The Federal Trade Commission (FTC) has banned non-compete clauses, which restrict workers from joining competitors or starting businesses in the same field after leaving a company. This move is expected to improve working conditions in Hollywood and raise pay for workers by allowing them to freely consider offers from other companies. The ban faces legal challenges from businesses concerned about protecting confidential information and trade secrets. However, the FTC estimates that the average worker will see an annual pay increase of over $500. The ban could also increase competition among companies for top talent and reduce pay disparities between men and women.