# FTC finalizes nationwide ban on most worker noncompete agreements

Date: 2024

On 23 April 2024 the US Federal Trade Commission, chaired by [Lina Khan](/people/econ-lina-khan), voted 3-2 along party lines to issue a final rule banning most noncompete clauses for workers, which the agency estimated bound roughly 30 million Americans. The FTC argued the clauses suppress wages, mobility and new-business formation. The rule was widely covered as a major labour-market intervention but was later stayed and, in August 2024, struck down by a federal court in Texas, so it did not take nationwide effect.

## People

- Lina M. Khan: https://factrail.ai/people/lina-khan

## Drivers

- Cost-of-Living Pressure: https://factrail.ai/drivers/econ-cost-of-living-pressure

## Sources

_Sources are listed on the canonical page._

## Methodology

https://factrail.ai/methodology

Canonical: https://factrail.ai/facts/econ-fact-ftc-noncompete-ban-rule-2024