Non-Compete Dilema

I am an employee of an IT consulting firm and have been placed at a client site for two years. When I started with the firm, I signed a non-compete stating that I would not go back to this client for one year upon leaving the consulting firm. I have consulted an attorney about the validity and enforceability of the non-compete and they say it is standard, valid, and enforceable.

Here's the twist...we were just informed that the consulting firm is loosing money, so instead of giving a pay cut across the board, they are going to take a week's pay from everyone. Isn't this creating a new contract between me and my consulting firm? And if so, does this negate the non-compete?

Thanks for any info you can give!!

1 answer  |  asked Nov 8, 2002 6:30 PM [EST]  |  applies to Illinois

Answers (1)

Aaron Maduff
Non-compete dilemma

I don't think that the pay cut is going to eliminate the non-compete. However, there is going to be a violation of the Fair Labor Standards Act and the Illinois Wage and Hour Law if they do it. Employers have to pay you for work done.

posted by Aaron Maduff  |  Nov 9, 2002 09:53 AM [EST]

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