The Federal Trade Commission Partners with the Department of Labor to Protect Workers from Anticompetitive, Unfair, and Deceptive Practices

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Patricia Tsipras

October 11, 2023

We recently reported that the Equal Employment Opportunity Commission (EEOC) and the U.S. Department of Labor (DOL) joined forces to maximize enforcement of federal employment laws.  Other federal agencies are following suit.

Specifically, the Federal Trade Commission (FTC) [1] and the DOL [2] recently signed an agreement [3] that outlines ways in which the FTC and DOL will work together on key issues of mutual interest.

The agreement identifies the following areas of mutual interest for the two agencies:

• collusive behavior
• the use of business models designed to evade legal accountability, such as the misclassification of employees
• illegal claims and disclosures about earnings and costs associated with work
• the imposition of one-sided and restrictive contract provisions, such as non-compete and training repayment agreement provisions
• the extent and impact of labor market concentration
• the impact of algorithmic decision-making on workers

Like the agreement between the EEOC and DOL, the agreement between the FTC and the DOL enables the two agencies to collaborate by sharing information, conducting cross-training for staff at each agency, and partnering on investigative efforts within each agency’s authority.

It is important for employers to understand the focus of the FTC, DOL, and other federal agencies and to be proactive in reviewing and revising their practices to avoid the agencies’ ire.

[1]The FTC enforces the Federal Trade Commission Act and other laws and regulations that prohibit, among other things, unfair methods of competition and unfair or deceptive acts or practices.

[2]The DOL’s worker protection enforcement agencies enforce and administer numerous worker protection statutes, including those governing occupational safety and health, wage and hour standards, mine safety, and workplace-related benefits.

[3]The FTC signed a similar agreement with the National Labor Relations Board last year.

This article is designed to provide one perspective regarding recent legal developments, and is not intended to serve as legal advice.  Always consult an attorney with specific legal issues.