SAG-AFTRA Against Unfair Non-Competes

• Last Friday, July 9, President Biden issued a wide-ranging Executive Order on “Promoting Competition in the American Economy.”

Among the 72 initiatives contained in the Executive Order is one of particular interest to our peers in the radio, music and entertainment industries: “Make it easier to change jobs and help raise wages by banning or limiting non-compete agreements and unnecessary, cumbersome occupational licensing requirements that impede economic mobility.”

Shortly after the EO was issued, SAG-AFTRA President Gabrielle Carteris issued the following statement that reads, in part, “SAG-AFTRA is thrilled to see President Biden take steps to curtail the use of unfair non-compete clauses, which are a major problem for our broadcasters, actors and recording artists. President Biden is sending a strong signal to employers that contractual restrictions that prevent broadcasters and artists from working are stifling the economy. Consumers have more choices than ever and artists should too. It’s well past time to cast aside laws that inhibit creative professionals from applying their trade freely and fairly.”

The statement continues, “Encouraging competition is why SAG-AFTRA, our partners, Music Artists Coalition, and a number of artist advocacy groups and worker unions strongly endorse the FAIR Act (AB1385) in the California legislature. The Fair Act sets limits on studios’ and labels’ ability to unilaterally hold artists off the market. More than 82,000 of SAG-AFTRA’s 160,000 members reside and work in California and they count on California to lead the way in entertainment and media worker protections. The Fair Act was introduced by California State Assemblywoman Lorena Gonzalez (D-San Diego), a long-time champion of workers’ rights.

In closing, the statement reads, “SAG-AFTRA will also work with the Federal Trade Commission to ensure prohibitions on non-compete agreements for broadcasters, artists and all workers are strong and comprehensive.”

SAG-AFTRA Against Unfair Non-Competes