Laws are to be introduced to control non-compete restrictions

Earlier this month, as part of a drive to encourage economic growth the government announced that rules to limit the use of non-compete restrictions in contracts of employment to a period of three months will be introduced. This will apply to employment and worker contracts.

Non-compete restrictions are one of several different types of post-termination restrictions that an employer has to hand in a contract of employment to protect its business when an employee leaves. These restrictions are however not enforceable unless the employer can show they are no wider than are reasonably necessary to protect the employer’s “legitimate business interests” – in effect, they are a tool to protect the organisation’s confidential information, the integrity of its workforce and its client connections.

Read more to find out how this applies to your business HERE!