An Update On Anti-Poach Enforcement And Class Actions
By Robin van der Meulen and Brian Morrison (July 11, 2018, 4:39 PM EDT) -- In recent years, no-poach agreements have caught the attention of government regulators and are now subject to close scrutiny both by the U.S. Department of Justice's Antitrust Division and private class action plaintiffs. A no-poach agreement is an agreement between two or more companies not to compete for each other's employees, such as by not soliciting, interviewing or hiring them. Unlike many other types of anti-competitive conduct, which involve increasing the price of a good, the anti-competitive harm here occurs in the context of labor services, i.e., employees are injured through suppressed wages, fewer benefits and reduced opportunities for advancement. Recognizing...
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