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by lafay 2850 days ago
The long-standing prohibition of non-compete agreements in California is really the X factor in why it continues to be the innovation juggernaut. So many startups here are the result of founders capitalizing on some element of their experience at prior employers. And the ability to hire top talent away from direct competitors also provides a significant advantage for rising startups.

Even if other states pass legislation to end non-competes (as MA has tried to do a few times), it will take time for regional business culture to adapt. I've worked for a few East coast tech firms where company loyalty is taken very seriously, and defectors were semi-publicly shamed even if not outright sued for violating a non-compete.

2 comments

I dont buy this.

Nobody Ive ever met gives a shit about non-competes. They aren't really enforceable unless you blatantly steal or copy work.

Still, California is big, people don't have to keep to SV