{"id":17229,"date":"2023-06-22T11:07:07","date_gmt":"2023-06-22T11:07:07","guid":{"rendered":"https:\/\/nicholsbrar.com\/?p=17229"},"modified":"2023-06-22T11:17:40","modified_gmt":"2023-06-22T11:17:40","slug":"nlrb-gc-declares-just-having-a-noncompete-may-be-unlawful","status":"publish","type":"post","link":"https:\/\/nicholsbrar.com\/nlrb-gc-declares-just-having-a-noncompete-may-be-unlawful\/","title":{"rendered":"NLRB GC Declares:  Just having a noncompete may be unlawful"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"17229\" class=\"elementor elementor-17229\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"has_ae_slider elementor-section elementor-top-section elementor-element elementor-element-2d619ceb elementor-section-boxed elementor-section-height-default elementor-section-height-default ae-bg-gallery-type-default sc_fly_static\" data-id=\"2d619ceb\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-extended\">\n\t\t\t\t\t<div class=\"has_ae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-4f299c80 sc_inner_width_none sc_content_align_inherit sc_layouts_column_icons_position_left ae-bg-gallery-type-default sc_fly_static\" data-id=\"4f299c80\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-73b45f2b sc_fly_static elementor-widget elementor-widget-text-editor\" data-id=\"73b45f2b\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>A recent memo from the National Labor Relations Board\u2019s General Counsel should give employers new cause for concern over using noncompetition clauses for non-management employees.<\/p><p>Attentive employers know that noncompetes have come under tremendous scrutiny lately.\u00a0 The temperature rose significantly on May 30 when NLRB GC Jennifer Abruzzo <a href=\"https:\/\/apps.nlrb.gov\/link\/document.aspx\/09031d4583a87168\">distributed a memorandum<\/a> opining that using noncompete agreements for non-management workers violates Section 7 of the National Labor Relations Act.<\/p><p><a href=\"https:\/\/www.nlrb.gov\/guidance\/key-reference-materials\/national-labor-relations-act\" target=\"_blank\" rel=\"noopener\">Section 7<\/a> guarantees workers the right to concerted activities such as collective bargaining, mutual aid, and mutual protection.\u00a0 The GC says that the very act of having employees sign noncompetes unlawfully impairs Section 7 rights by chilling employees from engaging in certain protected activities.\u00a0 \u00a0For example, a noncompete might chill employees from threatening to resign concertedly, from carrying out such a threat, or from defecting en masse to a competitor.\u00a0 According to the GC, employees would view such concerted activities as futile since the noncompete would cut off their access to other opportunities.\u00a0 So they wouldn\u2019t act at all.<\/p><p>The GC\u2019s guidance comes with two important qualifications.\u00a0 First, it applies <strong><em>only <\/em><\/strong>to non-management personnel, not managers; and it allows an employer to restrict a person from taking a managerial role or ownership interest in a competitor.\u00a0 Second, a provision may be acceptable if it is \u201cnarrowly tailored to special circumstances justifying the infringement on employee rights\u201d\u2014for example, protecting proprietary or trade-secret information.<\/p><p>And now, the most important part:\u00a0 What does the GC want the NLRB to do?\u00a0 She has asked Regional Directors to seek advice about acting on any case involving a noncompete that \u201carguably\u201d violates Section 7\u2014even if the employer has never tried to enforce it.\u00a0 That is, simply having a noncompete in an employee\u2019s file may constitute a violation.<\/p><p class=\"x_MsoNormal\">If you use noncompetes for non-management personnel, and you\u2019d like to reexamine things, contact one of our attorneys.\u00a0 We\u2019re happy to help.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>A recent memo from the National Labor Relations Board\u2019s General Counsel should give employers new cause for concern over using noncompetition clauses for non-management employees. Attentive employers know that noncompetes&hellip;<\/p>\n","protected":false},"author":11,"featured_media":17230,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>NLRB GC Declares: Just having a noncompete may be unlawful - Nichols Brar Weitzner &amp; Thomas<\/title>\n<meta name=\"description\" content=\"One of NBWT&#039;s areas of expertise is pursuing reimbursements owed to its healthcare provider clients.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/nicholsbrar.com\/nlrb-gc-declares-just-having-a-noncompete-may-be-unlawful\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NLRB GC Declares: Just having a noncompete may be unlawful - Nichols Brar Weitzner &amp; 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