Truth About Non-Compete Agreement

A non-compete agreement means that an employee cannot compete with his former employer for a certain amount of time.

The problem is, some interprets it as "former employees are not allowed to work in a competitor company"...

So I have 2 questions:
1.) Which is the right definition of NCA, as narrated above?
2.) If the definition is that former employees cannot transfer to a competitor, is it enforceable in Malaysia?

You would have to look at the wording in the job offer letter for rules about resigning and joining a competitor.

https://asklegal.my/p/when-employees-le … -contracts

Per se no-competition clauses can't be enforced but "employers seeking to protect their confidential information, trade secrets, and employees, may consider other alternatives such as non-disclosure agreements, and anti-poaching/anti-solicitation clauses."

I see. Then that means employees can transfer anywhere, and all they need to do is keep confidential infos as secrets, and comply on anti-poaching and anti-solicitation. As long as they don't intend to compete in business, then it is fine.