New Illinois Non-Compete Law

Effective 1/1/2017, the Illinois Freedom to Work Act, which was signed by Illinois Governor Bruce Rauner, will restrict non-compete agreements with certain employees in Illinois.  Specifically, the new law prohibits private sector employers from entering into a non-compete agreement with employees whose hourly wage is $13.00 an hour or less.

The Act defines a non-compete agreement as an agreement between an employer and a “low-wage employee” that restricts such low-wage employee from performing:

  • any work for another employer for a specific period of time;
  • any work in a specified geographical area; or
  • work for another employer that is similar to such low-wage employee’s work for the employer included as a party to the agreement.

For more details, click on this link