Senate Bill 1170 aims to amend Wisconsin's employment contract laws by prohibiting postemployment nonsolicitation clauses. The bill renumbers and amends existing statute 103.465, which currently addresses covenants not to compete. It introduces new subsections that declare any provision in an employment contract that prevents a former employee or agent from recruiting other employees or agents after their employment ends as illegal, void, and unenforceable. This change is intended to eliminate unreasonable restraints on trade that such nonsolicitation clauses impose.

Additionally, the bill requires employers to post a notice in conspicuous locations, including their websites, informing employees that these nonsolicitation provisions are considered unreasonable restraints on trade. The bill's provisions will apply to any employment contracts that are entered into, extended, modified, or renewed on or after the effective date of the new law. Overall, the legislation seeks to enhance employee mobility and reduce restrictive practices in the labor market.

Statutes affected:
Bill Text: 103.465(title), 103.465