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Draft translation. The rules concern Dutch employment law; have their application to your situation assessed. About our content
OpinionEditorial position

A non-compete clause must protect a specific interest

A non-compete clause can affect a next job long before a court examines the provision. The mere threat of a penalty may make a move uncertain. This calls for restraint in including and invoking broad clauses. This opinion argues for a specific explanation of the interest, the narrowest possible scope and clarity before the employee has to take a new step.

Sources (3)View the sources usedSources current as of:

This is an editorial opinion piece. The conclusion is a reasoned position and not personal legal advice.

A standard clause can create a major practical restriction

When starting a job, employees often focus on salary and role. A non-compete or non-solicitation clause then looks like part of the standard wording. On departure, the same text may affect a new job, a business of their own or contact with clients. Our position is that such consequences must be clear from the start. An employer must explain the risk involved in this particular role. An oral reassurance that the clause is “not applied that strictly in practice” offers insufficient certainty when staffing or management changes later.

Business secrets deserve protection, experience needs room to move

Employers may have a legitimate interest in protecting sensitive information and client relationships. That interest is not the same as wishing to prevent good staff from leaving. Employees acquire knowledge and experience during a job that determine their position in the labour market. An assessment must therefore specify what information needs protection and why confidentiality or a narrower agreement, for example, is insufficient. We believe broad exclusion from an entire sector demands a stronger explanation than a targeted restriction around a clearly defined risk.

Validity and reasonableness need to be distinguished

Current statutory requirements apply to non-compete clauses, including written agreement and the employee being an adult. For temporary contracts, there is a special requirement to give reasons based on compelling business or service interests. Even a formally agreed clause may call for a judicial balancing of interests. This makes it unwise to tell employees that every broad clause is automatically invalid. Equally, referring only to a signature is unconvincing. A specific legal assessment considers the wording, role, interests and actual restriction on the next move.

Reform plans are not a current exemption

In 2026, the Dutch government describes plans to modernise non-compete clauses, including duration, geographical scope and compensation when they are invoked. The source consulted identifies submission of the bill to the House of Representatives as a next step. These measures therefore cannot simply be treated as current law. Our case for proportionality also rests, without future legislation, on a practical standard: an organisation must explain a severe restriction. Waiting for reform is no reason to routinely place the broadest possible clause in every contract now.

Clarity should come before a missed opportunity

An employee with a concrete offer needs to know what the employer objects to. Ask in writing whether a particular role at a named business is possible and what conditions are required. An organisation might, for example, agree that certain confidential files will be protected from access. This is a negotiating possibility here, not a guarantee that a restriction disappears in every case. We believe timely, reasoned decisions should be normal. A vague reservation until the final day makes legal uncertainty unnecessarily greater than the specific business risk.

A dismissal settlement must also address the clause

With a settlement agreement, much attention goes to compensation and the end date. A continuing non-compete clause can strongly influence the value of that arrangement. Discuss explicitly which provisions lapse and which remain, including relationship restrictions and penalty clauses. A higher payment is not automatically a good exchange for a restriction that blocks your next income. Clear wording prevents employees leaving under the impression that they are free while the employer later advances a different interpretation. Have an agreed release recorded precisely enough for the intended work.

The counterargument

Counterargument: a narrow clause is too easy to circumvent

That objection can be serious for a particular role. Business secrets and client knowledge can be difficult to separate from everyday work for a direct competitor. Our argument therefore does not call for automatic release or deny a genuine risk. It asks for substantiation of that risk and appropriate limits. A carefully reasoned, targeted clause may in fact be easier to explain than a standard prohibition affecting much more work than necessary. The discussion should concern demonstrable protection and the consequences for the employee, not simply who holds the strongest negotiating instrument.

Where this takes us

Read the clause when starting as though you will want a specific different job in a year. Ask which interest it protects and have its duration, area, relationships and activities defined. Departure calls for a timely written assessment. Our editorial position is that freedom of movement is an important interest that an employer should restrict only with a specific and proportionate explanation.

Sources (3)

Sources and editorial notes

These sources support the factual context. The position, assessment and conclusion are those of our editorial team.

Sources current as of:

The source publications are in Dutch. All language editions cover Dutch law.

Read more about your next step

Non-compete and relationship clauses: changing jobs without surprisesCheck your employment contract before signingChecking a settlement agreement: payment, WW and conditionsVSO: prepare for discussion and negotiationBuild your employment law case fileChoose an employment lawyer who fits your needs

General information. Not a substitute for personal legal advice. This language edition contains draft translations based on official Dutch sources. Independent final legal review and native-language editing have not yet been recorded.

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