Wall Street Is Fighting New York’s Ban on Non-Compete Agreements

Last month, New York lawmakers approved one of the nation’s toughest bans on non-compete agreements. While the measure awaits Governor Kathy Hochul’s signature, lobbying groups from the finance industry and other business associations have gone to work pushing for exceptions.

The fight in New York comes as the Biden administration is working for a national plan to eliminate the contracts, which prohibit workers from going to a competing firm within a prescribed period of time. Businesses argue they protect intellectual property, trade secrets and costly investments in staff. Opponents say the forced time out hinders workers’ career progression and curbs how much they could earn.