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The one way to stop an employee from abusing your company's confidential information

by , 21 October 2016
The one way to stop an employee from abusing your company's confidential informationDo you run a business that involves you having to disclose sensitive information to your employees?

Well then, I'm pretty sure you'll be concerned as to whether or not that information will be abused.

In other words, what if one of your employees decide to use your information, leave your company and start her own which directly competes with you? She deliberately bases her own company on the information you gave her.

What can you do to stop this? Sure, common law protects you to some degree, but there's something else which you should ensure in order to strengthen that protection - and it's HIGHLY RECOMMENDED.

What am I talking about? Read on...


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In order to protect your company's information, you should include a 'confidentiality undertaking' in your employment contracts. And remember that they should STAY VALID after termination of employment.

What this is, is an agreement between you and the employee which says she won't disclose any of your confidential information except for what you allow in your own working relationship and to further your own company.

So, if she decides to bolt and take your confidential information with her, you can take action against her – and your confidentiality undertaking can help you with this.

But before you get carried away with confidentiality, remember that 'confidential information' DOESN'T include any general knowledge and/or skills she acquires while working for you.
*If you wish to learn more about preventing your ex-employees from competing unfairly with you, subscribe to Labour Law for Managers today.

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