A bipartisan group of Congressional lawmakers has introduced the Workforce Mobility Act of 2023, legislation that would largely ban the use of noncompete agreements in employment nationwide.
Previously introduced in 2018, 2019 and 2021, it was recently reintroduced in the U.S. Senate by Sens. Christopher Murphy, D-Conn., and Todd Young, R-Ind., and is co-sponsored by Sens. Tim Kaine, D-Va., and Kevin Cramer, R-N.D.
U.S. Reps. Scott Peters, D-Calif., and Mike Gallagher, R-Wis., introduced the legislation in the U.S. House of Representatives.
President Joe Biden also called for an end to noncompete agreements in his recent State of the Union address.
We've rounded up articles from SHRM Online and other outlets to provide more context on the news.
The Workforce Mobility Act of 2023
If enacted, the bill would narrow the use of noncompete agreements to include only necessary instances of a dissolution of a partnership or the sale of a business; charge the Federal Trade Commission (FTC) and the Department of Labor with enforcement; make explicit a private right of action in federal court; and require employers to make their employees aware of the limitation on noncompetes. The bill does not prevent the use of confidentiality agreements protecting trade secrets or nonsolicitation clauses.
Feds Push to End Noncompete Agreements
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