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Proposed End to Non-Compete Clauses Could Mean Better Worker Wages

Wednesday, May 15th, 2024 -- 9:01 AM

(Bob Hague, Wisconsin Radio Network) A proposed end to non-compete clauses could mean better wages for workers.

According to Bob Hague with Wisconsin Radio Network, UW-Madison management professor Martin Ganco says the Federal Trade Commission ruled those clauses stifle competition. Those clauses have been increasingly used in industries that don’t need them like food service and retail.

Ganco says non-competes allow companies to lock employees in place without offering competitive wages. The rule is set to take effect in September, but there are already several lawsuits pending against it.

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