Workers Won’t Have to Pay Firms for Training Under FTC Proposal
- Proposal under consideration would ban noncompetes nationwide
- Training repayments force workers to reimburse employer
Federal Trade Commission Chair Lina Khan
Photographer: Al Drago/BloombergThis article is for subscribers only.
The US Federal Trade Commission’s proposed non-compete ban would apply to deals where workers are forced to pay back their companies for training, the agency’s chair Lina Khan said Friday.
The antitrust and consumer protection agency has proposed a rule to ban non-competes nationwide – clauses that prohibit workers from switching jobs within an industry – and is accepting public comments through next week. The FTC’s proposal covers both non-competes and provisions that have the same effect, Khan said in remarks at a Chicago conference.