US moves to ban non-compete agreements in labour contracts: Reports

The US Federal Trade Commission, which enforces antitrust law, proposed a rule that would ban companies from requiring workers to sign non-compete provisions as well as some training repayment agreements, which companies use to keep workers from leaving for better jobs, the agency said on Thursday. The proposal seeks comment on a potential rule, which is months away, if not longer, from taking effect.

Non-compete agreements “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,” said FTC member in a statement.