White House Says 'Unfair' Noncompetes Can Hurt Workers

Law360, New York (May 6, 2016, 3:30 PM EDT) -- The Obama administration released a report Thursday on "unfair" noncompete agreements that some workers are forced to sign to keep their jobs, saying evidence shows that such agreements can result in lower job mobility, worker bargaining power and entrepreneurship.

Although the rationale behind the agreements, which prohibit employees from working for a competing company for a period of time after leaving a job, is to encourage innovation by preventing workers with trade secrets from taking technical and intellectual property to rival firms, many workers who are unlikely to possess trade secrets are nonetheless compelled to sign them, the White House said....

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