Workforce Mobility Act of 2023

The Workforce Mobility Act of 2023 prohibits most noncompete agreements between employers and workers, directly affecting an estimated 20% of U.S. workers covered by such restrictions. It bans agreements that restrict workers from changing jobs, moving geographically, or working in similar roles after employment ends, with narrow exceptions for business sales (including senior executives with severance agreements limited to one year) and partnership dissolutions. The bill preserves protections for trade secrets and requires employers to post notices about the law, while enforcement falls to the Federal Trade Commission and Department of Labor. This policy change aims to increase worker mobility and wage growth by eliminating broad restrictions that limit employment options.