your non-compete agreement is now illegal (or it will be in 4 months)
The Federal Trade Commission yesterday banned non-compete agreements for most U.S. workers, saying that they stifle wages.
The ruling not only makes non-competes illegal, but it also requires employers to to inform employees with existing non-competes that they are null and void. An exception was carved out for senior executives; the ruling would allow non-competes only for that small group.
The ruling is slated to take effect in 120 days … but court challenges from business groups are expected.
Meanwhile, non-competes have already been banned in California, North Dakota, and Oklahoma, and 11 more states and Washington, D.C. prohibit them for hourly wage workers or workers below a salary threshold.
