The Federal Trade Commission voted 3-2 on April 23 to ban on noncompete clauses for most U.S. workers, and several states have since made moves to restrict noncompetes at the state level.
1. In May, Louisiana Gov. Jeff Landry signed a law restricting noncompete clauses for physicians.
Under the new bill, physician contracts can only contain noncompete clauses up to five years depending on physicians' specialties, and if physicians leave a job that has a noncompete in their contract, they would be subject to the the clause for up to two extra years and barred from practicing in as many as three parishes surrounding their employer.
2. Maryland Gov. Wes Moore signed a law prohibiting noncompetes for healthcare professionals April 25.
The Maryland law prohibits noncompetes for individuals who are required to be licensed under Maryland's Health Occupations Article — which includes physicians, physician assistants, nurse practitioners, nurses, dentists, pharmacists, psychologists and optometrists — are employed in a position that provides direct patient care and earn equal to or less than $350,000 a year.
3. In April, Pennsylvania House has passed legislation that would ban noncompete clauses for physicians, certified registered nurse practitioners and physician assistants. The bill was referred to the Senate's Health and Human Services Committee May 1.
Noncompete contracts entered on or after the bill is passed would be void unless the primary employer of the practitioner is located in specified counties, the noncompete is no more than two years or the restriction is less than a 45-mile radius.