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In January 2023, the Federal Trade Commission (FTC) issued a proposed rule that would ban most noncompete agreements throughout the United States. After receiving more than 26,000 public comments, this past April the FTC voted 3-2 to approve a final rule. The final rule covers any type of worker, including employees and independent contractors. Any existing noncompete agreement for a "senior executive" (defined as a worker earning more than $151,164 who is in a "policy-making position") could remain in force, but no new compete-agreements would be permitted for any workers.

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