US: Backlash from Silicon Valley hiring case hits Massachusetts

Days after silicon valley companies agreed to settle with tech employees who claimed the companies colluded to keep wages down, dozens of companies in Massachusetts are reportedly calling on the state to ban non-poaching agreements.

Reports say a letter has been hand delivered to Massachusetts senators and representatives asking lawmakers to ban non-compete agreements that allegedly lead major technology companies to agree not to hire each others’ employees.

The companies that are calling for the ban include various private companies including Actifio, DataXu and Veracode, according to reports. Smaller companies include FitnessKeeper and Boundless.

There were no public technology companies that signed the letter.

In their plea, the companies call upon lawmakers to follow in the path of other states that have banned such non-compete agreements.

The letter follows only days after various tech companies, including Apple and Google, settled a class action suit accusing the companies of harming competition with such non-poaching deals. The US Department of Justice has similarly probed such behavior among various companies.

Full content: Beta Boston

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