A few years ago, sandwich shop Jimmy Johns hit the headlines with the news that they required low level employees to sign non-compete agreements. They later dropped this clause after a public outcry and the New York State Attorney General declaring the clause “unlawful.” That should have been the end of low income non-compete agreements, but sadly, it’s not.
Yesterday, The New York Times, ran an article documenting the stories of some blue collar workers who have been practically destroyed by non-compete agreements. This story struck me particularly hard:
In 2011, Timothy Gonzalez started working as a labor hand for a company called Singley Construction. He was 18 years old and already a father, and the extent of his education was a high school equivalency test. In other words, he needed money and did not have many options.
Mr. Gonzalez started at a little over $10 an hour in a job he described as “pretty much shoveling dirt.” Nevertheless, he signed an employment contract that included a noncompete clause, enforceable for three years within 350 miles of Singley’s base in Columbia, Miss.
To keep reading, click here: Your Non-Competes Aren’t Saving Your Business, They are Destroying Lives