Illinois Attorney General Kwame Raoul, together with six other state attorneys general, has secured a significant settlement with Valvoline LLC, Valvoline Instant Oil Change Franchising Inc., and VGP Holdings LLC (Valvoline) to resolve allegations of unfair labor practices.
The settlement addresses Valvoline's use of restrictive non-compete and non-solicitation agreements imposed on its hourly employees. These agreements prohibited employees from working in the oil change sector within 100 miles of a Valvoline location for one year after leaving the company and prevented them from soliciting current employees or customers for the same duration.
Raoul, along with the attorneys general from Colorado, Maryland, Massachusetts, Minnesota, New York, and Pennsylvania, contends that these practices unfairly limited workers' future employment opportunities and financial growth.
The settlement requires Valvoline to immediately stop enforcing these agreements and to notify both current and former employees affected by these clauses that they are no longer valid.
Angela Davied, Director, Corporate Communications at Valvoline, contacted WSIU to add, "At Valvoline Inc., we believe all employees should be able to seek
opportunities that grow their careers. Valvoline stopped implementing non-competes for hourly store employees in 2021, and the agreement we reached with the State Attorneys General not to use them is consistent with that decision."
Should Valvoline materially breach the terms of the settlement, the attorney general of any participating state can impose a $500,000 penalty. This resolution is expected to benefit approximately 440 current and 500 former employees across the states involved.
Raoul emphasized his commitment to challenging and dismantling such restrictive agreements that hinder workers' career advancement.
