One of the broadest and most pro-worker initiatives to come out of the Biden administration: The Federal Trade Commission proposed a broad ban on noncompete agreements, which companies use to prevent workers from taking jobs with competitors.
Stephanie Russell-Kraft
took her first journalism job in 2013 at the age of 25, she had to sign a noncompete and was told it wasn't a big deal, she recalled to Axios. It only applied to freelancing, she believed. But when she took a new job at another publication — a step up from a trade magazine to a national outlet — her previous employer flagged the agreement to her new company. Days later she was fired from her new job.she got by freelancing and relying on her partner's income. "It completely reshaped my career," she says.
Progressive and pro-labor groups lauded the action: "This will fundamentally change the basic balance of power between employees and employers," said Sarah Miller, founder of the American Economic Liberties Project, aThe Chamber of Commerce, however, called the move blatantly unlawful.The FTC is asking for comments on the proposal, and observers expect a court fight at some point.
"It's unclear if the FTC has the authority to do this," said Ben Rossen, who was a senior attorney at the agency before leaving in 2021.
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