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Workforce Mobility Act of 2026

USA119th CongressHR-10215| House 
| Updated: 9/1/2026
Scott H. Peters

Scott H. Peters

Democratic Representative

California

Cosponsors (1)
Thomas H. Kean (Republican)

Energy and Commerce Committee, Education and Workforce Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
The Workforce Mobility Act of 2026 seeks to broadly prohibit the use of noncompete agreements, which Congress finds detrimental to worker mobility, wage growth, and innovation. The bill generally makes it unlawful for any person to enter into, enforce, or attempt to enforce a noncompete agreement with an individual performing work for them. Such agreements, entered into after the Act's enactment, would have no legal force or effect, aiming to free workers from restrictions on their future employment options. However, the bill provides specific, narrow exceptions to this general prohibition. Noncompete agreements may be permitted in connection with the sale of a business entity's goodwill or ownership interest , allowing sellers to agree not to compete in a specified geographic area. A limited exception also applies to senior executive officials who are part of a business sale and receive substantial severance compensation, restricting them for no more than one year. Additionally, partners in a business may agree to noncompete clauses upon partnership dissolution or disassociation within a specified geographic area. Importantly, the Act clarifies that it does not prevent employers from entering into agreements to protect trade secrets , ensuring legitimate business interests are still safeguarded. Employers are required to post notice of the Act's provisions in a conspicuous place, and the Secretary of Labor may conduct a public awareness campaign. Enforcement of the Act falls under the purview of both the Federal Trade Commission (FTC) , treating violations as unfair or deceptive practices, and the Department of Labor (DOL) , which will investigate and bring actions against employers. To ensure comprehensive enforcement, the FTC and DOL are mandated to develop shared standards and define their respective scopes of responsibility. The bill also establishes a private right of action , allowing aggrieved individuals to sue for actual damages, costs, and attorney's fees. Furthermore, State attorneys general are empowered to bring civil actions on behalf of their residents to enjoin violations or seek damages. Significantly, the Act invalidates any predispute arbitration agreements or joint-action waivers regarding alleged violations, preserving individuals' rights to pursue claims in court or through class actions.
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Timeline

Bill from Previous Congress

HR 116-5710
Workforce Mobility Act of 2020

Bill from Previous Congress

HR 117-1367
Workforce Mobility Act of 2021

Bill from Previous Congress

HR 118-731
Workforce Mobility Act of 2023
Jun 11, 2025

Latest Companion Bill Action

S 119-2031
Introduced in Senate
Sep 1, 2026
Introduced in House
Sep 1, 2026
Referred to the Committee on Energy and Commerce, and in addition to the Committee on Education and Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
  • Bill from Previous Congress

    HR 116-5710
    Workforce Mobility Act of 2020


  • Bill from Previous Congress

    HR 117-1367
    Workforce Mobility Act of 2021


  • Bill from Previous Congress

    HR 118-731
    Workforce Mobility Act of 2023


  • June 11, 2025

    Latest Companion Bill Action

    S 119-2031
    Introduced in Senate


  • September 1, 2026
    Introduced in House


  • September 1, 2026
    Referred to the Committee on Energy and Commerce, and in addition to the Committee on Education and Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Workforce Mobility Act of 2026

USA119th CongressHR-10215| House 
| Updated: 9/1/2026
The Workforce Mobility Act of 2026 seeks to broadly prohibit the use of noncompete agreements, which Congress finds detrimental to worker mobility, wage growth, and innovation. The bill generally makes it unlawful for any person to enter into, enforce, or attempt to enforce a noncompete agreement with an individual performing work for them. Such agreements, entered into after the Act's enactment, would have no legal force or effect, aiming to free workers from restrictions on their future employment options. However, the bill provides specific, narrow exceptions to this general prohibition. Noncompete agreements may be permitted in connection with the sale of a business entity's goodwill or ownership interest , allowing sellers to agree not to compete in a specified geographic area. A limited exception also applies to senior executive officials who are part of a business sale and receive substantial severance compensation, restricting them for no more than one year. Additionally, partners in a business may agree to noncompete clauses upon partnership dissolution or disassociation within a specified geographic area. Importantly, the Act clarifies that it does not prevent employers from entering into agreements to protect trade secrets , ensuring legitimate business interests are still safeguarded. Employers are required to post notice of the Act's provisions in a conspicuous place, and the Secretary of Labor may conduct a public awareness campaign. Enforcement of the Act falls under the purview of both the Federal Trade Commission (FTC) , treating violations as unfair or deceptive practices, and the Department of Labor (DOL) , which will investigate and bring actions against employers. To ensure comprehensive enforcement, the FTC and DOL are mandated to develop shared standards and define their respective scopes of responsibility. The bill also establishes a private right of action , allowing aggrieved individuals to sue for actual damages, costs, and attorney's fees. Furthermore, State attorneys general are empowered to bring civil actions on behalf of their residents to enjoin violations or seek damages. Significantly, the Act invalidates any predispute arbitration agreements or joint-action waivers regarding alleged violations, preserving individuals' rights to pursue claims in court or through class actions.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline

Bill from Previous Congress

HR 116-5710
Workforce Mobility Act of 2020

Bill from Previous Congress

HR 117-1367
Workforce Mobility Act of 2021

Bill from Previous Congress

HR 118-731
Workforce Mobility Act of 2023
Jun 11, 2025

Latest Companion Bill Action

S 119-2031
Introduced in Senate
Sep 1, 2026
Introduced in House
Sep 1, 2026
Referred to the Committee on Energy and Commerce, and in addition to the Committee on Education and Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
  • Bill from Previous Congress

    HR 116-5710
    Workforce Mobility Act of 2020


  • Bill from Previous Congress

    HR 117-1367
    Workforce Mobility Act of 2021


  • Bill from Previous Congress

    HR 118-731
    Workforce Mobility Act of 2023


  • June 11, 2025

    Latest Companion Bill Action

    S 119-2031
    Introduced in Senate


  • September 1, 2026
    Introduced in House


  • September 1, 2026
    Referred to the Committee on Energy and Commerce, and in addition to the Committee on Education and Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Scott H. Peters

Scott H. Peters

Democratic Representative

California

Cosponsors (1)
Thomas H. Kean (Republican)

Energy and Commerce Committee, Education and Workforce Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted