California Assembly Bill 1076
In our ongoing commitment to keep businesses informed about crucial employment law updates, we want to bring your attention to a significant development – California Assembly Bill 1076. This new law mandates that, by February 14, 2024, employers must notify employees who have signed noncompete agreements or contracts containing noncompete clauses, that these agreements are not valid under California law.
Noncompete agreements aim to limit employees from working for a competitor. The law considers such agreements as unfair competition, and employers failing to comply with the notification requirement may face legal action under California’s unfair competition laws.
It’s common for employers to be unaware that their confidentiality or proprietary information agreements include noncompete clauses deemed void by the law. Employers uncertain about their agreements should seek counsel to determine compliance with the February 14, 2024, notice deadline.
This new law requires employers to provide written notice to all current and former employees who worked for the employer after January 1, 2022. The notice should be individualized, written, and delivered to the last known address and email address. Schedule a free 60-minute consultation today and ensure your business stays compliant with the latest employment laws. If you are a current client looking for assistance with the notification of employees, don’t hesitate to reach out to your HR Generalist. Our HR experts are here to support you.