Freedom to Leave Means a Healthier, More Conscious Work Culture
New Federal Trade Commission ruling will impact company cultures
Last week the Federal Trade Commission surprised many by voting to ban nearly all noncompetes, employment agreements that legally prevent employees from leaving their organization and working for a competing organization or starting their own similar business.
In the competitive world of business, retaining talent and intellectual property is a competitive advantage. So it’s understandable businesses want to prevent talent and ideas from leaving their organization and undercutting that advantage. However, anything that prevents competition means employees, consumers, and potential competitors are hindered from challenging the status quo—especially a company’s unhealthy culture.
The FTC offered a slew of positive economic benefits for ending noncompetes. But, as all employees understand, the real benefit in having more workplace freedom is the boost to mental health and their overall wellness as a human being.
In announcing the new rule, FTC chair Lina Khan specifically cited stories of employees “stuck in abusive workplaces” because of their noncompete. These stories, “pointed to the basic reality of how robbing people of their economic liberty also robs them of all sorts of other freedoms.”
For those of us who seek to create more conscious company cultures where all employees can thrive, this ruling is a significant step forward. It allows employees to leave a toxic culture—or even a culture that no longer matches their values—and continue doing the work they enjoy.
Author and business coach Cameron Herold applauded the FTC ruling and noted how it will improve company cultures: “If your employees can leave at any time and immediately start ‘competing’ with you, the best way to win is by creating an environment they don’t want to leave.”
Opponents of the noncompete ban argue it will disincentivize employers from investing in staff that they know can leave at any time. But the opposite is true for conscious businesses that genuinely care about their team and the overall health of the business. If employees can leave more easily, businesses will now need to compete more to retain talent, which means increasing investment in their employees.
This is why conscious leadership and a conscious company culture are essential for competing in this new business landscape. A highly conscious organization attracts talent and will retain it for longer. And, when employees do depart for positive reasons, it’s not seen as a ding on the company’s culture, but as “graduation” for that employee, who will now spread the values and wisdom they learned while a member of the team. The door will always be open for alumni to return and once again contribute to the company’s success. That’s abundant, infinite thinking.
I’m passionate about creating highly conscious organizations that will transform the way we work. Whether it’s 1:1 leadership coaching, culture consulting, or workshops for staff, there are numerous ways to strengthen your organization and attract top talent. The change we want to see at work begins with each of us being that change.
Change starts with you,
Meredith
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The way we work and build teams is rapidly changing. Leaders often feel unprepared to navigate the transition. As a conscious leadership coach, consultant, and communicator, Meredith helps leaders and their teams create new ways of working and relating so they can prepare for the future by consciously co-creating it.
Contact her to develop your conscious leadership and transform your organization into the workplace of the future.
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