JohnEngelman
Virgin
- Joined
- Jan 8, 2022
- Posts
- 3,771
Thursday, April 13, 2023
FTC Chair Lina Khan joins Small Business Majority for a listening session on the harm non-compete agreements inflict on small business growth and entrepreneurship
Washington, D.C. – Today, Lina M. Khan, Chair of the Federal Trade Commission (FTC), joined Small Business Majority, small business owners, and business organizations for a listening session to discuss the negative impact of non-compete agreements on small businesses. The FTC has proposed to ban most non-compete agreements citing that they impede free and fair entrepreneurship, reduce competition, suppress wages and keep innovative ideas from breaking into the market. New Small Business Majority research, also released today, confirms that nearly 6 in 10 small businesses support this ban, while only 14% oppose it.
.
Non-compete agreements hinder entrepreneurship, create a non-level playing field and suppress the ability of employees to maximize their skills. Our new research finds that more than 1 in 3 small business owners were prevented from hiring an employee due to a non-compete agreement, and nearly half say they have been subject to a non-compete agreement that prevented them from starting or growing a business. But even before the FTC's proposed rule, Small Business Majority research reported that more than half of small businesses found non-competes to be a serious issue.
https://smallbusinessmajority.org/p...MI6qb7yobbhQMVlU1HAR01zwwNEAAYAiAAEgL7W_D_BwE
-------------
Outlawing non compete agreements is an issue that clearly enables the Democratic Party to defend the interests of the vast majority of the U.S. population against a small minority of well paid business executives in major corporations.
A non compete agreement requires a job applicant with a big corporation to promise not to work for a competitor of the corporation until the applicant has been away from the big corporation for a specified amount of time, often half a year.
The rationale behind this is that the employee may take trade secrets to the business competitor. How many of us have learned trade secrets from the corporation we work for now? What we have is work experience that another company performing the same jobs may pay us more for.
Non compete agreements turn employees into the modern equivalent of indentured servants, who are tied to their present employers.
If you're an employee it is in your interest for your boss to be constantly afraid that you will get a better paying job somewhere else. Who will give you that better job but a competitor of your employer? That is where your experience is.
FTC Chair Lina Khan joins Small Business Majority for a listening session on the harm non-compete agreements inflict on small business growth and entrepreneurship
Washington, D.C. – Today, Lina M. Khan, Chair of the Federal Trade Commission (FTC), joined Small Business Majority, small business owners, and business organizations for a listening session to discuss the negative impact of non-compete agreements on small businesses. The FTC has proposed to ban most non-compete agreements citing that they impede free and fair entrepreneurship, reduce competition, suppress wages and keep innovative ideas from breaking into the market. New Small Business Majority research, also released today, confirms that nearly 6 in 10 small businesses support this ban, while only 14% oppose it.
.
Non-compete agreements hinder entrepreneurship, create a non-level playing field and suppress the ability of employees to maximize their skills. Our new research finds that more than 1 in 3 small business owners were prevented from hiring an employee due to a non-compete agreement, and nearly half say they have been subject to a non-compete agreement that prevented them from starting or growing a business. But even before the FTC's proposed rule, Small Business Majority research reported that more than half of small businesses found non-competes to be a serious issue.
https://smallbusinessmajority.org/p...MI6qb7yobbhQMVlU1HAR01zwwNEAAYAiAAEgL7W_D_BwE
-------------
Outlawing non compete agreements is an issue that clearly enables the Democratic Party to defend the interests of the vast majority of the U.S. population against a small minority of well paid business executives in major corporations.
A non compete agreement requires a job applicant with a big corporation to promise not to work for a competitor of the corporation until the applicant has been away from the big corporation for a specified amount of time, often half a year.
The rationale behind this is that the employee may take trade secrets to the business competitor. How many of us have learned trade secrets from the corporation we work for now? What we have is work experience that another company performing the same jobs may pay us more for.
Non compete agreements turn employees into the modern equivalent of indentured servants, who are tied to their present employers.
If you're an employee it is in your interest for your boss to be constantly afraid that you will get a better paying job somewhere else. Who will give you that better job but a competitor of your employer? That is where your experience is.
