Juan Moyano/Stocksy
Summary.
A ban on noncompetes, like the one proposed in the U.S. by the Federal Trade Commission, is not just good for workers. It’s good for companies and innovation in the long run. By letting workers share in the benefits of their innovations, a ban on noncompetes would motivate them to work harder, make it easier for them to start new companies, and make the overall economy more dynamic and competitive.The FTC’s announcement that it plans to adopt a rule banning noncompetes nation-wide should be understood as more than simply a move to protect workers, although it is that. It’s also a big step forward for competition and innovation, and it will make businesses stronger in the long run.