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

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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.
Aaron

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

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