TechCrunch: The FTC moves to ban noncompete agreements
The Federal Trade Commission proposed a rule on Thursday that would block employers from using noncompete agreements to restrict workers from pursuing employment with competitors.
In its push to throw out noncompete agreements, the FTC cites Section 5 of the Federal Trade Commission Act, which prohibits “unfair methods of competition in or affecting commerce.” The agency will now open up the issue for public comment on the practice, which limits employment prospects for tens of millions of Americans.
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Antitrust advocates and worker’s rights groups cheered the FTC’s action on the issue. “Millions of workers, future new business owners, everyday consumers and the American economy overall will be better off because of the FTC’s vote today,” Executive Director of the American Economic Liberties Project Sarah Miller said on Thursday.
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