WeWork, a provider of shared spaces for rent, settled the investigations against it by the Illinois and New York Attorneys General.
As part of the settlement, the company agreed to modify its broad non-compete contracts with almost all of its employees across the United States.
In New York, more than 800 rank-and-file employees will be released from their non-compete agreements with the company. More than 600 additional workers in other states will also benefit from the settlement. Most of its workers are cleaners, mail associates, executive assistants among others. Some of them are paid as little as $15 per hour.
Almost 1,800 additional employees including architects, community leads, community managers, interior designers, senior software engineers and more “will now be bound by less restrictive terms” in their employment contracts.
WeWork agreed to shorten the non-compete period from one year to six months after their employment. The company also reduced its geographic restriction significantly. It also limited the ban to specific business lines in which the employee worked.
