Is my current employer limiting my future employment?

[R Phoenix]

Hi there,

I'm currently employed in a role and I decided to leave.

I told one of our suppliers, and they verbally offered me a role with them. This role would be similar to the one I am doing with my current employer, but would not affect them beyond my leaving. If I cannot leave for the role with the supplier, then I will leave for another - their offer did not shape my decision.

As far as I can tell, there are no legal restrictions to this. My own contract does contain a restrictive covenant, but this refers mostly to taking customers in a new role (not an issue for this role - our target customers are completely different). It does refer to not disadvantaging my current employer with any supplier: I can't see any way in which this would work - I'm not planning on making it harder for the supplier to supply my current employer. The post termination covenants do not refer to preventing me from working for a supplier.

When I received the verbal offer, I spoke with my manager to make sure he was OK with this: he was. He checked it internally with the people who look after our contracts, they all said it was OK (for both myself and for the suppliers agreement with my current employer). Then he took it to the CEO - who said no. I believe his argument was this would encourage the supplier to poach the business' staff (most of the associated communication is verbal - unfortunately). As a result of this, the supplier is likely to withdraw the offer to me as they do not want to damage their commercial relationship with my current employer.

The net result for me is that a job I want has been offered and subsequently withdrawn on the basis of the actions of my current employer.

My question is, do I have any legal recourse?

If I do, then I'll seek formal legal advice. Right now, I want a first thought from someone who knows more than me on whether there's a potential claim or case to be argued here.

Thanks,
RP

[Amethyst]

I'll tag Ula for you, but it doesn't sound like the restrictive covenant prevents you from working for this other company. Had you left the company and then obtained the position with the supplier they'd have had to try and enforce the restrictive covenant clause in your contract.The only issue, as you've ruled out customers etc, could be confidential information you could use to benefit the suppliers relationship with your current employer ( eg pricing/billing/financial stuff )

If you do have the contract then the full wording of the relevant clauses would be useful to check.

[R Phoenix]

Thanks - I think the issue is that the supplier (my potential new employer) may withdraw their offer to me - so as not to harm their relationship.

My current employer is not threatening me directly (and, legally, I don't think they would have a case); they are implying they will reduce/stop their business with the supplier if I go there. Unfortunately, I'm the one that's likely to pay the price for that.

[ULA]

It does not sound like the restrictive covenant would be enough to stop you working for a supplier of your company, however without seeing it in full I am just basing this on what you have said.

However as you say the issue may be for the supplier if there is the possibility they may lose business by employing you, in which case this has to become a commercial decision for them. This will be no doubt based on the potential risk of losing business and the "knock-on effect" this may have to the profitability of their business.