An employee builds up valuable knowledge and contacts during the time that they work for you, but your commercial interests may be vulnerable if they leave and go on to work for a competitor. It is therefore prudent to take steps to protect confidential information, such as pricing strategies, bids, or cutting-edge research, and to guard relationships with clients or suppliers that could be exploited to another business’s advantage.
‘At the start of employment, employers often include restrictions, known as restrictive covenants, on what an employee can do with information and contacts gained during their employment,’ says Kalpesh Nakeshree, Head of Employment with Ware & Kay incorporating Pearsons & Ward. ‘However, even if a former employee could damage your business, there are limits on the restrictions that can be placed on them and how far you…