The FTC’s plan to shut down non-competes might be on hold, but that doesn’t mean that this area of controversy has gone totally quiet.
Another federal agency, the CFPB, recently joined the restrictive conversation when it issued a circular to remind employers that they risk violating statutes prohibiting whistleblower discrimination and retaliation by requiring their employees to enter into broad confidentiality agreements that do not clearly permit communications with government enforcement agencies or cooperation with law enforcement.
We are seeing more emphasis by the government on protecting employees who report potential or suspected wrongdoings. Accordingly, employers should review their confidentiality agreements to ensure employees know they are permitted to cooperate with law enforcement and communicate with government enforcement agencies, especially to report potential violations of laws. Please do not hesitate to reach out for assistance in ensuring your confidentiality agreements comply with whistleblower retaliation laws.
