In a recent joint statement by the Department of Justice’s (DOJ) Antitrust Division and the Federal Trade Commission’s (FTC) Bureau of Competition, the agencies announced that they will enforce the antitrust laws against those who seek to exploit the pandemic to undermine competition in the American labor market.
The DOJ’s Assistant Attorney General Makan Delrahim cautioned “the Antitrust Division will not tolerate companies and individuals who use COVID-19 to harm competition that cheats payroll and non-payroll workers,” including essential workers and first responders. As FTC Chairman Joe Simmons put it, “we will not stand for any collusion among employers that would deprive workers competitive compensation for their hard work.”
In particular, the agencies announced they will be scrutinizing wage-fixing, no-poach, and non-compete agreements. Although some cooperation between companies and individuals may be necessary in order to protect the health and safety of Americans, it is unlawful for an employer to exchange with its competitors sensitive employee information, including salary, wages, benefits, and compensation data. Companies and individuals involved in unilateral collusive conduct will face severe criminal and civil penalties.
Additionally, the Antitrust Division’s recently formed Procurement Collusion Task Force is on “high alert” for any fraudulent or illegal schemes in the sale of COVID-19 products to government agencies and the general public.
In the Raleigh/Durham/Chapel Hill area, the experienced white collar crime attorneys at Dysart Willis Houchin & Hubbard are a phone call away to guide you through these volatile business times to aggressively protect your rights anywhere in the United States and abroad.