ST. LOUIS (KMOX) - On Tuesday, the Federal Trade Commission (FTC) made a significant move, voting this week to ban non-compete contractual agreements that prevent workers from switching jobs or starting new businesses during a certain amount of time.
The U.S. Chamber of Commerce has already filed a lawsuit challenging the FTC ruling, alleging the agency overstepped it's authority.
Missouri's business community is firing back at FTC over the decision, with Brendan Cossette, the Chief Operating Officer for the Missouri Chamber of Commerce and Industry telling KMOX the ruling is unnecessary because the state already has guardrails in place.
"(The state already) limits their scope, their breath, their geographical range, the time," said Cossette to Total Information A.M. "They have to be geographically tailored to achieve the reasonable interest of the employer and you can't just have a non-compete to keep somebody working for a competitor."
Cossette says companies should be able to protect their investment and assets.
"Employees have right and they absolutely should exercise it in negotiating for and against a non-compete just like they would with salaries and vacation time," said Cossette.
The FTC argues eliminating non-competes will increase competition in the workplace, spur new business and increase wages.