As U.S. Covid-19 pandemic restrictions fade, employees are departing jobs at a rapid pace in search of higher pay, more work-life balance, or a better fit – a phenomenon dubbed “The Great Resignation.”

To protect a company’s interests in the face of turnover, many employers require various types of post-employment restrictions, such as non-compete and non-disclosure agreements, especially when hiring high-level or high-skilled positions.

No matter if you are a high-level job seeker or a hiring manager, a thorough understanding of the terms and potential implications of these restrictions is important to protect your interests and avoid unnecessary legal hurdles down the road.

Below are some potential pitfalls to keep in mind.


Business Owners and Hiring Managers

  • Does your current employment agreement template contain terms that will fairly and effectively protect your organization’s interests, such as client sources, trade secrets, and intellectual property?

  • When hiring executive or high-level positions, what are the mechanisms that will effectively protect the independence of the organization without setting too many boundaries around the position?

  • When hiring candidates departing U.S. government jobs who are subject to post-employment restrictions, how can the employee complete the work you require when restrictions seem too tightly drawn?


Job Seekers

  • Are the terms of the Non-Compete Agreement too broad? An overly broad agreement can potentially bar a skilled employee from seeking similar jobs in the same industry in the future.

  • Do you fully understand the scope and the limitations contained in the Non-Disclosure portion of your Employment Agreement? It is in your best interest to understand what you can say and to whom. Are trade secret restrictions overly broad? What conflicts of interest exist? Is the agreement overly broad or restrictive? A mistake may potentially expose you to significant liability including liquidated damages.


Note: This article is intended to provide general information only and is not legal advice. Accessing this article does not form an attorney-client relationship. Each situation is unique and involves various factors and cannot guarantee or predict similar results for future matters.



Partner Dave Jonas offers ongoing guidance and advice regarding employment contracts that consistently emphasizes risk management. He advises, represents, and counsels individuals entering, exiting, or hiring high-level executive positions.

Learn more about Mr. Jonas’ experience and contact him.