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On June 2, 2021, US President Joe Biden leaves the White House after giving an update on his administration’s coronavirus disease (COVID-19) response at the Eisenhower Executive Office Building’s South Court Auditorium. Carlos Barria/File Photo/REUTERS Reuters, 7 July – According to White House press secretary Jen Psaki, an imminent executive order from US President Joe Biden will target noncompete agreements. Noncompete agreements prevent individuals from leaving one employer to pursue a possibly better-paying one at a competitor. They have been praised in areas where workers receive considerable training, but have been chastised in industries where workers are less skilled. “The executive order will direct the FTC (Federal Trade Commission) to create guidelines that will aid in the curtailment of (these) agreements,” Psaki added. “Over 30 million people are affected by the fact that over half of private sector enterprises require at least some employees to sign noncompete agreements. Construction workers, hotel workers, and many blue collar workers are affected, not just high-level executives “Psaki stated. “He (Biden) believes that if a better job is offered, you should be able to accept it.” According to Psaki, the directive would also direct the FTC to create rules against the use of needless occupational license agreements. The effect of the practice on workers has been investigated by the FTC. The Federal Trade Commission (FTC) has been investigating whether businesses may require occupational licensing and which utilize licensing to limit competition. Trevor Hunnicutt contributed reporting; Diane Bartz and David Shepardson contributed additional reporting; Merdie Nzanga and Doina Chiacu contributed writing. The Thomson Reuters Trust Principles are our standards./nRead More

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