It May Be Time to Reconsider That Noncompete Agreement?
The following excerpt features MSCI General Counsel Mark McCareins, clinical professor of business law and co-director of Northwestern University’s JDMBA Program. It is reprinted with permission from Kellogg Insight and the Kellogg School of Management. Read the full interview with McCareins here.
These days, with the Great Resignation peeling off workers right and left, companies may be tempted to get creative in how they retain employees.
But some popular strategies can land firms in legal hot water. Regulators are increasingly taking aim at agreements that restrain employees’ ability to switch jobs or command higher wages.
“Starting with updated compliance guidelines in 2016, there’s been a renewed concern and emphasis on antitrust enforcement in labor markets where historically regulators weren’t overly concerned,” says Mark McCareins, codirector of Kellogg’s JDMBA program and a clinical professor of business law. “Whether it’s wage-fixing, no-poach, or noncompete agreements, regulators are looking to other areas of concern.”