Unemployment rates have dropped to pre-pandemic figures, and there has been a large migration of workers between jobs as individuals look for better pay, career advancement and other perks. In turn, employers of all types are forced to consider the legality of their non-compete and non-solicitation provisions with departing employees; whether they want to exercise them; and whether it even remains legal to do so. Those considerations were addressed in a Proskauer program, entitled “Restrictive Covenants: Key Developments and Practical Considerations in Employment Law” and featuring partners Steven J. Pearlman and Guy Brenner. This first article in a two-part series outlines changes in restrictive covenant laws in Illinois and Washington, D.C., which could eventually trickle down to other jurisdictions. The second article
will examine emerging trends in jurisdictions across the U.S. on choice of law provisions, treatment of certain categories of workers and the role of garden leave provisions, as well as developments at the federal level worth monitoring. For additional insights from Proskauer, see “The Continuing Trend – and Potential Ramifications – of Increasing Private Fund Manager Obligations
” (Jul. 6, 2023); and “New York Updated Its Model Sexual Harassment Policy and Training Materials
” (Jun. 8, 2023).