Provided by the International Finance Corporation
When an employee leaves your business, is he or she taking things along that you would rather not give up? Is the employee going to open up in competition with you, or try to steal your customers, or employ secret processes that are a source of your competitive advantage? Obviously, no employer wants to lose an employee under those circumstances.
One way to avoid this is to enter into agreements with your employees that restrict their rights to compete with you. You can make such an agreement a condition of employment, if you wish.
The file you can download below provides an example of a non-compete agreement/clause to be added to your employees’ contracts should your business require it. You may adapt it to match your business specific needs. It is recommended to ask for a lawyer/expert’s advice.
For more resources
- Managing employees
- Hiring: how do you know how to pick them?
- Tips for successful interviewing
- Sample interview script and assessment template
- Sample offer letter
- Do’s and Don’ts tips to better manage termination
- Sample termination letter
- Exit employee interview checklist
- Exit interview questionaire
Copyright © 2000 – 2017, International Finance Corporation. All Rights Reserved.
2121 Pennsylvania Avenue, N.W., Washington, D.C. 20433, www.ifc.org
The material in this work is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law. IFC does not guarantee the accuracy, reliability or completeness of the content included in this work, or for the conclusions or judgments described herein, and accepts no responsibility or liability for any omissions or errors (including, without limitation, typographical errors and technical errors) in the content whatsoever or for reliance thereon.