As we previously reported, here, the Federal Trade Commission (FTC) voted to issue a final rule (the “Rule”) that would prevent most employers from enforcing noncompete agreements against workers, with only limited exceptions for existing noncompetes with senior executives and noncompetes made in connection with the bona fide sale of a business.… Continue Reading
Leslie E. John
FTC Votes to Ban Noncompete Agreements in Employment Contracts
The Federal Trade Commission (FTC) voted yesterday to issue a final rule that will prevent most employers from enforcing noncompete agreements against workers, with only limited exceptions for existing noncompetes with senior executives and noncompetes made in connection with the bona fide sale of a business. Employers must review existing and prospective employment agreements and revise them to comply with the new rule, which, unless enjoined by a court, will go into effect 120 days after publication in the Federal Register, expected in the coming days.… Continue Reading
Draft Merger Guidelines Demonstrate Continued Focus of DOJ and FTC on Labor Market
The Federal Trade Commission (FTC) and Department of Justice (DOJ) have taken steps to update the Merger Guidelines and overhaul the premerger notification process, each with a sharpened focus on the effect a merger may have on labor markets.
Companies will need to consider the impact of potential mergers on labor markets.… Continue Reading
Pennsylvania Labor Organizations File Antitrust Complaint Regarding University of Pittsburgh Medical Center
Two labor organizations, SEIU Healthcare Pennsylvania (SEIU) and the Strategic Organizing Center (SOC), have lodged a public complaint with the Department of Justice (DOJ) alleging that the University of Pittsburgh Medical Center (UPMC) has wrongfully exercised its power as the largest private sector employer in Pennsylvania to “suppress workers’ wages and benefits, drastically increase their workloads, and prevent workers from exiting or improving these working conditions through a draconian system of mobility restrictions and widespread labor law violations that lock in sub-competitive pay and working conditions.” … Continue Reading
FTC Seeks to Ban Noncompete Agreements
Following the Federal Trade Commission’s announcement late last year that the Agency would use Section 5 of the FTC Act to police aggressively conduct it deems unfair (see our Legal Alert), the Agency kicked off the New Year with two actions aimed at banning non-compete agreements between employers and workers. … Continue Reading
DOJ Secures First Win in Criminal No Poach Action
On October 27, 2022, VDA OC, LLC, (VDA) a Nevada health care staffing company, pleaded guilty to participating in a conspiracy to suppress and eliminate competition for the services of school nurses. According to the plea, VDA and an unnamed competitor agreed not to recruit or hire each other’s nurses and to refrain from raising wages of the nurses.… Continue Reading