Workforce Mobility Act of 2025
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Senate
- Passed House
- To President
- Became Law
Overview
The Workforce Mobility Act of 2025 aims to limit the use of noncompete agreements, which are contracts that restrict a worker’s ability to work for a competitor after leaving a job. The bill prohibits most noncompete agreements, with limited exceptions related to business sales and senior executive agreements. It also establishes a process for enforcement by the Federal Trade Commission and the Department of Labor, and includes provisions for public awareness and state attorneys general to intervene in cases where residents are harmed.
Key provisions
- Prohibits most noncompete agreements for employees.
- Allows exceptions for business sales involving the sale of goodwill or ownership interests, and for senior executive agreements with specific conditions.
- Creates exceptions for partnership dissolutions and disassociations.
- Establishes a process for the Federal Trade Commission and the Department of Labor to enforce the ban.
- Requires employers to post notice of the law’s provisions.
- Allows state attorneys general to take action on behalf of residents if harmed by noncompete agreements.
- Defines key terms related to the bill, such as ‘business entity’ and ‘noncompete agreement.’
- Preserves the ability to protect trade secrets and confidential information through other means.
Who is affected
- Employees
- Employers
- Businesses
- Workers
- Job seekers
Bill text
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Sponsors
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4 on record
Primary sponsor
Cosponsors
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