Illinois Has Some of the Strongest Non-Compete Protections in the Country

If your employer is asking you to sign a non-compete agreement — or if you are already bound by one and wondering whether it can stop you from taking a new job — Illinois law is more protective of employees than most people realize. The Illinois Freedom to Work Act (820 ILCS 90) was significantly strengthened in 2022, and many non-competes signed before the new rules took effect may already be unenforceable.

Cramer Law Group represents Illinois employees in non-compete disputes, severance negotiations, and wrongful termination cases. Call 312-924-0219 for a free consultation.

What the Illinois Freedom to Work Act Says

Under 820 ILCS 90, a non-compete agreement entered into on or after January 1, 2022 is only enforceable if all of the following are true:

The employee earns more than $75,000 per year. If your total annual compensation (salary plus guaranteed bonuses) is $75,000 or less, a non-compete cannot legally prevent you from working for a competitor in Illinois — period.

The restriction is narrowly tailored. Courts look at whether the geographic area, duration, and scope of restricted activities are reasonable given the employer’s legitimate business interest. Blanket nationwide bans on working in your industry are routinely struck down.

The employer provided adequate consideration. For new employees, a job offer is sufficient. For existing employees, the employer must provide something of value beyond just continued employment — a raise, a bonus, a promotion, or at least two weeks to review and negotiate before signing.

The employer gave you 14 days to review the agreement and advised you in writing to consult an attorney. If your employer handed you a non-compete and told you to sign it immediately, this requirement was almost certainly violated.

Illinois Non-Compete Salary Threshold in 2026

The $75,000 salary threshold for non-compete agreements is set to increase under the Illinois Freedom to Work Act. The threshold rises automatically by $5,000 every five years. Employees covered by a collective bargaining agreement are exempt entirely — a non-compete cannot be enforced against a union member.

For non-solicitation agreements (agreements that prevent you from taking clients or co-workers with you when you leave), the salary threshold is lower: $45,000. These are subject to the same reasonableness and consideration requirements.

Are Non-Competes Enforceable in Illinois After You’re Fired?

This is one of the most important questions employees ask. Under the Illinois Freedom to Work Act, if you are terminated without cause, the employer may not enforce a non-compete against you at all — unless the employer provides garden leave pay (paying your full base salary for the duration of the restricted period) or some other mutually-agreed-upon consideration. Most employers do not provide garden leave pay, which means that if you are laid off or fired without cause, your non-compete is almost certainly unenforceable in Illinois.

What Happens If You Violate a Non-Compete?

Illinois courts use a “blue pencil” approach — they can modify an overly broad non-compete to make it enforceable rather than throwing it out entirely. That means signing a bad non-compete is not automatically harmless. However, courts take enforcement seriously only when the employer can show a genuine protectable interest: trade secrets, confidential client relationships, or specialized training the employer paid for. A general claim that “we don’t want competition” is not a protectable interest.

If your former employer is threatening to enforce a non-compete, the first question is whether the agreement is enforceable at all. Many are not. An attorney can often resolve these disputes by sending a letter clarifying why the agreement fails under Illinois law — without litigation.

How Cramer Law Group Can Help

Amy Cramer and Tom Cramer have helped hundreds of Illinois employees navigate non-compete disputes, negotiate severance packages, and understand their rights when changing jobs. If you have been asked to sign a non-compete, are considering leaving a job and concerned about a restriction, or if a former employer is threatening legal action, we can help you evaluate your options quickly.

We offer free consultations and can often tell you within a single call whether your non-compete is likely enforceable. Call 312-924-0219 or use our contact form to reach us.