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HR 2873 114th Congress House

LADDER Act

Official title: To prohibit employers from requiring low-wage employees to enter into covenants not to compete, to require employers to notify potential employees of any requi… Show full official titleShow less

Official title: To prohibit employers from requiring low-wage employees to enter into covenants not to compete, to require employers to notify potential employees of any requirement to enter into a covenant not to compete, and for other purposes.

Introduced: June 24, 2015 See on congress.gov
Labor and Employment Civil actions and liabilityContracts and agencyEmployee hiringEmployment discrimination and employee rights
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This bill died when the 114th Congress ended
It never became law before the 114th Congress (2015–2016) adjourned, and bills don't carry over to the next Congress. It would have to be reintroduced. You can still save it for reference, but it won't receive updates.
 Everywhere this bill has been 3 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Nov 16, 2015
Referred to the Subcommittee on Workforce Protections.
Jun 24, 2015
Referred to the House Committee on Education and the Workforce.
Jun 24, 2015
Introduced in House
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 Latest action November 16, 2015

Referred to the Subcommittee on Workforce Protections.

 Plain-English summary Congressional Research Service

Limiting the Ability to Demand Detrimental Employment Restrictions Act or the LADDER Act

This bill: (1) prohibits employers from entering into not to compete covenants with low-wage employees engaged in commerce or in the production of goods for commerce, and (2) requires an employer of such employees to post notice of such prohibition in a conspicuous place on the employer's premises.

The bill defines "low-wage employee" as an employee who earns less than the greater of $15 per hour or the state or local minimum wage.

In order for an employer to require such an employee who is not a low-wage employee to enter into such a covenant, the employer must have disclosed the requirement for entering into such covenant before hiring such employee.

The Secretary of Labor shall: (1) enforce a complaint of a violation of this Act in the same manner as a complaint of a violation of the Fair Labor Standards Act of 1938, and (2) impose a civil fine on any employer who violates this Act.

 Related & companion bills 2
  • S 1504 Related bill MOVE Act
  • HR 4254 Related bill Freedom for Workers to Seek Opportunity Act
 Bill text 1 version

Source documents hosted by congress.gov.

 Committees of jurisdiction 2
 Cosponsors 3
All 3 Democratic 3
D
Meeks, Gregory W.
New York · Oct 6, 2015
 D
Pocan, Mark
Wisconsin · Jun 24, 2015
 D
Sánchez, Linda T.
California · Jun 24, 2015
Cite this page click to expand
APA
U.S. Congress. (2026). H.R. 2873: LADDER Act. 114th Congress. Open America. https://openamerica.io/bill/114-HR-2873/
MLA
"H.R. 2873: LADDER Act." 114th Congress, 2026, Open America, https://openamerica.io/bill/114-HR-2873/.
Bluebook (legal)
H.R. 2873, 114th Cong. (2026), https://openamerica.io/bill/114-HR-2873/.
Markdown link
[H.R. 2873: LADDER Act](https://openamerica.io/bill/114-HR-2873/)
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