Post-employment restrictive covenants such as a non-compete clause or a non-solicitation clause are often included in employment agreements to protect an employer from an employee who might go on to undermine the employer's business after he ceases his employment. Like many other jurisdictions, these types of restrictive covenants may be unenforceable or may be construed narrowly depending on the specific language used and based on the individual circumstances of a given employer or employee. If you would like to understand your post-employment obligations as an employee under Hong Kong employment law or if you would like to understand how well restrictive covenants in your employment agreements are protecting your business interests as an employer, please contact one of our employment lawyers.
Post-employment restrictive covenants such as non-compete clauses and non-solicitation clauses seek to limit the types of activities in which a former employee may engage following the end of his employment. They are commonly included in employment agreements and are intended as restraints on trade to protect the former employer from an employee who might, for example, join or setup as a competitor to the employer, poach the employer's clients or suppliers or hire away members of the employer's workforce.
Hong Kong courts recognize that an employer has a legitimate business interest in its trade secrets, workforce, supply chain and client base but are wary that limitations imposed...
Read Full Story:
https://www.mondaq.com/hongkong/employee-rights-labour-relations/1216404/rest...