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S. 2782 (115th): Workforce Mobility Act of 2018

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The summary below was written by the Congressional Research Service, which is a nonpartisan division of the Library of Congress, and was published on Apr 26, 2018.

Workforce Mobility Act of 2018

This bill prohibits employers from entering into, enforcing, or threatening to enforce a covenant not to compete with any employee of such employer. A "covenant not to complete" is an agreement between an employer and employee that restricts such employee from performing, after the employment relationship terminates, any work for another employer for a specified period of time, any work in a specified geographical area, or any work for any other employer that is similar to the work performed for the employer who is a party to such agreement. A prohibition against a covenant not to compete does not preclude an agreement between and employer and employee not to share trade secrets.

The bill directs the Department of Labor to enforce this bill and impose a fine upon violators. An aggrieved party may file a civil action for actual and punitive damages, and for reasonable attorney's fees and costs if the action is successful.