Non-competes are illegal or unenforceable in the following US states: California, North Dakota, the District of Columbia, Oklahoma, Maine, Maryland, New Hampshire, Rhode Island, and Washington.
Also, if a company asks you to sign one, you can say no. I always do.
For example, in California, you can't ban someone from working for a competitor after leaving.
You absolutely can ban them from working for a competitor at the same time.
How?
California offers protection for "lawful conduct occurring during nonworking hours away from the employer's premises."
Note that it specifies "nonworking hours". There is also an exemption for working for a competitor.
https://www.mossbollinger.com/blog/2020/december/my-employer...
My employer can also ban me from stealing money or tools. If they discover it, they can legally fire me.
You stated that non-competes are illegal. This is incorrect in the context of moonlighting with competitors or concurrent employment (with anyone during working hours). Those types of non-competes are completely legal.
I expect we will see a rise in the number of contracts that explicitly state no other employment during business hours.
Non-compete in this context means post-facto (forward-looking) non-competes.
That is the letter of the law, but that has not been the interpretation (re: a 2020 appellate ruling mentions this)
https://calawyers.org/business-law/california-appellate-cour...
I also happen to know that ND non-competes are enforceable in a limited fashion.
1 - you are a manager.
2 - you are selling a company.
If you are a coder or regular employee, then no, the non-competes are not worth the paper they are printed on.
> The Jimmy John’s agreement prohibited employees during their employment and for two years afterward from working at any other business that sells “submarine, hero-type, deli-style, pita, and/or wrapped or rolled sandwiches” within 2 miles of any Jimmy John’s shop in the United States, according to Madigan’s lawsuit. An agreement in effect from 2007 to 2012 extended that to 3 miles.
https://www.reuters.com/article/us-jimmyjohns-settlement/jim...
https://www.cnbc.com/2016/06/22/jimmy-johns-drops-non-compet...
They were being sued in IL & NY by the states' attorneys general over the issue.