The sandwich chain, Jimmy John’s, has agreed to stop including non-compete agreements in its hiring documents. I wrote about the chain’s requirement for non-compete agreements here. As I mentioned then, they were requiring the low wage earners to sign these agreements. As part of a settlement, Jimmy John’s is now dropping that non-compete agreement. The non-compete imposed a two year time limit in which a departing Jimmy John’s worker could not work for a competitor within two miles. The sandwich chain was sued by the New York state Attorney General regarding the practice. See CNBC report.
It is a brutal tactic to use with the most vulnerable workers. Earlier, this year the Illinois Attorney General commenced a similar lawsuit. Jimmy John’s is headquartered in Illinois. The chain says it stopped issuing sample non-compete agreements to its franchisees in 2014.