An employee is an investment. Ask the service academies that REQUIRE 5 years of service after graduation in exchange for a first class education.Non-compete clauses have certainly been abused, but at heart they represent an organization's attempt to protect the investment they have made in an employee.Similar to the "mommy penalty" and "age discrimination", non-compete clauses are a way to try and protect the investment in training and as a form of compensation for "unearned knowledge" the organization provides. (mommy's may leave to have kids; older workers are looking to retire).What is more concerning is that the elimination of such clauses could make companies unwilling to hire employees more likely to leave; it will actually deter "job hopping" by making it more difficult to land the "next job".  The opposite of what the new regulation is attempting to achieve.When you can't fire workers, you are far less likely to hire (what if you make a mistake?) (see: Europe). If your workers are likely to leave to go work for a competitor, you are going to try and sort workers by their likelihood of leaving and be much less likely to hire young workers, workers lacking skills, etc.

An employee is an investment. Ask the service academies that REQUIRE 5 years of service after graduation in exchange for a first class education.Non-compete clauses have certainly been abused, but at heart they represent an organization's attempt to protect the investment they have made in an employee.Similar to the "mommy penalty" and "age discrimination", non-compete clauses are a way to try and protect the investment in training and as a form of compensation for "unearned knowledge" the organization provides. (mommy's may leave to have kids; older workers are looking to retire).What is more concerning is that the elimination of such clauses could make companies unwilling to hire employees more likely to leave; it will actually deter "job hopping" by making it more difficult to land the "next job".  The opposite of what the new regulation is attempting to achieve.When you can't fire workers, you are far less likely to hire (what if you make a mistake?) (see: Europe). If your workers are likely to leave to go work for a competitor, you are going to try and sort workers by their likelihood of leaving and be much less likely to hire young workers, workers lacking skills, etc.

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