The evidence and analysis of monopsony power, including but not limited to, in labor markets #FTC-2018-0054-D-0013

Submission Number:
FTC-2018-0054-D-0013
Commenter:
Kevin Johnson
State:
Massachusetts
Initiative Name:
The evidence and analysis of monopsony power, including but not limited to, in labor markets
RE 7.d. the use of non-competition agreements and the conditions under which their use may be inconsistent with the antitrust laws: Noncompetes have the same anticompetitive effect on labor markets as illegal no-poaching agreements, which some companies may use because they're less expensive to enforce than noncompetes. I understand that settlement agreements in noncompete cases often specify that the defending company won't hire employees of the complainant, which is a no-poaching agreement that should be illegal. Competitors that employ workers with narrow, specialized skills can form what's effectively an employer trust by all having their workers sign noncompetes that effectively prevent those workers from using their specialized skills elsewhere for a year or more.