Employee duties and restrictions on competition

This overview outlines the Practice Notes in the subtopic 'Employee duties and restrictions on competition'.

All employees are under a duty of fidelity to their employer, which is also known as the duty of good faith, or of loyalty.

Fidelity is a broad concept containing a number of more specific duties, some of which overlap both with each other and with the duty of trust and confidence:

  1. to behave honestly

  2. not to work in competition

  3. not to make a secret profit

  4. to disclose information

  5. not to misuse confidential information

Some employees will also owe additional, more onerous duties as a result of their being a fiduciary, or being a fiduciary in respect of some part of their duties. These may include:

  1. a duty to act in the best interests of the employer, ie to act selflessly and with undivided loyalty, which in turn comprises:

    1. the duty to account for all property and profits made from the employee’s position as a fiduciary (the ‘no profits’ rule)

    2. the duty not to let their own interest and that

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PAC criticises Home Office over failures to tackle exploitation under skilled worker visa route

The Public Accounts Committee (PAC) has found that the Home Office failed to adequately address the risk of exploitation and non-compliance under the skilled worker visa scheme, particularly in the care sector. In its 4 July 2025 report, the PAC criticises the department for failing to prevent abuse following the scheme’s 2022 expansion to support adult social care, highlighting serious weaknesses in safeguarding, compliance monitoring, and tracking of visa expiries. While the expansion helped alleviate workforce shortages during the pandemic, it also exposed migrant workers to exploitation, with evidence submitted to the inquiry detailing cases of debt bondage, excessive working hours and poor living conditions. Despite early signs of abuse, the Home Office was slow to respond and does not hold data on how many visa holders have been identified as potential victims of modern slavery. The PAC further found that the department lacks key data on visa compliance, including whether workers leave the UK at the end of their stay, are re-sponsored, or remain unlawfully, and has not analysed exit check data since the route’s introduction. In light of the recent decision to end overseas recruitment for care workers, the PAC warns of further risks unless cross-government workforce strategies are coordinated and calls for a joined-up approach to tackling exploitation and addressing domestic skills shortages.

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