ALBANY, NY – New York's governor vetoed a bill days before Christmas that would have banned non-compete agreements that restrict workers' ability to leave their jobs for a role at a rival business. The veto is a blow to labor groups, who have long argued that the agreements harm workers and stifle economic growth. While the agreements are often tied to top executives, according to the Federal Trade Commission, about 1 in 5 American workers – about 30 million people – are now bound by non-compete agreements. The Federal Trade Commission has proposed its own rule to eliminate all non-compete agreements nationwide, under the idea that they unfairly reduce competition. Rahbar described California as “the epicenter of American innovation” and credited the state's long-standing ban on non-compete agreements.

Source: ABC News December 24, 2023 01:41 UTC