SIFMA and FIA urged the FTC not to adopt its proposed "Non-Compete Clause Rule," which would effectively prevent employers from implementing non-compete clauses.
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The FTC extended the comment period on a proposed rule banning employers from subjecting their employees to noncompete clauses. The extension is from March 20 until April 19, 2023.
House Republicans criticized the FTC rulemaking proposal to ban noncompete clauses, asserting that the proposal "exceeds its delegated authority and imposes a top-down, one-size-fits-all approach that violates basic American principles of federalism and free markets."
FTC proposed the "Non-Compete Clause Rule," which would prohibit employers from (i) entering into, or attempting to enter into a non-compete clause and (ii) representing to employees that they are subject to a non-compete clause.
The Senate Committee on Commerce, Science and Transportation scheduled a confirmation hearing for President Trump's four FTC nominees.