What do you guys think about Non-Compete agreements for Technicians?

[Itsthepaper]

If your not happy were you work and you want to find greener pastures and have no intentions of purposely stealing customers then you should have every right to do what's right for you. Last time I checked I live in the USA!! Hosni Mubarak and Muammar Gaddafi would also agree to non-compete agreements and forced labor.

What do you guys think about this?

[prntrfxr]

Re: What do you guys think about Non-Compete agreements for Technicians?

I don't like them, but they're a necessary evil. I used to work for a company that didn't have them (non-technical company). 3 outside sales people left and took 50% of the customers with them. The company is no longer in business. If they had insisted all employees had signed a non-compete it would have protected them a bit (it's still hard to fight and expensive when you try to fight to keep your clients by enforcing them).

[copiman]

Re: What do you guys think about Non-Compete agreements for Technicians?

You may want to check with the labor department and/or an employment lawyer. I had one many years ago and an employment lawyer informed me it was not worth the paper it was printed on. I am in Georgia.

If you take care of your employees properly you would not need them.

[blackcat4866]

Re: What do you guys think about Non-Compete agreements for Technicians?

I've signed a few of these non-compete agreements over the years. The general concensus from the labor point of view is the previous employer cannot prevent you from plying your trade, as long as you are no exposing company secrets (like customer lists). The word is that they cannot be enforced, and are only intended as a deterrent to those intimidated by them. =^..^=

[prntrfxr]

Re: What do you guys think about Non-Compete agreements for Technicians?

Exactly. They're a deterrent. They are difficult to enforce because how can you prove the customer didn't just make the decision on their own to jump ship prior to your move. It does restrict any open and overt "poaching" of another company's clients, though. Covert poaching still occurs and the client is usually the one to benefit the most out of the arrangement. It shouldn't restrict you from working for the competition as long as half the current company's employees don't pick up stakes and go work for the same company you want to work at. Even then, the lawsuit would be between the two companies and not you. However, if while working at a company, you decide to start your own business. That would constitute a conflict of interest and any poaching of clients would be a violation of the agreement you made with your current employer.

Just my 2 cents, but to me taking clients with you to another company isn't the way to go. It tells your future employer, hire me and if I don't like how you treat me, I'll rob you blind and do everything in my power to destroy you. From a management perspective, not the kind of employee I'd like to have working for me. I'm starting my own business on the side, but my clients are end-users while my employers clients are techs. Additionally, I would be buying from them so every sale I make would benefit them. I would basically become my employer's client. Even then, I have to be careful not to let my company move into a competing position with my employer by selling to a technical company that might be or potentially become a client to my employer.

[kingpd@businessprints.net]

Re: What do you guys think about Non-Compete agreements for Technicians?

From what I have seen, heard, and read about; non-compete agreements don't necessarily prevent you from working as an employee or starting a new company that does the same thing as your old company.

What it does do however is usually take away financial benefits. For instance, if you got a severance package and violated the terms by starting a business in direct competition with the old employer you'd most definitely have to give the severance money back, and quite possibly reimburse them if they agreed to pay for other benefits such as health care after you left the company. It might not be a lot of money for most tech positions but severance packages for some can be huge.

Another example would be you buy out your partner and part of the buyout is a non-compete clause. This is very common. The consequence of the partner starting a competing business could be loss of part or all of the buyout amount, injunctive relief, or punitive damages if spelled out in the contract. Most likely a premium was paid in exchange for the non-compete terms.

You have to be careful though. Although you're not going to be prevented from getting another job or probably not punished if some of the customers follow you to your new business; you need to make sure you didn't actually do anything ILLEGAL in the process. For instance, your employer probably keeps a database of the current customers; be it in excel, access, or some other software. If you take all or portions of this information, it is illegal, and is punishable, and if they have proof you stole it, you will probably lose if sued. This just happened to one of our trade printers. An employee copied the names and addresses of the old employer to a CD and took it with them to the new job. They settled of course. The best thing to do is keep all the business cards you've collected over the years and keep them at home. That way they're your personal property given to you by the customers and you didn't "steal" them from your at work office.

Disclaimer: The above is intended for informational and entertainment purposes only. Even though I'm a f*cking genious and always right; nothing I say, type, or imply should be construed as accurate, as a matter of law, as a prediction of future outcomes and events, or as legal advice. If you desire the latter, you should contact a qualified and licensed attorney in your local jurisdiction.