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American workers are increasingly asked to sign non-compete agreements, impacting their ability to work for competitors or start their own businesses. A survey indicates that about 20% of workers, ranging from tech employees to those in food service, have signed such agreements. Employers favor non-competes to safeguard company knowledge and limit job mobility due to frequent job changes, which pressures them to protect their interests. While these agreements can prevent knowledge transfer to competitors, they may also hinder employee innovation. Workers should be aware of five key actions to take before and after signing a non-compete agreement.
