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Employment Contracts

Proposed bill aims to protect older workers

The Protecting Older Americans Act is a bipartisan bill co-sponsored by Senators Kirsten Gillibrand (D-NY) and Lindsey Graham (R-SC) that would amend the Federal Arbitration Act to invalidate any pre-dispute mandatory arbitration agreements for older workers covered by the Age Discrimination in Employment Act.

SHRM: HR opposes FTC’s ban on noncompetes

The Society for Human Resource Management has filed a friend-of-the-court brief in a lawsuit that seeks to overturn the Federal Trade Commission’s blanket prohibition on noncompete agreements.

4 questions and answers about FTC’s new noncompete ban

On April 23, the Federal Trade Commission issued a final rule that bans almost all new noncompete agreements and makes existing ones unenforceable. FTC documents say the ban is necessary because requiring employees to sign noncompete agreements amounts to illegal restraint of trade.

FTC bans almost all noncompete agreements

Almost all noncompete agreements will be banned under a final rule approved April 23 by the Federal Trade Commission. The rule will take effect 120 days after it is published in the Federal Register, which should happen within a week.

Regulate your use of noncompete agreements before the government does it for you

Legally speaking, to be enforceable, a post-employment restrictive covenant must be narrowly tailored by time, geography and a reasonable business interest worthy of protection. Yet, like a recent example, all too often employers require too many employees to sign overly broad and overly restrictive agreements. It’s bullying and a scare tactic.

Prepare for FTC, states to ban noncompete agreements

Typically state-regulated, noncompetes must cover a reasonable geographic area, be specific about the kind of work covered and expire after a reasonable time period. But the Biden administration generally views noncompete agreements as inherently anti-competitive and unfair when applied to workers in low-wage positions.

NLRB moves to ban noncompetes, but options remain

In a memo to the agency’s regional directors, NLRB General Counsel Jennifer Abruzzo announced her conclusion that including noncompete agreements in employment and severance agreements violates the National Labor Relations Act.

Summer’s here and so are new employment laws

Summertime is often when new employment laws take effect, and this summer is no exception.

Supreme Court ruling streamlines process for resolving disputes via arbitration

In a move that may cut legal costs for employers that still use arbitration agreements, the U.S. Supreme Court ruled June 23 that questions about arbitration terms must be decided before a lawsuit filed in federal court can proceed.

Employees can tell it like it is (or isn’t)

The National Labor Relations Board has issued a broad decision invalidating these non-disclosure and non-disparagement agreements when offered in conjunction with severance pay in a union setting. Even offering a severance package contingent on employees signing these agreements is out of bounds, according to the decision.