Chelsea
Wed, 01/26/2022
In December 2020, D.C. enacted the Non-Compete Agreements Amended Act of 2020 (D.C. Act 23-563), which prohibits employers from requesting or requiring employees to sign non-compete agreements. However, employers raised concerns about the broad nature of the Non-Compete Act. DC Council will now consider an amendment that address the Act’s conflict of interest and confidentiality provisions. Due to the pending amendment and funding, the Act’s implementation date will likely be delayed to April 1, 2022.
Specifically, the new amendment clarifies that the Non-Compete Act does not prohibit bona fide conflict of interest provisions, which allow an employer to prohibit employees from working for another employer who could reasonably cause a conflict of interest. The Act also does not prohibit confidentiality provisions. The amendment will also help employers satisfy the Act’s notice requirement by adding the language to the D.C. Notice Hire Form, which employers are required to distribute to employees.
For more information, email us at info@mselaborlaw.com or call (202) 833-8855 to set up a free consultation with an employment attorney today.