January 24, 2022

Volume XII, Number 24

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January 21, 2022

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Washington, D.C. Postpones Ban on Non-Competes

Washington, D.C. employers have more time to get their non-compete ducks in a row. On August 23, 2021, Mayor Bowser signed the Fiscal Year 2022 Budget Support Act of 2021 (B24-0373) (the “Support Act”), which includes various statutory changes necessary to implement the D.C. FY 2022 budget. As expected, the Support Act postpones the applicability date of the Ban on Non-Compete Agreements Amendment Act of 2020 (the “Non-Compete Act”) until April 1, 2022. The postponement not only provides more time for employers to prepare for the non-compete ban—it also permits the D.C. Council to continue its consideration of additional amendments to the Non-Compete Act. For a summary of those other possible changes, please see our recent post here.

The D.C. Council also passed the Fiscal Year 2022 Local Budget Act of 2021 (B24-275) (the “Local Budget Act”), which allocates $105,000 to the Department of Employee Services to fund the Non-Compete Act. The Local Budget Act is currently awaiting the Mayor’s signature, which is expected.

Mayor Bowser must now send the Support Act to Congress for the 30-day congressional review period required under the Home Rule Act. Once signed by the Mayor, the Local Budget Act will follow the same legislative process. Although Congress may alter D.C. budgets, it rarely chooses to do so. As such, D.C. employers should mark March 31, 2022 on their calendars as the last day (barring further action by the D.C. Council to amend or clarify the Non-Compete Act) that they can enter into a non-compete agreement with most employees.

©2022 Epstein Becker & Green, P.C. All rights reserved.National Law Review, Volume XI, Number 238
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About this Author

Nathaniel M. Glasser, Epstein Becker, Labor, Employment Attorney, Publishing
Member

NATHANIEL M. GLASSER is a Member of the Firm in the Labor and Employment practice, in the Washington, DC, office of Epstein Becker Green. His practice focuses on the representation of leading companies and firms, including publishing and media companies, financial services institutions, and law firms, in all areas of labor and employment relations.

Mr. Glasser’s experience includes:

  • Defending clients in employment litigation, from single-plaintiff to class action disputes,...

202-861-1863
Brian Steinbach, Labor Attorney, Epstein Law Firm
Senior Attorney

BRIAN STEINBACH is a Senior Attorney in the Labor and Employment practice, in the firm's Washington, DC, office.

Mr. Steinbach's experience includes:

  • Advising clients on and litigating employment, labor, disabilities, non-compete, confidentiality, benefits, wage and hour, and general litigation matters before the courts, arbitrators, and administrative agencies at the federal and state level

  • Representing and advising clients in Sarbanes-Oxley and other...

202-861-1870
Maxine Adams, Labor and Employment Law Clerk, Epstein Becker Law Firm
Associate

Maxine Adams is an Associate in the Employment, Labor & Workforce Management practice, in the Washington, DC, office of Epstein Becker Green.

Ms. Adams:

  • Assists in defending clients against labor and employment-related litigation with respect to wage and hour disputes, discrimination claims, and retaliation disputes

  • Assists in counseling clients on...

212-351-3783
Eric I. Emanuelson, Jr. Law Clerk New York
Law Clerk

ERIC I. EMANUELSON, JR.,* is a Law Clerk – Admission Pending – in the Employment, Labor & Workforce Management practice, in the New York office of Epstein Becker Green. He will be focusing his practice on disability laws, employment litigation, and employment training, practices, and procedures.

Prior to joining Epstein Becker Green, Mr. Emanuelson worked as a Legal Intern at the General Counsel’s Office of the largest labor union representing federal government employees. He also served as a Legislative Aide to Connecticut State Senator Edward Meyer.

Mr...

212-351-3759
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