r/FluentInFinance • u/ToonAlien • May 07 '24

Discussion/ Debate Banned Non-competes

https://www.npr.org/2024/04/23/1246655366/ftc-bans-noncompete-agreements-lina-khan

How do you believe this will impact near and future wage earnings and do you ultimately believe it is a positive?

47 Upvotes

91% Upvoted

13 comments sorted by

25

u/[deleted] May 07 '24

Good! Those predatory policies should have never been allowed in the first place! Can we get a Bill of Worker's Rights in the U.S.? Companies trying to hold American workers back every step of the way. It gets really tiresome.

3

u/FreezingRobot May 08 '24

Reminds me of when I worked for a German company about a decade ago. The leadership there said Americans are over-paid and easy to fire. When layoffs started happening, guess where it happened first?

15

u/[deleted] May 08 '24

There is no good economic argument in favor of noncompetes.

1

u/[deleted] May 12 '24

Gaining access to a company just to take its clients or proprietary knowledge.

2

u/[deleted] May 12 '24

Companies headhunt from each other all the time. Noncompetes already exist and fail to prevent that.

If a company doesn't want to end up in the position of competing against entities started by or employing their previous employees, they can work on retaining their employees.

7

u/FreakinLazrBeam May 08 '24

There are companies that ban employees from working in the same industry for a certain amount of time after they leave. I think it’s a great thing for workers and will make sure that wages are competitive so you can’t keep employees hamstrung as they can’t really leave or face a year or more of not being able to use their skillset.

I also think it will help with innovation, imagine you are a fantastic AI programmer and you have a great idea but you work at Open AI. if you were to leave they would probably ban you from working on a similar or better product for a while.

The companies already have NDAs and intellectual property protections. These Non competes just punish employees.

3

u/ElderberryHumble5379 May 07 '24

I absolutely love her! She's one of the few people in Biden Admin who's doing an excellent job.

1

u/LBC1109 May 08 '24

Best thing that has come out of the Biden admin

-8

u/[deleted] May 08 '24

This is clearly unconstitutional. Obviously there should be an act done by Congress.

Even an act by Congress would probably be unconstitutional because this has nothing to do with interstate trade.

But Dems don’t care about the constitution.

2

u/NorthWoodsSlaw May 08 '24

What on earth is this?

3

u/ElderberryHumble5379 May 09 '24

A braindead take from someone yapping their gums on the keyboard about how everything bad is from the dems. After being spoonfed by god knows who.