So let's say I am running a startup with two employees. A friend of mine is also running a startup and needs to hire people. Is it wrong for me to ask him not to hire my employees?
It would be wrong for him to turn down job applications from one of your two employees [on the grounds that they work for you, not based on their not matching his needs] and then inform you that they applied, allowing you to victimise them while torpedoing their own chances at the other company.
Why are people defending these practices? This is not a personal attack, but are you so deluded to think that your 2-person startup is in the same league as Apple, Google and Intel?
what happened here is much bigger than a deal that goes between two friends who run a startup. it by all means seems like collusion by the overlords to ensure the minions are kept where they are to 'serve' them ( a minor exaggeration). Parts of this story is revolting, like firing and making an example of the recruiter who poached a google employee.This sickens me and is surprising , probably cause, I am not cynical enough..
At that level its a bit more of a personal issue but I think it would be wrong to have an agreement in place, sure you can ask and its likely that you would not poach each other's workers because it would damage your own relationship, however to keep this going as your company scales would definitely be wrong. You don't have to poach anyone's employees, but to have formal agreements in place not to do so is clearly collusion. This would also include summarily rejecting applications because they currently work for the other guy's startup.