Lesson for Employers, as Tech Workers Sue Over Silicon Valley Anti-Poaching Pacts

Employers are sometimes tempted to enter into agreements with each other under the terms of which they agree not to recruit or hire each other’s employees. The U.S. Department of Justice takes the position that such agreements can be per se violations of the antitrust laws.

Today’s Wall Street Journal has an article on the front page about a class action lawsuit scheduled to go to trial next month against several of the country’s largest technology companies. A class of 64,000 employees is seeking $3 billion dollars in damages, $9 billion dollars after the damages are trebled.

Here is a link to the full article.

Employers need to very careful not to enter into agreements with other employers to restrict free competition in the labor market.

To learn more about this issue or related matters, contact Fraser Trebilcock attorney Michael E. Cavanaugh at mcavanaugh@fraserlawfirm.com or 517.377.0812.