In January, the Federal Trade Commission issued a proposed rule that would prohibit all employers nationwide from imposing non-compete clauses on workers, and making the rule retroactive, meaning all pre-existing non-compete agreements would become invalid and unenforceable as well. Arguing that non-compete agreements significantly reduce workers’ wages, this is one of the most aggressive steps taken by the federal government to insert itself into an area previously completely controlled by state law. Labor & Employment Practice Group member Allen L. Hutson provides an overview of the rules on non-compete agreements nationwide and in Oklahoma, breaks down the FTC’s proposed rule and the industries it applies to, and discusses the myriad of challenges it may face during and after the public comment period, including the application of the U.S. Supreme Court’s “Major Questions” doctrine.
About Allen L. Hutson
Addition Resources: Are Non-Compete AGreements on the Chopping Block?
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