An Update On Anti-Poach Enforcement And Class Actions

Law360 (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.[1] 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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