How the FTC's ban on noncompetes will shake up healthcare workforce strategies

How the FTC's ban on noncompetes will shake up healthcare workforce strategies
Healthleaders; by Jay Asser; 4/25/24
CEOs will have to adjust their strategies to maintain their workforce if the final rule stands.
Key Takeaways:

• In a seismic decision impacting providers, the FTC passed a 3-2 vote to ban employers from using noncompete clauses.
• However, the FTC’s lack of jurisdiction on nonprofits means that the rule may only apply to for-profit entities, potentially creating an uneven playing field and negative outcomes for both types of organizations.
• Healthcare leaders will have to recalibrate their recruitment and retention efforts as the competition for talent will become even more robust.

Editor's Note: For detailed information about how this will apply to some nonprofits, see "How the FTC noncompete ban affects nonprofit providers" in our newsletter today.