News & Analysis as of

The National Labor Relations Act Restrictive Covenants Employees

The National Labor Relations Act is a United States federal statute enacted in 1935 to prevent labor strife by encouraging collective bargaining, protecting concerted activity and curtailing certain unfair labor... more +
The National Labor Relations Act is a United States federal statute enacted in 1935 to prevent labor strife by encouraging collective bargaining, protecting concerted activity and curtailing certain unfair labor practices by private sector managament and labor.  less -
Epstein Becker & Green

NLRB General Counsel Calls for Crack Down and Harsh Remedies for Non-Competes and “Stay or Pay” Provisions

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National Labor Relations Board (“Board”) General Counsel Jennifer Abruzzo (“Abruzzo”) issued a General Counsel Memo (Memo GC 25-01) last week signaling that employers could face civil prosecution and significant monetary...more

Frantz Ward LLP

Unlawful “Stay-or-Pay” Provisions and Non-Competes – Whether the Employee Stays or Goes, the NLRB’s General Counsel Says It May Be...

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On Monday, October 7, 2024, the General Counsel of the National Labor Relations Board (NLRB) published Memorandum GC 25-01, continuing the NLRB’s years-long effort of targeting employment agreements viewed as restricting...more

CDF Labor Law LLP

NLRB GC Memo Calls For Aggressive Retroactive Make-Whole Remedies Against Employers 

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Last year, National Labor Relations Board (“NLRB” or “Board”) General Counsel, Jennifer Abruzzo, issued GC Memorandum 23-08 opining that, with some exceptions, the maintenance and enforcement of non-compete agreements...more

Hinshaw & Culbertson - Employment Law...

Impact for Employers: The NLRB General Counsel Doubles Down on Restrictive Covenants and Stay-or-Pay Provisions

The General Counsel of the National Labor Relations Board ("NLRB") issued Memorandum GC 25-01 on October 7, 2024, which establishes her intent to "urge the Board not only to find certain non-compete provisions unlawful, but...more

Seyfarth Shaw LLP

NLRB’s Non-Compete Power Grab – Can Employers Avoid NLRB’s Oversight?

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An administrative law judge (“ALJ”) of the National Labor Relations Board (“NLRB”) in J.O. Mory, Inc. recently required an employer to rescind certain restrictive covenants in its employment agreements. The decision is yet...more

Seyfarth Shaw LLP

Is the NLRB’s New Stance on Restrictive Covenants Mostly Bark With a Little Bite?

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The National Labor Relations Board (“NLRB”) sent shockwaves through the employment landscape when General Counsel Jennifer Abruzzo took the position that the “proffer, maintenance, and enforcement” of restrictive covenants...more

Littler

Recent NLRB Activity is a Mixed Bag for Employers’ Use of Restrictive Covenants

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Two recent developments involving the National Labor Relations Board’s scrutiny of restrictive covenant agreements, per its general counsel’s Memorandum 23-08, have provided a mix of good and bad news for employers. On one...more

Mintz - Employment Viewpoints

Laws Impacting Employee Non-Competition, Non-Solicitation, and Non-Disclosure Agreements – What to Know, What to Do and What to...

Many employers experienced whiplash in 2023 from the flurry of judicial, administrative and legislative activity aimed at restricting the use of employee non-competition, non-solicitation, and non-disclosure agreements. Can...more

Seyfarth Shaw LLP

We’ve Got a Test Case: The NLRB Files its First Complaint Challenging the Validity of Restrictive Covenants

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The National Labor Relations Board moved from theory to practice in this administration’s battle against restrictive covenants. Recently, the Regional Director of Region 9 of the National Labor Relations Board filed a...more

Skadden, Arps, Slate, Meagher & Flom LLP

Employment Flash - June 2023

New York, Minnesota and NLRB Act To Limit Noncompetes - New York Legislature Passes Bill To Ban Post-Employment Noncompetes - On June 20, 2023, the New York state Legislature passed a bill that bans post-employment...more

Cranfill Sumner LLP

The War on Noncompete Agreements: NLRB General Counsel Says the NLRA Forbids Them

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On May 30, 2023, Jennifer Abruzzo, General Counsel for the National Labor Relations Board (“NLRB”), issued a memorandum arguing that noncompete agreements, in most circumstances, violate Sections 7 and 8 of the National Labor...more

Foley Hoag LLP

NLRB’s General Counsel Takes Aim at Employee Non-Competes in Recent Memo

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On May 30, 2023, NLRB General Counsel Jennifer Abruzzo issued a memo explaining her view that, except in limited circumstances, employee non-competition agreements violate the Act. While the memo only reflects General Counsel...more

K&L Gates LLP

NLRB General Counsel Seeks to Outlaw Most Noncompetition Agreements

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Introduction - On 30 May 2023, the Office of the General Counsel (the General Counsel) of the National Labor Relations Board (the Board) issued a policy memo (30 May GC Memo) expressing its position that noncompetition...more

Bradley Arant Boult Cummings LLP

Noncompetes Back in the Crosshairs: NLRB Takes Its Shot at Noncompetition Agreements

Can you still have noncompete agreements with your employees? There has been a lot of buzz about this issue, and this week the general counsel of the National Labor Relations Board joined the conversation with a memorandum,...more

Davis Wright Tremaine LLP

NLRB General Counsel Moves to Invalidate Noncompete Agreements

On May 30, 2023, the General Counsel of the National Labor Relations Board, Jennifer Abruzzo, issued Memorandum GC 23-08, setting forth her view that noncompete provisions in employment contracts and severance agreements...more

ArentFox Schiff

NLRB General Counsel Asserts That Non-Competition Agreements For Non-Management and Non-Supervisory Employees Are Unlawful

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On May 30, 2023, Jennifer Abruzzo, General Counsel of the National Labor Relations Board (NLRB), published a controversial enforcement memorandum asserting that most post-employment non-competition agreements for...more

Littler

NLRB General Counsel Abruzzo Targets Employee Non-Competes under NLRA

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On May 30, 2023, General Counsel (GC) Jennifer A. Abruzzo released Memorandum 23-08, Non-Compete Agreements that Violate the National Labor Relations Act. In the memorandum, Abruzzo urges the National Labor Relations Board to...more

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