In a landmark decision, the Federal Trade Commission (FTC) has voted to ban noncompete clauses nationwide, protecting the rights of workers and fostering economic growth. The ban, which will take effect within 120 days of its publication in the Federal Register, prohibits employers from requiring workers to sign noncompete agreements and blocks the enforcement of most existing clauses.
The US Federal Trade Commission (FTC) has banned most noncompete agreements nationwide, a significant victory for worker freedom and innovation. The move is expected to create thousands of new businesses, increase wages, and foster greater competition in the job market. Noncompete agreements have disproportionately affected tech and other highly skilled workers, hindering their career advancement and stifling innovation. The FTC’s rule is expected to face legal challenges, but its long-term impact is likely to be transformative for the American workforce.
