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ARTICLE · 12 OCTOBER 2026

Protecting Your Business - Getting Ready For Significant Change With Post-employment Restraints

The Australian Federal government has introduced the Competition and Fair Work Legislation Amendment (Banning Unfair Non-Competes) Bill 2026, which proposes to fundamentally reshape post-employment restraints by outlawing non-compete clauses for employees earning below $190,100 and banning co-worker non-solicitation clauses entirely. These sweeping reforms will significantly impact how businesses protect their investments in talent, client relationships, and confidential information, requiring employers to

AustraliaEmployment and HR

Companies invest significantly in their business, clients and employees to create a prosperous sustainable enterprise. An important and valid part of business is having reasonable post-employment restraints to protect that investment from departing employees competing unfairly.

Things are about to change significantly. The Federal government has published its exposure draft of the Competition and Fair Work Legislation Amendment (Banning Unfair Non-Competes) Bill 2026. The changes directly attack the investment businesses make and represents one of the most significant workplace reforms in recent times.

The Unfair Non-Competes Bill seeks to amend the Fair Work Act 2009 (Cth) to essentially outlaw two types of common post-employment restraints, with significant consequences for employers. These consequences include business being more prone to the poaching of talent from the inside. There are other important changes, including to cascading clauses. Employers need to pivot and get

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