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H.R. 2873

LADDER Act

Limiting the Ability to Demand Detrimental Employment Restrictions Act or the LADDER Act

This bill: (1) prohibits employers from entering into not to compete covenants with low-wage employees engaged in commerce or in the production of goods for commerce, and (2) requires an employer of such employees to post notice of such prohibition in a conspicuous place on the employer's premises.

The bill defines "low-wage employee" as an employee who earns less than the greater of $15 per hour or the state or local minimum wage.

In order for an employer to require such an employee who is not a low-wage employee to enter into such a covenant, the employer must have disclosed the requirement for entering into such covenant before hiring such employee.

The Secretary of Labor shall: (1) enforce a complaint of a violation of this Act in the same manner as a complaint of a violation of the Fair Labor Standards Act of 1938, and (2) impose a civil fine on any employer who violates this Act.

Referred to the Subcommittee on Workforce Protections.

Rep. Crowley, Joseph [D-NY-14](D-NY)Sponsor
7 cosponsors7 D
7cosponsors1committees4actions2related bills7subjects
  1. Committee

    Referred to the Subcommittee on Workforce Protections.

    Workforce Protections Subcommittee
  2. IntroReferralH11100

    Referred to the House Committee on Education and the Workforce.

    Education and the Workforce Committee
  3. IntroReferralIntro-H

    Introduced in House

  4. IntroReferral1000

    Introduced in House

LADDER Act — Informed