On February 21, 2023, the National Labor Relations Board (“NLRB”) issued a significant, but not surprising, decision in McLaren Macomb that negatively impacts the right of employers to include confidentiality and non-disparagement provisions in severance agreements with most employees. Even though NLRB matters typically involve union employers, the NLRB does have jurisdiction over non-union workplaces, so all employers should take note of the McLaren Macomb decision.
Read MoreMost businesses have and use a significant amount of confidential information. Such information can range from customer lists to proprietary manufacturing processes and formulas, which give a business a competitive advantage in its market.
Although common law principles and statutes, such as the state Uniform Trade Secrets Act (UTSA) and the federal Defend Trade Secrets Act (DTSA), provide protection of a business's confidential information, most businesses would greatly benefit by implementing employee confidentiality agreements, yet few do so.
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