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Big businesses rally to preserve their right to limit ex-workers’ job options
NBC news ^ | April 20, 2023 | J.J. McCorvey and Sara Ruberg

Posted on 04/20/2023 7:41:36 PM PDT by anthropocene_x

Corporate America is mobilizing to quash a sweeping FTC proposal that would prevent employers from limiting where their former staffers can work, citing the need to protect trade secrets.

In series of letters this week to the FTC, which proposed the restrictions in January, the U.S. Chamber of Commerce asked the agency to stand down or shrink its proposal and questioned the legal authority behind it.

Noncompete policies can range from prohibitions of working for a competitor or even working in the same geographic region. And the periods they cover vary, depending on what state courts deem enforceable, from six months to five years.

The outcome of the battle will affect large swaths of the U.S. workforce. Roughly 30% of private sector employers currently use noncompete agreements for all their workers. Businesses that use the policies typically cite the need to protect trade secrets.

The FTC, which estimates that banning noncompetes could boost workers’ earnings by nearly $300 billion annually and broaden job opportunities for 30 million Americans.

The Chamber of Commerce, one of the nation’s most powerful business lobbies, organized a coalition of industry groups that sent a letter to the FTC on Monday urging the agency to “withdraw its proposed rule. The chamber, which threatened in January to sue the FTC over its proposal, declined to comment.

(Excerpt) Read more at nbcnews.com ...


TOPICS: Business/Economy; Crime/Corruption
KEYWORDS: biden; congress; corruption; economy; ftc; labor

1 posted on 04/20/2023 7:41:36 PM PDT by anthropocene_x
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To: anthropocene_x

Cherish your chains, wage/NCA slaves.


2 posted on 04/20/2023 7:48:49 PM PDT by lightman (I am a binary Trinitarian. Deal with it!)
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To: lightman

If you hire older workers, you don’t need non-competes.
Added benefit; they show up.


3 posted on 04/20/2023 7:56:33 PM PDT by steve8714 (Evidently the Oxford comma is racist, sexist, or homophobic. You decide which.)
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To: anthropocene_x

We need more independent businesses that aren’t into hampering an individuals right to earn money. Companies that aren’t into limiting labors mobility using lawyer parasitism.

Also, the trade secret excuse is a joke in an globalist world with foreigners ‘hanging all over’ public & private institutions like monkeys in a tree.


4 posted on 04/20/2023 8:10:18 PM PDT by unclebankster ( Globalism is the last refuge of a scoundrel.)
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To: steve8714

+1


5 posted on 04/20/2023 8:10:59 PM PDT by lightman (I am a binary Trinitarian. Deal with it!)
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To: steve8714

I’m an older guy working from home.

I do everything I used to only much more slowly.

However, I’m learning to integrate AI into my business.

imho it will not be long before my output is more than ten sharp sharp 25 year olds


6 posted on 04/20/2023 8:46:48 PM PDT by ckilmer (q)
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To: anthropocene_x

Big companies will just headhunt instead of doing their own research and development, while the smaller companies will become non-competitive.


7 posted on 04/20/2023 9:35:55 PM PDT by VanShuyten ("...that all the donkeys were dead. I know nothing as to the fate of the less valuable animals)
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To: anthropocene_x

What’s wrong with an NDA instead of NCO? It’s just as thorough, if not perhaps a bit more so if it’s detailed enough.


8 posted on 04/21/2023 2:06:32 AM PDT by Tacrolimus1mg (Do no harm, but take no sh!t.)
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To: anthropocene_x

This is bypassed by working at a friends company or elsewhere for a month and then moving


9 posted on 04/21/2023 2:08:46 AM PDT by Cronos
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To: anthropocene_x
As long as the original company offers compensation for a non-compete or non-disclosure agreement, and the former employee signs it, why would this even be an issue?

If future employees do not like the agreement, they can say no thank you and look for another job.

Another compelling reason for small business to invest in Artificial Intelligence and Labor Saving technology.

10 posted on 04/21/2023 3:22:18 AM PDT by zeestephen (43,000)
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To: unclebankster

Yep. China probably already has their damn trade secrets. Some temp staffing agencies have no-competes too. What trade secrets are they protecting? It’s just to keep former employees from competing with them as independent contractors. It’s bs.


11 posted on 04/21/2023 4:11:21 AM PDT by virgil (The evil that men do lives after them )
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To: unclebankster

” the trade secret excuse is a joke in an globalist world with foreigners ‘hanging all over’ public & private institutions like monkeys in a tree.”


This was never about Trade Secrets (in the vast majority of cases).

I spent 40 years in the wholesale hardware distribution industry. With 2 privately held companies. I never signed a no compete clause. I wore a lot of hats over that period of time. (at one point I had a VP title)

BUT, I did refuse to sign an intellectual property clause for 3 job interviews during my life. In all cases they included a clause that if I had an idea during my employment with the company, a patent that might grow from it was company property. I was NOT an engineer, nor chemist.

I never regretted telling them no.


12 posted on 04/21/2023 7:17:25 AM PDT by Texas Fossil (Texas is not where you were born but a State of Heart, Mind and Attitude.)
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To: ckilmer

imho it will not be long before my output is more than ten sharp sharp 25 year olds
= = =

I’ll submit your output to AI and ask it for a one-word summary.

Them put them on a slide show.

Let’s just streamline this whole production process.


13 posted on 04/21/2023 8:20:55 AM PDT by Scrambler Bob
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