The agency estimated that the rule could increase wages by nearly $300 billion a year across the economy. Evan Starr, an economist at the University of Maryland who has studied noncompetes, said that was a plausible wage increase following their elimination.
. . .
About half of states significantly constrain the use of noncompetes, and a small number have deemed them largely unenforceable, including California.
But even in such states, companies often include noncompetes in employment contracts, and many workers in these states report turning down job offers partly as a result of the provisions, suggesting that these state regulations may have limited effects. Many workers in those states are not necessarily aware that the provisions are unenforceable, experts say.
A friend of mine got a non-compete clause in his contract as an SAT tutor, a job that also claimed he was an “independent contractor” and not an employee. Yes, it’s extremely contradictory and illegal to inhibit the independence of an “independent contractor” like that. Yes, they do it anyway.
