Obama encourages ban on non-compete agreements for some workers

On Tuesday, the White House called on US states to ban non-compete agreements for certain workers, arguing that the contract conditions interfere with their job mobility and suppress wages. 

By seeking an end to non-compete agreements for low-wage employees who are not privy to trade secrets, the Obama administration hopes to make a more competitive labor market, support faster wage growth, and prevent workers from being put in situations where it’s difficult to get a new job.

“We have the most dynamic, productive workers in the world, but they can’t reach their true potential without freedom to negotiate for a higher wage with a new company, or to find another job after they’ve been laid off,” Vice President Joe Biden said in a statement. READ MORE.

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