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What does New York’s ban on non-compete clauses mean for workers?

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  • Staff Report 

New York State has passed a groundbreaking legislation that prohibits non-compete agreements, contractual clauses designed to prevent employees from switching to another job or initiating a business in the same sector.


The legislation, sponsored by New York State Senator Sean Ryan, reflects the rapid expansion of such clauses in a variety of sectors, affecting nearly 25% of the state’s workforce.

While these agreements once applied mainly to scientists and top executives, they have proliferated across various sectors, from fast food to high-tech.

The senator argued the bill would stimulate economic freedom, asserting that widespread use of non-competes impedes the economy.

Supporters believe the legislation benefits employees seeking upward mobility, employers wanting access to a broader talent pool, and the state, by curtailing forced out-migration resulting from restrictive contracts.