Can my employer force vendors that are not In direct competition with them not to hire me?

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Can my employer force vendors that are not In direct competition with them not to hire me?

I work at a mid-sized retailer’s corporate office. Upon being hired I was asked to sign a non-compete agreement that barred me from being employed at direct retail competitors. My employer is now forcing vendors that it purchases from to sign additional contracts that stipulate they will not hire their

Asked on September 27, 2019 under Employment Labor Law, Alaska

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 2 years ago | Contributor

Yes, it is legal. The relationship to your noncompete and the impact on your future hiring prospects are completely irrelevant, since the contract is not between you and the employer but between your employer and the vendor, a third party. That third party can voluntarily agree to limit its ability to hire from your employer as a condition of continuing to sell to the employer; that it impacts you has no bearing on the agreement's validity. Neither party has to take the impact on you into consideration.


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