The American Hospital Association (AHA) and Federation of American Hospitals (FAH) have filed an amici curiae brief in the lawsuit attempting to overturn a May 2024 Federal Trade Commission rule banning most non-compete restrictions on employees.
The healthcare industry said that it faces severe skilled labor shortages that differ between nonprofit and taxpaying hospitals, which could result in "significant distortions" in competition.
The case, known as Ryan LLC, et al. v. Federal Trade Commission, is a lawsuit attempting to overturn the FTC's non-compete rule that says such restrictions are "an unfair method of competition" between companies. The agency pointed to "empirical research showing that they tend to harm competitive conditions in labor, product, and service markets" and has estimated such contracts cover one in five workers.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.