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Small business - Labour Hire Agency

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Could you please advise if we are able to put in our contracts a stand down period for our employees who want to resign and then go to work for or clients.


This has happened as our clients do not want to pay a release fee for our employees but have offered them permanent employment.


Can we do this and is there any barriers around time frames. 



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Yes, you can do it.


I disagree that a specific answer to this can provided with the limited information we have. If the OP was in the U.S., that answer would depend on the applicable state law, and no state was provided. You know this and should have guessed that perhaps not all states have the same law with respect to this. Some states expressly prohibit any kind of noncompete clause for employees, which in some states would preclude enforcing these sorts of agreements.  But given the OP's spelling of “labour” in the subject line, use of terms, and the screen name “kiwinaussie,” I’m going to guess that the OP is located in either Australia or New Zealand. The laws there may differ from what is done here.


To the OP: As these boards focus on U.S. law, you ought to find a board that deals with the law in whatever country you are located for help if you are not in the U.S. If you are in the U.S., you need to tell us the state to get a good answer to your question. 

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