Study Finds Non-Competes Drive Away Top Performers

Posted by Benjamin I. Fink on

A soon-to-be-released study by three highly regarded business-school professors investigates whether talented, high-tech employees and inventors are leaving states that have employer-friendly, non-competition laws and move to states that have more relaxed, employee-friendly non-competition laws.  According to one advance, the research shows that inventors are more likely to leave states that allow non-competes to move to states that do not.  The data collected by the researchers also indicates that the results are most pronounced among inventors with the most patent citations – in other words, the ‘top talent’.  The study was primarily intended to persuade state legislators to consider regional rules regarding non-compete agreements.

To read more about this forthcoming study, view the advance at: http://hbswk.hbs.edu/item/6759.html?wknews=07132011.