YOUR QUESTIONS ANSWERED
I’VE LEFT A JOB WHERE I SIGNED A CONTRACT AND COULDN’T WORK FOR A COMPETITOR FOR A CERTAIN AMOUNT OF TIME. WHAT CAN I DO UNTIL THEN?
DARREN BUCHANAN MANAGING DIRECTOR, HAYS QUEENSLAND
You might be able to find a role in a different capacity within the competitor organisation which doesn’t conflict with your restrictions. If they value you, they’ll accommodate you in an alternative role until the restrictions expire. Or you could consider other organisations or industries you can transition into using your skills. Another option is to use the free time by upskilling and preparing yourself for your new job. The rate of technological change means knowledge and skills have a shorter use-by date, so it pays to stay on top of the latest trends.
SINEAD HOURIGAN BRISBANE DIRECTOR, ROBERT WALTERS
Restraint clauses are very much a hot topic at the moment and there have been many recent test case rulings where they have been deemed as unenforceable and therefore employers have not been able to hold a prior employee to the restraint clauses in their contract. However, this might not be the case in every situation and you should always seek advice about your own personal circumstances. If it is the case that you need to take a break from your industry of choice, maybe it might be an opportune time to extend your skills into another sector.
JULIE FORD SENIOR EXECUTIVE CONSULTANT, McARTHUR
Restraints are a contentious issue for employers and employees. Much depends on the wording of any contracts but generally a court will argue about fair and reasonable terms so as not to disadvantage an employee in finding work in their respective field. To enforce a non-compete clause, the duration and scope must be reasonable, and not overly restrictive. Many clauses are overturned because a business cannot prevent you from earning a living in your field of experience. Just don’t overtly take clients or intellectual property to a competitor.
DR NERIDA HILLBERG DIRECTOR OF PSYCHOLOGY, FERRIS MANAGEMENT CONSULTANTS
A “non-compete” clause is quite common in employment contracts. There are many things you can do while waiting out your non-compete requirements. These could include study, taking a break, or working with a non-competitor. It’s worth mentioning you may have recourse to challenge the non-compete, depending on how “reasonable” the terms are. There have been recent examples of where a noncompete was not enforceable because the period of time or the geographic area it covered were too large.