The new federal rules banning most noncompete agreements in work contracts are generating a lot of questions. Let's start with the big issue: Will the Federal Trade Commission move even be declared legal?
Within 24 hours of the FTC announcement, the U.S. Chamber of Commerce and other groups had sued to stop it.
About 30 million American workers are now covered by noncompete agreements, which FTC officials say are too broad and restrict workers' abilities to take better jobs.
Dan Regovich of plastics search and recruiting firm AJ Augur Group LLC writes in a perspective column for Plastics News that he's skeptical about FTC claims about the number of jobs that could be created by eliminating the agreements, but also adds that most of them are one-sided in favor of employers.
"The ironic thing is that many companies want to hire from their competition but frown upon their employees leaving for the competition," he writes. "They will often do what they can to maneuver around a candidate's noncompete, yet have strict noncompetes themselves."
Investing in efforts to enforce the agreements would be better off creating a workplace employees don't want to leave, he adds.