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by hnburnsy 783 days ago
>With respect to existing non-competes, i.e., non-competes entered into before the final rule’s effective date, the Commission adopts a different approach for senior executives than for other workers. Existing non-competes with senior executives can remain in force; the final rule does not cover such agreements.

>The final rule allows existing non-competes with senior executives to remain in force because this subset of workers is less likely to be subject to the kind of acute, ongoing harms currently being suffered by other workers subject to existing non-competes and because commenters raised credible concerns about the practical impacts of extinguishing existing non-competes for senior executives. For workers who are not senior executives, existing non-competes are no longer enforceable after the final rule’s effective date Employers must provide such workers with existing non-competes notice that they are no longer enforceable.

https://www.ftc.gov/system/files/ftc_gov/pdf/noncompete-rule...