Why Working for Competitors Is Highly Discouraged
Many employers have rules in their guidelines that deter employees from working for a competitor. They have solid reasons for wanting their employees to avoid doing so. These are some of the reasons these companies feel that way:
Employees Might Let out Confidential Information
Most employees that have those policies in place do so because they don't want to risk having their confidential information obtained by another party. Even an innocent conversation between two coworkers can result in one party finding out about a promotion or process that the other company is doing. Employers like to prevent such situations from occurring.
The Employee Might Be Partial to the Other Company
An old saying says that you can't serve two masters because you'll love one and hate the other. Eventually, the employee might prefer one company over the other and become more loyal to that company. That might cause scheduling problems for the first company. Employers like to play it safe to protect themselves.
A General Loss of Trust
The first employer may feel a general sense of mistrust, even if the employee doesn't do any of the previously mentioned things. It's generally frowned upon for a company's employee to go work for someone that the corporation is in competition with. Thus, you can save yourself and your employer a lot of trouble if you avoid working for a competitor. You may have to make a choice of one or the other if it comes down to doing what's best for your family. Your current employer will respect you if you have to leave to better your living situation or quality of life.
Those are just a few of the reasons employers like to keep their workers away from the competition. It makes sense from a business aspect if you think about it.