Apple (more info) tried to make a “no employee stealing” deal with Palm (more info) very similar to what it has with Google. Bloomberg News has discovered that Steve Jobs (more info) called up Ed Colligan then-CEO of Plam and said

“We must do whatever we can to stop this”

Colligan after pondering over the matter refused the deal saying

“Your proposal that we agree that neither company will hire the other’s employees, regardless of the individual’s desires, is not only wrong, it is likely illegal”

The interesting part is Steve offered this deal in August 07 after he had poached almost 2% of Palm’s workforce to develop iPhone! Apparently Palm snatched Jon Rubinstein (more info) from Apple who headed Apple’s iPod unit. Since then Palm has hired quite a few of Apple’s top employees including Jeff Zwerner (now Brand Design-Chief @Palm), Mike Bell (Senior VP of Product-Development @Palm) and Lynn Fox (PR head @Palm). Rubinstein is now Palm’s CEO. It won’t be surprising if Apple already has similar agreements with its other competitors. Whether this is illegal or not is one issue other being robbing the employees of their opportunities.

Follow-Up

Silicon Alley Insider:   Steve Jobs Proposed Secret “No Poaching” Deal With Palm, Too by Henry Blodget

Gizmodo:   Jobs Wanted a Secret, Illegal ‘No Poaching’ Deal with Palm by Adam Frucci

Engadget:   Palm’s Colligan rebuffs Steve Jobs’ ‘likely illegal’ plea to stop hiring from Apple by Thomas Ricker

Gawker: How Palm Faced Down a Tyrannical Control Freak by Ryan Tate

ChannelWeb:   Palm Thumbed Nose At Apple’s ‘No Poaching’ Plea: Report by Andrew R Hickey

Between the Lines:   Apple, Palm rivalry redux: Poaching examined by Larry Dignan

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