The U.S. Federal Trade Commission (FTC) has proposed a rule that would ban the practice of companies forcing workers to sign non-compete clauses in their contracts.
Once limited to highly paid executive positions, such clauses are increasingly common in white collar jobs of all types of levels of compensation. One 2021 study out of the University of Chicago found that approximately 18 percent of the labor force is bound by non-competes.
Yet critics of the practice say it greatly limits workers' flexibility to change jobs.
“The freedom to change jobs is core to economic liberty and to a competitive, thriving economy,” said Chair Lina M. Khan in a statement. “Noncompetes block workers from freely switching jobs, depriving them of higher wages and better working conditions, and depriving businesses of a talent pool that they need to build and expand. By ending this practice, the FTC’s proposed rule would promote greater dynamism, innovation, and healthy competition.”
The FTC estimates the rule could increase overall wages by $300 billion per year. The agency is pursuing the ban under Section 5 of the FTC Act, which targets unfair methods of competition. The public now has 60 days to comment on the rule change.
“The proposed rule would ensure that employers can’t exploit their outsized bargaining power to limit workers’ opportunities and stifle competition," said Elizabeth Wilkins, director of the Office of Policy Planning at the FTC.
Supreme Court Justice Amy Coney Barrett endorsed the idea that the court adopt a formal code of conduct.
The Supreme Court ruled it would allow the Biden administration to regulate so-called ghost guns, or those untraceable homemade weapons, and also barred two Texas-based manufacturers from selling products that can be turned into ghost guns.
The Commerce Department on Tuesday updated and broadened its export controls to stop China from acquiring advanced computer chips and the equipment to manufacture them.
And in a surprise move, President Joe Biden has joined former President Trump's Truth social platform.
The Supreme Court ruled it would allow the Biden administration to regulate so-called ghost guns, or those untraceable homemade weapons, and also barred two Texas-based manufacturers from selling products that can be turned into ghost guns.
Former President Donald Trump returned to a New York City courtroom Tuesday to watch the civil fraud trial that threatens to disrupt his real estate empire, renewing his claims that the case is a baseless and politically targeted distraction from his 2024 campaign.
Over 30 people were arrested outside of the White House Monday during a protest against the Israel-Hamas war.
President Joe Biden swept into wartime Israel for a 7 1/2-hour visit Wednesday that produced a heaping dose of vocal support and a deal to get limited humanitarian aid into Gaza from Egypt.
The Pentagon has sent “prepare to deploy” orders to about 2,000 U.S. troops to be ready to respond to the Israel-Hamas war, two U.S. officials said on the condition of anonymity to discuss a decision that has not been announced yet.
The head of Israel’s Shin Bet security service has taken responsibility for not warning of the bloody Oct. 7 Hamas rampage that killed over 1,400 Israelis.
