FTC orders Rollins to stop enforcing employee noncompetes
Rollins HR teams must release 18,000 employees from noncompete restrictions
Change
US FTC ordered Rollins to stop enforcing noncompete agreements covering more than 18,000 employees nationwide, with warning letters to 13 other pest-control firms.
Why it matters
The order bars Rollins from entering, maintaining, enforcing or threatening noncompetes. Rollins must notify current and former employees that they are free to compete against Rollins, including starting their own business.
Implications
- — Rollins legal teams must stop noncompete threats and enforcement - continued use breaches FTC order terms.
- — Rollins HR teams must notify affected workers - missing notices leave employees under unlawful restraint.
- — Pest-control employers using similar clauses must review noncompete templates - FTC warning letters signal wider enforcement risk.
Who is affected
- — HR teams at Rollins
- — Legal teams at Rollins
- — Pest-control employers using noncompete agreements
What to watch
- — Public comment period runs for 30 days after publication of the proposed consent order