Mumbai, September 23: Mukesh Ambani and Gautam Adani are undoubtedly two of India's best businessmen not only in the country but also across the globe. According to reports, a big deal has taken place between the world's second richest person and the Reliance Industries chairman. Reports suggest that both, Mukesh Ambani and Gautam Adani have entered into an agreement wherein it has been decided that they won't hire each other's employees.

If reports are to be believed, the nature of the no-poaching agreement between Mukesh Ambani-led Reliance Industries and Gautam Adani is such that both companies will be refrain from hiring employees from one another. Reports also said that the "No-Poaching Pact" between the two industrialists and their companies came into effect in May this year. Interestingly, the no-poaching agreement will be applicable to all of Mukesh Ambani and Gautam Adani's businesses. The policy strictly prohibits employees of both groups from joining each other. Gautam Adani Tops India’s Rich List, Ranks Second in World With Net Wealth of Rs 10,94,400 Crore, Adding Rs 1,600 Crore per Day to His Fortune.

However, there has been no official announcement or confirmation from Adani Group or Reliance Industries regarding the no-poaching agreement. So what is the no-poaching agreement? As per reports, such agreements or deals have always been in force, however, they are informal in nature. The no-poaching deal between Gautam Adani and Mukesh Ambani will help prevent employees of both groups from joining each other's companies. In simple terms, a no-poaching agreement helps to prevent employees of rival companies or groups from joining each other.

A senior professional with a global executive search told Business Insider, "These pacts have always existed and they continue to be informal in nature. From here on both groups cannot poach from each other." It must be noted that no-poaching agreements are legal in nature as long as they do not restrict or violate the rights of individuals who seek employment. 2020 Forbes India Rich List: Mukesh Ambani Tops Forbes India Richest List Again for 13th Year, Gautam Adani and Shiv Nadar Follow; Check List.

While Gautam Adani's Adani Group thrives in sectors such as power, ports, airports, and renewable energy, Mukesh Ambani's Reliance Industries is one of the top players in most sectors. Besides, Adani Group has also forayed into the petrochemicals segment while in the Telecom sector, both companies are competing with each other.

According to reports, Reliance Industries' market cap stands at Rs 16,94,143 crore while Gautam Adani's group of companies has a combined market share of Rs 21,28,656 crore.

(The above story first appeared on LatestLY on Sep 23, 2022 08:59 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).