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Banning non-compete clauses is a "sensible" move for some workers, however employers should be concerned if the changes go further than has currently been flagged, a lawyer says.

In last night's Federal Budget announcements, Treasurer Jim Chalmers said the Government planned to ban non-compete clauses, which are "holding back Australian workers from switching to better, higher paying jobs".

The announcement follows Treasury's Competition Review, which was tasked with providing advice on improving competition across the economy. It received 47 submissions from employer groups and other stakeholders (some of which HR Daily has reported), but it has not yet released its findings...