U.S. bans noncompete agreements for nearly all jobs - eviltoast

The Federal Trade Commission narrowly voted Tuesday to ban nearly all noncompetes, employment agreements that typically prevent workers from joining competing businesses or launching ones of their own.

  • randon31415@lemmy.world
    1·
    7 months ago

    Of course, if the company made you sign the non-compete clause, and you try to get hired directly by the company that made you sign it, they could just establish a internal rule saying “don’t hire contractors”. Nothing is forcing them to hire you.

    • Silverseren@kbin.social
      1·
      7 months ago

      I think you misunderstood. The contracting agency has the noncompete clause in their contract. To prevent you from being able to cancel your contract part way through and get a real job at the company you’re being contracted out to.

      • randon31415@lemmy.world
        1·
        7 months ago

        Ah, like a job finding firm that sets you up, takes a percent of the pay - and if you just quit and join the company directly they loose their cut?

        • Silverseren@kbin.social
          1·
          7 months ago

          Yes, exactly. They have a separate clause in their contract that makes it so you can’t be hired at the company you’re being contracted to until you’re most of the way through your contract (or the company has to pay the contracting agency a decent chunk of change if they really want to hire you on early).

          And the noncompete is an additional document to prevent you from just ending your contract early and applying for the real position at the company without that issue.

          Basically the contracting agency trying to get as much money as possible. Even while offering the most minimum of worker benefits they can legally manage.