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Labor: 5 ways to protect your company when a key employee departs

In this competitive business world, it’s crucial to properly handle an employee’s departure, especially to a competitor

Employees frequently resign to work for competitors. This is likely to happen irrespective of whether they have signed a restrictive covenant. Therefore, in this competitive business world, it is important for all companies to know what steps to take when an employee decides to leave, especially in circumstances where he or she leaves to work for a competitor.

1. Prevent further access to company information

3. Determine what confidential information the employee knew

A company should take steps to try and determine what trade secrets or confidential information the departing employee may have in his or her possession. For example, was the employee present at meetings where company strategy was discussed? An employer should further determine whether there is any documentation confirming the employee’s presence or if any confidential documents were provided that the employee may still have in his or her possession. If so, the employer should request those documents back and confirm that the employee has no more copies.


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Jason Tremblay

E. Jason Tremblay is a partner in the labor & employment practice at Arnstein & Lehr LLP. He represents a diverse client base...

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