On 4 December 2020, the UK Government launched a consultation on reforming post-termination non-compete clauses in employment contracts. The consultation seeks views on proposals to require employers to pay employees for the period of the restriction; requiring employers to provide additional transparency by providing in writing the exact terms of the non-compete clause before their employment commence; introducing a statutory limit on the length of non-compete clauses; or, alternatively prohibiting the use of such clauses altogether.

Post termination restrictions or restrictive covenants are often included in employment contracts. Non-compete clauses are one type of restriction, which limits an employee’s ability … Continue Reading