The FTC's decision to ban noncompete agreements could make it easier for doctors and other healthcare workers to switch jobs. But business groups say they will sue to block it.
The Federal Trade Commission voted Tuesday to ban noncompete agreements, possibly making it easier for doctors to switch employers without having to leave their communities and patients behind. But business groups have vowed to challenge the decision in court.supporting measures to improve economic competition, in which he urged the FTC to consider its rulemaking authority to address noncompete clauses that unfairly limit workers' mobility.
The FTC received more than 26,000 comments on noncompetes during the public feedback period, with about 25,000 supporting the measure, said Benjamin Cady, JD, an FTC attorney., providers with aggressive noncompetes must abandon the community that they serve if they to leave their employer. Healthcare providers feel trapped in their current employment situation, leading toby cumbersome noncompetes, often having to move out of state to practice.
"We want to be transparent about the limitation and recognize there are workers, especially healthcare workers, who are bound by anticompetitive and unfair noncompete clauses, that our rule will struggle to reach," she said. To cover nonprofit healthcare employees, Slaughter urged Congress to pass legislation banning noncompetes, such as the
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