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Freedom To Compete Act of 2023

12/15/2023, 4:05 PM

Summary of Bill S 379

The Freedom To Compete Act of 2023, also known as Bill 118 s 379, is a piece of legislation currently being considered by the US Congress. The main goal of this bill is to promote fair competition in the marketplace by addressing non-compete agreements that restrict employees from working for a competitor after leaving their current job.

Under the Freedom To Compete Act, employers would be prohibited from enforcing non-compete agreements against low-wage workers, interns, and independent contractors. These agreements would also be limited in duration and scope for other employees, with the goal of allowing workers more freedom to seek better job opportunities without being unfairly restricted by their current employer.

Additionally, the bill includes provisions to increase transparency around non-compete agreements, requiring employers to disclose the terms of these agreements to employees before they are hired or as a condition of continued employment. This is aimed at ensuring that workers fully understand the restrictions placed on them and can make informed decisions about their career paths. Overall, the Freedom To Compete Act of 2023 seeks to level the playing field for workers and promote a more competitive and dynamic job market. It is currently being debated in Congress, with supporters arguing that it will empower workers and stimulate innovation, while opponents raise concerns about potential negative impacts on businesses and the economy.

Congressional Summary of S 379

Freedom to Compete Act of 2023

This bill prohibits an employer from enforcing, or threatening to enforce, any non-compete agreement in employment contracts with certain entry level, lower wage workers. A non-compete agreement entered into before the enactment of this bill shall be void and have no effect.

Current Status of Bill S 379

Bill S 379 is currently in the status of Bill Introduced since February 9, 2023. Bill S 379 was introduced during Congress 118 and was introduced to the Senate on February 9, 2023.  Bill S 379's most recent activity was Read twice and referred to the Committee on Health, Education, Labor, and Pensions. as of February 9, 2023

Bipartisan Support of Bill S 379

Total Number of Sponsors
1
Democrat Sponsors
0
Republican Sponsors
1
Unaffiliated Sponsors
0
Total Number of Cosponsors
2
Democrat Cosponsors
2
Republican Cosponsors
0
Unaffiliated Cosponsors
0

Policy Area and Potential Impact of Bill S 379

Primary Policy Focus

Labor and Employment

Alternate Title(s) of Bill S 379

Freedom To Compete Act of 2023
Freedom To Compete Act of 2023
A bill to amend the Fair Labor Standards Act of 1938 to prevent employers from using non-compete agreements in employment contracts for certain non-exempt employees.

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