Biden Executive Order on Competition Targets Labor Markets, Including Non-Compete Agreements and Information Sharing
July 23, 2021
On July 9, 2021, President Joe Biden signed a sweeping Executive Order on “Promoting Competition in the American Economy”. The Executive Order includes 72 initiatives by more than a dozen federal agencies to address perceived competition problems across the U.S. economy, and signals increased enforcement of the antitrust laws in multiple industries (including agriculture, finance, healthcare, and technology). For employers, the Executive Order targets competition in labor markets in at least two ways by (1) directing the Federal Trade Commission (“FTC”) to consider curtailing the use of non-compete agreements; and (2) directing the FTC and the Department of Justice (“DOJ”) to consider revising their previous guidance to human resources professionals to prevent employers from sharing information about wages and benefits.