Why give them the power anyway? And no, it wasn't thrown out everytime: https://www.gamedeveloper.com/business/developers-are-ready-for-noncompete-agreements-to-die
Scott Hartsman, a game development veteran who spent time as an executive at Sony, Trion Worlds, and Wargaming, was one of the few I spoke with who'd ever had a noncompete clause in his contract enforced by a former employer