Allows employers to require employees to sign restrictive covenants as a condition of employment or severance pay.

New York A01361 amends the labor law to allow employers to request or require employees to execute restrictive covenants as a condition of employment, continued employment, or severance pay. These covenants prohibit employees from engaging in specified competitive activities after employment ends. Employers must disclose the terms of the covenant in writing before it takes effect. The covenant must be reasonable, limited to protecting legitimate business interests, and not overly burdensome or inconsistent with public policy.

Allows employers to require employees to sign restrictive covenants as a condition of employment or severance pay.

New York A01361 amends the labor law to allow employers to request or require employees to execute restrictive covenants as a condition of employment, continued employment, or severance pay. These covenants prohibit employees from engaging in specified competitive activities after employment ends. Employers must disclose the terms of the covenant in writing before it takes effect. The covenant must be reasonable, limited to protecting legitimate business interests, and not overly burdensome or inconsistent with public policy.