The Justice Department and Federal Trade Commission (FTC) today jointly issued Antitrust Guidelines for Business Activities Affecting Workers. The guidelines, which replace the 2016 Antitrust Guidance for Human Resource Professionals, explain how the Justice Department and FTC identify and assess the antitrust risks of business practices affecting workers.“For more than a century, the antitrust laws have protected workers from unlawful schemes, abuses of bargaining power, and restrictions on their mobility,” said Acting Assistant Attorney General Doha Mekki of the Justice Department’s Antitrust Division. “The Antitrust Division will continue to work with its federal and state partners to ensure the economic freedom and opportunity of American workers and their families.”The guidelines provide examples and cite cases to explain how the agencies analyze business practices that may violate the antitrust laws, such as information sharing, restrictions on worker mobility, abuses of bargaining power and other restrictive, exclusionary or predatory employment conditions. The guidelines also explain that certain types of agreements between employers, such as wage-fixing or no-poach agreements, may expose companies and executives to criminal liability under the antitrust laws.The agencies encourage members of the public to report potential antitrust violations, and the guidelines provide information on how to submit these complaints.
Brief
On January 16, 2025, the US Department of Justice (Antitrust Division) issued an update regarding "Justice Department and Federal Trade Commission Issue Antitrust Guidelines on Business Practices that Impact Workers". The guidelines replace the 2016 guidance and provide examples of business practices that may violate antitrust laws, such as information sharing, restrictions on worker mobility, and wage-fixing agreements.
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Purpose
The Justice Department and Federal Trade Commission (FTC) have jointly issued new Antitrust Guidelines for Business Activities Affecting Workers, replacing the 2016 Antitrust Guidance for Human Resource Professionals. The primary objective is to provide a framework for identifying and assessing antitrust risks associated with business practices affecting workers, ensuring their economic freedom and opportunity.
Effects on Industry
The guidelines will have a significant impact on various industries, including technology, healthcare, finance, and education, which often engage in activities that may raise antitrust concerns. The updated guidelines provide examples of anticompetitive conduct, such as information sharing, worker mobility restrictions, abuses of bargaining power, and other exclusionary or predatory employment conditions. Companies and executives found guilty of violating these laws may face criminal liability, potentially leading to increased compliance costs and reputational damage.
Relevant Stakeholders
The guidelines affect a broad range of stakeholders, including:
- Employers: companies and organizations that engage in business activities affecting workers
- Workers: individuals employed by these companies or affected by their practices
- Federal Trade Commission (FTC): responsible for enforcing antitrust laws and regulations
- State authorities: partner agencies in enforcing state-specific antitrust laws
- Members of the public: encouraged to report potential antitrust violations
Next Steps
To comply with the new guidelines, businesses should:
- Review and update their internal policies and procedures to ensure compliance with antitrust laws
- Educate employees on the importance of complying with these regulations
- Implement systems for reporting and addressing potential antitrust violations
- Consider engaging with regulatory agencies to discuss specific concerns or questions
Any Other Relevant Information
The guidelines provide a comprehensive framework for analyzing business practices affecting workers, ensuring that companies are held accountable for their actions. The Justice Department and FTC encourage the public to report any suspected antitrust violations, providing information on how to submit complaints. By promoting compliance with these regulations, stakeholders can work together to protect worker rights and maintain fair competition in industries nationwide.
