"One state that hasn't allowed enforcement of noncompete clauses in most cases since the 19th century, California, is the world leader in the creation of new knowledge, new business and whole new industries. Rhett Morris at Endeavor Insight calculated in 2014 that there were 92 publicly traded companies with more than $2 trillion in value that can be traced to Fairchild Semiconductor's founding in 1957, when eight engineers left Shockley Semiconductor Laboratory in Mountain View, Calif., and immediately began to create a better semiconductor. California leads the nation in ideas creation with 46,564 patents granted in 2021, more than the number granted to residents of the next five states combined.
A legal prohibition on the enforcement of noncompete clauses in employment agreements is a simple way for a government to create high-value economic growth by liberating its innovative citizens to create new businesses and new wealth." [1]
1. Physicians, Noncompetes and Worker Rights. Wall Street Journal, Eastern edition; New York, N.Y. [New York, N.Y]. 23 Jan 2023: A.16.
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