Ethics Unit 4 LJ.docx

Non-compete agreements Department of General Studies, University of the People PHIL 1404: Ethics and Social Responsibility Dr. Jacqueline Thomas February 23, 2023

Introduction In this paper, I will discuss the pros and cons of non-compete agreements for both general workers and high-level employees. Furthermore, I will go into detail about the conflicts that arise, different perspectives toward this agreement and lastly, I will give a quick overview of the utilitarianism theory. Non-compete agreements The purpose of non-compete agreements is that former employees of a company can't use their acquired skills and knowledge at another company. The employer doesn't want to give their competitors an advantage ( Byars & Stanberry, 2019) . Conflict of interests The employer represents the concern that they don't want their former employees to use their acquired knowledge and skills somewhere else, sometimes close to the former location, sometimes in general. By preventing the departed employees from doing so, they are hoping for the competitors not to get an advantage of the costs and time they put into the training of former employees. The employee most likely has the interest of the highest pay and best work environment. If they wanted to work at a similar location like the kind of their previous employee, it is likely that they would use their collective

knowledge of their previous job at the new one. This would benefit the employee as well as the new employer, because of higher efficiency and less training needed. Also, the employee would most likely want to stay in the same area as they worked in before, which could be a problem for some employers, like Jimmy John's (Byars & Stanberry, 2019). I think the best way to satisfy both sides is for the employee to appreciate their employees with a comfortable and safe work environment, as well as raises when they are adequate. Recognizing the employees' hard work and skills is a good way to keep them for this company, instead of them wanting to change jobs. Executive chef or vice president of marketing or operations The executive chef or vice president should wait, in my opinion, to take a new position. Even if they don't want to use their knowledge against their former company, the new company might extract information from them in an unsuspicious manner. By waiting for a new job, the information they have gained might no longer be valid and therefore no longer reliable. What is fair? Usually, high-level managers also have a high yearly income. Because of this, the company should put a non-compete agreement in its contract in order to keep the companies information and that of its employees safe. Because the manager has such a high income, it should not be a problem for

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