Google's statement was that Google would not make any changes in the employment agreement and signing the agreement was a condition of employment, thus by refusing to sign the agreement, this person had 'voluntarily' chosen not to work at Google.
Can't really argue with their reasoning.
I mean I get it (sort of), early on there wasn't really any "moat" to protect the business, so they had to put shit like this in their contracts lest someone goes off and upends their entire business model. But that's no longer the case. Their moat is _insanely_ wide. They don't have to worry about employees' side projects anymore, and they haven't had to worry about that for about a decade and a half now.
Likewise, their trading windows for RSUs are bullshit. There aren't (or at least weren't when I was there) any trading windows for employees below director level at MS, and I knew more about what's going on there than I ever did at Google. There's this illusion of internal transparency (created mostly by weekly TGIF where people get to pat themselves on the back for projects that will soon be canceled, but in the meanwhile can be used to get a promo), but nobody really knows anything material for real. The only exception I can recall is the TPU which was announced internally about 1.5 years before anybody outside Google knew anything about it. And it didn't move the stock one bit as far as I can tell. In fact, TechCrunch had the "internal" announcements before TGIF 90% of the time.
Fair enough, they can decide their terms. Honestly, I wouldn't be interested in working for Google in the first place, but if I were, that would put an immediate end to my interest.
Not necessarily but somewhat practically. I've applied internally at 2 of the big 5 companies for outside activity projects and 1 was denied and the other was approved. It definitely blacklists a ton of ideas which sucks but it is possible (my side project which got approved has a main competitor which sold for over a billion USD).
I've been seeing wording to that effect in nearly every contract I've been presented with for years now. Every time, I speak up and suggest replacing it with wording that is much more restrictive (they can own anything I make using their resources or intellectual property, otherwise I own it).
I have yet to have a company not agree to this change.