Wabtec No Poach Agreement

Oct 14, 2021   //   by admin   //   Uncategorized  //  No Comments

According to the complaint, non-poaching agreements between Knorr, Wabtec and Faiveley restricted competition for workers in the U.S. railroad industry, restricting their access to better employment opportunities, restricting their mobility, and depriving them of highly competitive information they could have used to negotiate better terms of employment. With Knorr-Bremse AG, New York Air Brake LLC, Knorr Brake Company LLC, Bendix Commercial Vehicle Systems LLC (collectively, “Knorr”), Westinghouse Air Brake Technologies Corporation, Wabtec Railway Electronics, Inc., Railroad Controls, L.P., Xorail Inc., Faiveley Transport, S.A., Faiveley Transport North America Inc. (collectively “Wabtec”) (Knorr and Wabtec together, B. the “Defendants” in a class action lawsuit alleging that: they had agreed not to compete for each other`s employees, to hire them, to hire them or to debauch them. The defendants deny doing anything wrong. The court did not rule in favour of the applicants, the class or the defendant. Instead, the parties terminated the case in order to avoid the costs and risks of continuing the dispute. You can view the complaint and comparison documents on the Case Documents page. The Department of Justice announced today that it has reached an agreement with Knorr-Bremse AG and Westinghouse Air Brake Technologies Corporation (Wabtec), two of the world`s largest suppliers of railway equipment, to resolve a ministry complaint that the companies had made illegal agreements for years in order not to compete with the other`s employees. The complaint also alleges that the companies entered into similar “No Poach” agreements with rail equipment manufacturer Faiveley Transport S.A. before Faiveley was taken over by Wabtec in November 2016.

“Today`s complaint is part of a more in-depth investigation by the Naked Agreements Division, not to compete with employees – commonly known as no-Poach agreements. As part of today`s agreement, Knorr and Wabtec are required to cooperate with the Cartel Department in any investigation of additional no-Poach agreements to which they may be counterparties,” Deputy Attorney General Delrahim continued. As part of the agreement, the department also agreed that it would not bring any further civil actions or criminal proceedings against Knorr or Wabtec under other potential no Poach agreements that the companies communicated to the department prior to today`s complaint. . . .

 

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