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Non-Compete Laws in Virginia

Virginia bans non-competes with low-wage employees (earning less than the state average weekly wage or entitled to overtime) and with health care professionals licensed by certain state boards, and a non-compete is unenforceable if the employee is fired without cause and without severance or other payment.

Last checked . General information, not legal advice.

Virginia at a glance

Status
Restricted by statute
Also unenforceable if the employee is discharged without cause and without severance or other payment.
Enforceable against employees
Only with conditions
Salary threshold
Above state average weekly wage
Workers whose average weekly earnings are below the state average weekly wage (Va. Code 65.2-500), or who are entitled to overtime, cannot be bound.
Advance notice required
No
Any severance or payment for a discharge must be disclosed when the covenant is signed.

Sources

Last checked

The rules in Virginia

Are employee non-compete agreements banned, restricted or enforceable in Virginia?

Status in Virginia: Restricted by statute. Also unenforceable if the employee is discharged without cause and without severance or other payment.

Can an employer enforce a non-compete against an employee in Virginia?

Only with conditions. Enforceable against employees in Virginia: only with conditions.

Is there a minimum salary for a non-compete to be enforceable in Virginia?

Salary threshold in Virginia: Above state average weekly wage. Workers whose average weekly earnings are below the state average weekly wage (Va. Code 65.2-500), or who are entitled to overtime, cannot be bound.

Does Virginia require employers to give advance notice of a non-compete?

No. Advance notice required in Virginia: no. Any severance or payment for a discharge must be disclosed when the covenant is signed.

Where do the Virginia non-compete laws come from?

The rules above come from Va. Code 40.1-28.7:8. Each source is linked on this page. We last checked them in October 2026.

Good to know

The statute was amended in 2025 and 2026. The Commissioner can impose a $10,000 civil penalty for each violation of the ban or the severance rule.

What this means in practice

Read the restriction closely before signing. Note how long it lasts, the area it covers, which activities it bars and which state's law the contract says applies. A choice-of-law clause does not always control, because some states refuse to apply another state's law to their own residents or workers.

Salary thresholds are often adjusted every year for inflation. If a state uses a threshold, check the figure for the year the agreement was signed or is being enforced, and how the statute defines earnings.

A non-compete is different from a non-solicitation or confidentiality agreement. Many states that limit non-competes still allow narrower clauses that protect trade secrets or customer lists. An employment lawyer can explain how the rules apply to a specific agreement.

General information, not legal advice. Laws change, and cities can add their own rules, so check the current statute before you rely on it.