On 9 September 2025, the UK Competition and Markets Authority (CMA) published new guidance on how competition law applies to recruitment and HR processes, “Competing for Talent” (the Guidance). The Guidance targets HR professionals, clarifying that competition law is equally relevant to how businesses compete for talent and providing practical tips on what type of interactions are more likely to cross the line in the UK.
The Guidance identifies three key anti-competitive behaviours of particular concern in relation to recruitment and HR processes, all of which are viewed as forms of business “cartels”, which are serious “object” infringements of UK competition law.
1. No-poaching agreements: Where businesses enter into formal or informal no-hire or no-solicitation agreements with each other.
Such arrangements do not have to be mutual to be caught by the prohibition on anti-competitive agreements.
The Guidance distinguishes between “no-poach” arrangements and contractual no-solicitation clauses that might be included in certain types of commercial agreements, such as secondment or consultancy agreements. These latter types of restriction can be permitted subject to certain requirements being met. A similar...
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