Asking existing employees to sign new employment contracts can be a sensitive topic. Employees will undoubtedly wonder why they are being asked to do so. Many will quite rightly assume that the employer’s main motive for having new contracts be signed is to protect the employer – not the employee. Some will sign without issue, while others will refuse to do so.
A company's HR functions, such as recruitment and compensation, are not typically regarded as antitrust "hot spots" (as opposed to sales and marketing). Recent cases in the United States, however, highlight how hiring practices can create the risk of competition law violations for companies and their HR personnel. Since Canadian competition law is similar to U.S. antitrust law in these respects, it is important that Canadian HR professionals be aware of these risks and protect themselves and their companies from exposure.