U.S. Antitrust Enforcers Actively Targeting Agreements Between Competitors In Employment Markets That Restrict Competition For Employees

The United States' chief antitrust enforcer recently reiterated his office is serious about curtailing employee wage-fixing and no-poaching agreements.¹ He also strongly suggested the Department of Justice is investigating and preparing criminal cases against numerous entities suspected of engaging in such misconduct. While the government has warned the public repeatedly of its elevated interest on the topic, some corporations are failing to take the warning seriously or failing to comprehend that agreements on hiring, compensation, and/or retention among entities that compete for employees – even if the entities do not "compete" for sales of services or goods – can violate the antitrust laws. Because nearly all companies compete at some level for employees, they need to clearly understand how they compete with other businesses for employees and the steps they can take to avoid conduct that could be construed as restricting competition for those employees.