Should the FTC Ban Non-compete Clauses?
Open to Debate
Open to Debate
4.6 • 2.2K Ratings
🗓️ 24 March 2023
⏱️ 50 minutes
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| 0:00.0 | Hi everybody, I'm John Donbass. |
| 0:05.1 | Welcome to Intelligent Squared. |
| 0:10.0 | And in this debate, we are going to discuss something that may well be now or someday |
| 0:15.3 | part of your work life. |
| 0:17.3 | The non-compete. |
| 0:19.1 | What is a non-compete? |
| 0:20.3 | Well, a reported one out of five American workers are required by their employers to |
| 0:25.5 | sign non-compete agreements when they start a new job. |
| 0:29.2 | And that agreement then bars that employee, if he or she leaves the job, from going to |
| 0:34.4 | work for the competition. |
| 0:36.3 | As many as 30% of all US private sector workers have signed such agreements, which actually |
| 0:42.1 | find their roots all the way back in 15th century England. |
| 0:46.5 | These clauses generally are active just for a limited period of time, say a number of |
| 0:49.8 | years, and very often apply to a specific geographic area. |
| 0:54.7 | For the employers, it's protection. |
| 0:56.4 | They have invested in an employee, they have trained that employee, they have shared business |
| 1:00.0 | secrets with that employee, and the non-compete removes the risk the employee will take all |
| 1:04.6 | of that to the competition. |
| 1:06.5 | The Biden administration, through the Federal Trade Commission, has made it clear it wants |
| 1:10.2 | to get rid of non-compete clauses by outlawing them everywhere across the board, asserting |
| 1:15.7 | that they are just not fair to workers. |
| 1:18.1 | Much of the business world calls that a mistake, saying that non-compete may common sense, |
... |
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