Non-Competes: A Non-Starter for the American People

Most Americans support the Federal Trade Commission’s new proposed rule that prohibits employers from requiring a noncompete agreement from their employees.   

WHY IT MATTERS: The FTC and many experts say non-compete agreements limit an employee’s ability to expand their client base, barring them from additional economic and professional growth.  

• Many blue-collar workers, such as  hairdressers, are required to sign non-compete agreements.  

THE NUMBERS: An Ipsos poll found that: 

• 38% of Americans have heard of the FTC’s announcement  
• 61% of Americans support the FTC’s proposed ban on non-competes 
• 42% of Americans believe that non-compete clauses are bad for the American economy 

REALITY CHECK – The proposed rule will face legal challenges and may not survive. Still, it does put more pressure on businesses to end this practice.   

 GO DEEPER – 

• New York Times – US Moves to Bar Noncompete Agreements in Labor Contracts 
• CNBC – US Chamber of Commerce Threatens to Sue the FTC over proposed ban on non-compete clauses