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Can a company restrict you from working anywhere in similar fields if you are terminated?
My company has made a new employment contract that states, if we are terminated for any reason, we can't work anywhere in the field of metal-finishing for 18 months. This basically leaves the majority of us with no viable employment options in our field of education or experience. We're not sure if we should sign this, but the employer says sign or you can't work here. Can they do this??
7 Answers
- BigDLv 61 decade agoFavorite Answer
Yes they can. The company probably is going to train you - they want to protect their investment.
But - non-compete clauses are enforceable only if they are reasonable. Court decisions make clear that they have to be reasonalbe in duration and geographical region.
18 months may be reasonable. But stating that you cannot work in metal finishing anywhere, rahter then in a 50 mile radius, or the city of X, is unreasonable.
- ?Lv 71 decade ago
They can try! Sign it if you need a job! Your defense if the employer tried to hold you to that stipulation would be: I needed a job!
No court in the US would prevent you from getting work based on a previous employment contract. Not in the trades or blue collar.
On the other hand, if you had information about the company that is somehow protected legally, and were to pass that information on to a different employer there may be some legal issues dealing with trademarks, patents, or other legal secrets.... Sign the form and take the job.
- Anonymous1 decade ago
unfortunately they can write into a contract any clause that they want. I'd suggest you approach a workplace negotiator to advocate on your behalf. A good place to start is to contact a union official and informally ask for info. they have a good idea as to where you'll find a good negotiator. But dont forget to buy him a couple of beers as a thank you
- 1 decade ago
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- Anonymous1 decade ago
Yes, they can do. Often used in Sales, or Financial Services to stop you taking know-how to a competitor.
- 1 decade ago
Yep...sure can.
I know of atleast one company that has done that...there was also a buy out clause.
Look for another job
- bildymoonerLv 61 decade ago
its a no compete contract. Pretty standard. Yes it is legal but sometimes you can fight it if that is the only job you can find.