The days of wrestlers having to wait at home after being released from WWE may be over following a landmark ban on non-compete agreements.
The Federal Trade Commission voted 3-2 to implement a ban on noncompete agreements for all workers, with these new rules set to come into place within the next 120 days. This could be a milestone change for WWE, who use non-compete clauses that range between 30 to 90 days when a talent is released.
These clauses essentially mean that the ‘buzz’ around a wrestler cools down after they are released. Rather than a WWE release generating excitement by showing up in AEW or TNA mere days after being cut, they’re forced to wait for months doing nothing in wrestling as the business moves forward.
BREAKING: The FTC just banned non-compete agreements.
The Federal Trade Commission has issued a final rule making it illegal for bosses to make workers sign noncompetes in any scenario, and voiding nearly all existing noncompetes.
This is a game changer for American workers. pic.twitter.com/9n1tJWpQl4
— More Perfect Union (@MorePerfectUS) April 23, 2024
While this ban is a huge victory for workers, it remains unclear how it’ll impact those in the wrestling business. Several promotions classify their talent as “independent contractors” rather than typical employees. If this ban does affect professional wrestling, then it’ll mark a massive victory for the wrestlers and quite a blow to how WWE conducts business.
The FTC and WWE are no strangers. Last year, the FTC approved the merger of WWE and UFC into TKO Group Holdings. This massive deal has led to a promotional crossover between the two sides with WWE talent being spotted at UFC events and vice versa. The two companies will grow even closer later this year when an upcoming NXT event is hosted at a UFC venue.
