Mr. Meador said that noncompete agreements have been “overused and abused,” and that the agency should target companies with overly restrictive noncompete agreements in their contracts, according to the report.
“There’s a lot more the FTC can do, including with competition enforcement actions,” he said.
Under former President Joe Biden, the FTC sought to enact a total ban on noncompete agreements through agency rulemaking. This was opposed by Republicans within the agency and remains in litigation after the rule was initially struck down in an August 2024 court decision.
The agency’s chairman, Andrew Ferguson, also said that he would be launching a task force at the FTC to investigate noncompete agreements as well as no-hire and no-poach contracts.
