I have often seen it enforced as, you can go (after your notice period/gardening leave) but you have to stay away from a set of clients for the period of your non-compete.
The tech industry in California does just fine without noncompetes.
For years, they (led by Steve Jobs) "did just fine" because they (Apple, Google, Adobe, Intel at least) illegally acted as a no-poach cartel:Just noting a typo for anyone confused by the wording, I'm sure you meant "the unenforceability of noncompetes is..." or something along those lines.
Fun fact: noncompete agreements have been void in California since the 1800s.
Technically yes, but to play devil's advocate: it's easy for someone to provide trade secrets to a new employer without leaving a trail of evidence behind, and it's a lot easier to prove someone worked for a competitor than it is to prove someone gave a competitor trade secrets, so there is a valid argument for why employers might want to enforce non-competes.
Whether that justifies their enforceability or not is a different question.
I'm reading his Wikipedia page:
> While working at Google, Levandowski established other companies as side projects,[17] including 510 Systems and Anthony's Robots, which were later bought by Google.[18]
tl;dr: he certainly has some balls! Any idea why he even left Google? It sounds like they paid him a total comp of some 120 mil, and he worked there for just 9 years, that's an average of 13 mil a year, not small change by any measure (although I guess that might include the price they've paid for the companies he founded).
I guess he wanted them to keep buying his new companies again and again?
I think the standard argument isn't trade secrets. The standard argument is that you want to incentivize employers to train employees.
If I, as an employer, train you for 6 months, then you leave at month 7 for a higher salary (which you can demand cause you have more training/experience), I lose out. So I have no incentive to train you. So training or hiring of people without experience never takes place (or does so at a lower rate).
If you are someone without experience, and there was a way for you to credibly commit to not moving to a new job (e.g. by signing a non-compete), then you might want to make that bargain - it's worth it for you to sign away some freedom in order to get some advantage (which is kind of the basis for all contracts).
That's the theory, anyway. I have no idea how much it holds up in the real world.
> The tech industry in California does just fine without noncompetes.
Obviously, the counterargument is that it could be doing even better, we just don't know it.
Note that if the standard argument is correct, then there's a chance that the biggest group of people hurt by lack of noncompetes are people without experience. You might not necessarily be feeling their pain, depending on your social circle (e.g. if you're a working developer in an SV company, you're surrounded by the people who did make it, not by the possibly numerous people who faced closed doors because of this).
Charge tuition for training and offer "student loans" with no payments or interest while you're working for the company which are forgiven if you stay for five years or whatever. Then if somebody wants to poach you right away, that's fine, they can just pay off your training loan.
You could also just forget about the loan forgiveness, charge "tuition" unconditionally and then pay more to make up for it.
Pay higher than others and employees won’t leave you.
Make delayed payments part of compensation, so employees get the money only if they stay long enough.
Don’t hire employees who change jobs too often.
There are many ways to keep employees from leaving without damaging their careers.
If you train me and I get better at my job, I deserve more money. If you don't give it to me, I will work for someone else who will pay me more.
Good companies train their employees and also do what it takes to retain them. It's a two-way street. Why should you get to extract more labor value from me without paying me more?
CFO: We loose money if we train an employee and he leaves. CEO: What if we don‘t train them and they all stay?
In fact, lack of noncompetes is probably one of the biggest reasons Silicon Valley was able to take off in the 1950s-60s when people were constantly leaving their jobs to start new chip companies, starting with the original "traitorous 8" who founded Fairchild Semiconductor.
There just aren't good arguments for noncompetes. People often bring up trade secrets, but that's not convincing -- there are already laws against stealing trade secrets, so you don't need noncompetes for that. Look at Anthony Levandowski as a high-profile example of someone who stole trade secrets in California and got nailed.