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Alexander Reid Comments on Survival of Climate-Focused Nonprofits in Bloomberg.com Article

Brian McEvoy Co-chairs, Speaks; Jennifer Solari, Ryan Mayo Speak at ABA Southeastern White Collar Crime Institute

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The FTC has proposed a new rule under Section 5 of the Federal Trade Commission Act that would significantly ban noncompete agreements between employers and workers.

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If adopted, the Proposed Rule would supersede “inconsistent” state laws and also require employers to rescind certain existing noncompete clauses no later than 180 days after publication of the adopted rule.

The FTC also recently filed enforcement actions against three companies and multiple executives for imposing noncompete restrictions on workers, and obtained consent orders.

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On Jan. 5, the Federal Trade Commission voted 3-1 to propose a new rule under Section 5 of the Federal Trade Commission Act that would largely ban noncompete agreements between employers and employees. If passed, the Proposed Rule would become a federal regulation making it an “unfair method of competition” for an employer “to enter into or attempt to enter into,” “maintain” or “represent to a worker that the worker is subject to a noncompete clause.” A preamble to the Notice of Proposed Rulemaking cites the harm that noncompetes purportedly inflict on (i) workers whose compensation and mobility are stymied by noncompetes and (ii) new business enterprises that find it difficult to break into an industry where skilled labor is locked into existing employment arrangements.

<a href="https://www.bakerlaw.com/insights/ftc-seeks-to-ban-non-compete-restrictions-in-employment-contracts/" target="_blank" rel="noreferrer noopener">Read full alert.</a>

FTC Seeks to Ban Noncompete Restrictions in Employment Contracts

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