mistakes. But one of the most complicated challenges you’ll face is successfully managing and leading employees. And it’s rarely the “legal” side of being an employer that poses a problem, but the issues surrounding employee happiness and productivity. These crucial concepts are driven by policies... View Article
Most of us don’t think about “ethics” in our business. We have policies and we expect our employees to be honest. If they violate the policies or are not honest, they could lose their jobs. An interesting question, though, is whether you actually would fire any given person for violating the policies or acting dishonestly. ... View Article
We know that hiring, mentoring and growing employees can be one of the best parts of owning a business. These folks become like family and it feels great to be able to help them achieve and grow. However, we also know that having employees is one of the most challenging and risky parts of running a business. For... View Article
When is the last time you looked at your employee handbook? When business owners ask for advise around managing employees or workforce issues, we often begin by asking , “Do you have a policy around [insert relevant issue : Time sheets? Vaping? Bringing your bunny to work]?” We frequently look to the handbook as a... View Article
