No-poach agreements are contractual agreements or understandings not to hire or attempt to hire away executives and employees of the other party or competitor. In the USA and other jurisdictions, such agreements have long been regarded as cartel agreements and prosecuted accordingly.
After the European Commission ("Commission") published its position on this topic in a competition policy brief in May 2024, it imposed the first fine for a no-poach cartel between Delivery Hero and Glovo in the amount of EUR 329 million at the beginning of June (press release). The ECJ also recently commented on the restrictive effect of employee-related regulations in the context of sports antitrust cases.
Against this background, it is now time (at the latest) for European companies to take a close look at this topic. The key principles to be observed with no-poach agreements are explained below.
United States President Donald Trump has taken to social media to announce that South Africa will not be allowed to attend next year’s Group of 20 (G20) intergovernmental forum in Miami, Florida. ...