How do people deal with present employers becoming aware that you may be looking for another position? Do people hide it (hold references back until a job offer, or give previous employment references) or allow their employer to know?
Don’t ever let your employer know. If they know you’re not loyal, but don’t find a better job or decide to stay for some other reason, you’re always going to be the one who gets the least trust, the worst projects (you might be gone soon anyway, right?) or even be the one who gets fired if someone has to go.
Another reason why you shouldn’t give references that early.
It's funny how it differs by industry, too. In software land, you keep quiet. In the service sector, people seem to be pretty open about it. In academia, it's definitely openly discussed. I'm kind of curious what it's like in law, civil service, etc.