FTC's New Task Force to Target Noncompetes: 5 Top Answers for Employers

Summary

In a somewhat surprising development, the Federal Trade Commission just announced that it intends to continue scrutinizing noncompete agreements and other arrangements the FTC feels are unfair to workers. Last week, Federal Trade Commissioner Andrew Ferguson announced plans for a Joint Labor Task Force that will identify and prosecute labor-market practices the FTC deems to be "deceptive, unfair, and anticompetitive" and harmful to workers. Notably, the FTC continues to see a substantial role for itself in protecting workers as they participate in the labor market, with Commissioner Ferguson commenting that "the ability to command a reasonable wage on the labor market is an individual's single most valuable commodity." What does this development mean for employers and how can you plan accordingly? Here are the answers to your top five questions.