Latest Trending
Last Updated, Jan 4, 2023, 10:45 PM
U.S. forces glass, security companies to drop noncompete clauses for workers
Share This


Article content

WASHINGTON — Under pressure from the Biden administration, two glass container makers and a security company have agreed to drop noncompete requirements which limited where employees could work if they left their jobs.

The Biden administration also disclosed on Wednesday that the Federal Trade Commission (FTC), which enforces antitrust law, plans to propose a rule barring companies from imposing the provisions on workers, according to a public notice that offered few details.

Advertisement 2

Article content

Article content

The FTC said on Wednesday that Ardagh Glass S.A. and O-I Glass Inc, the two largest U.S. glass container makers, had agreed to scrap their noncompete agreements, which affected more than 1,700 workers. Ardagh typically barred former workers from being employed by another similar company for two years while O-I Glass said the company had to give written consent for former workers to take new jobs in the industry, the FTC said.

The agency said the complaints in the case were the first that it had filed to stop what it described as “unlawful noncompete restrictions.”

Prudential Security, Inc and Prudential Command, two affiliated companies which have sold much of their business, also agreed to end enforcement of noncompete provisions in employment contracts.

Advertisement 3

Article content

Ardagh and O-I Glass did not immediately respond to requests for comment. Titan Security, which acquired Prudential Security, said it does not use noncompete agreements and supported dropping them.

The actions against the companies coupled with the rule announcement show the Biden administration is stepping up efforts to boost worker protections.

U.S. antitrust agencies, including the FTC, have pursued companies that limited workers’ opportunities but the Biden administration has put more emphasis on the issue.

FTC Commissioner Rebecca Slaughter said in 2020 that surveys have estimated that noncompete provisions covered 16% to 18% of all U.S. workers. She said that 12% of workers earning less than $20,000 per year are subject to the provisions. (Reporting by Diane Bartz and David Shepardson; Editing by Josie Kao)

Advertisement

Comments

Postmedia is committed to maintaining a lively but civil forum for discussion and encourage all readers to share their views on our articles. Comments may take up to an hour for moderation before appearing on the site. We ask you to keep your comments relevant and respectful. We have enabled email notifications—you will now receive an email if you receive a reply to your comment, there is an update to a comment thread you follow or if a user you follow comments. Visit our Community Guidelines for more information and details on how to adjust your email settings.

24World Media does not take any responsibility of the information you see on this page. The content this page contains is from independent third-party content provider. If you have any concerns regarding the content, please free to write us here: contact@24worldmedia.com

Latest Post

5 Characteristics of Truth and Consequences in NM

Last Updated,Sep 30, 2024

How To Make Your Wedding More Accessible

Last Updated,Sep 11, 2024

Ensure Large-Format Printing Success With These Tips

Last Updated,Sep 11, 2024

4 Reasons To Consider an Artificial Lawn

Last Updated,Sep 11, 2024

The Importance of Industrial Bearings in Manufacturing

Last Updated,Sep 11, 2024

5 Tips for Getting Your First Product Out the Door

Last Updated,Sep 11, 2024

Most Popular Metal Alloys for Industrial Applications

Last Updated,Sep 6, 2024

5 Errors To Avoid in Your Pharmaceutical Clinical Trial

Last Updated,Aug 20, 2024

Ways You Can Make Your Mining Operation Cleaner

Last Updated,Aug 12, 2024

Tips for Starting a New Part of Your Life

Last Updated,Jul 16, 2024

Easy Ways To Beautify Your Home’s Exterior

Last Updated,Jun 18, 2024

Tips for Staying Competitive in the Manufacturing Industry

Last Updated,May 3, 2024