The Federal Trade Commission (FTC) has directed Planned Building Services and its associated companies to stop enforcing no-hire agreements that restrict residential and commercial building owners from hiring their service workers. The FTC filed a complaint against several companies operating under the name Planned Companies, alleging these agreements hinder workers from negotiating better wages and conditions.

Henry Liu, Director of the FTC’s Bureau of Competition, stated, “Planned’s anticompetitive practices have unfairly restrained low wage workers from seeking higher pay, better benefits, and new job opportunities. Today’s action further underscores the FTC’s commitment to stopping unfair business practices that restrict workers’ economic freedom.”

According to the complaint, Planned's agreements force building owners to pay penalties if they hire Planned employees. This arrangement impacts various building service roles, including concierge personnel and maintenance technicians, especially when management changes occur.

The FTC's action spans New York City and New Jersey. It is the second recent case addressing anticompetitive no-hire agreements in collaboration with local attorneys general. These agreements also limit building owners' ability to switch contractors without losing existing staff or facing penalties.

Under a proposed consent order, Planned must cease enforcing no-hire agreements and inform relevant parties about the order. They are required to notify new employees that their employment will not be restricted by such agreements.

The FTC's unanimous vote supports issuing this complaint and accepting the proposed agreement for public comment. Chair Lina M. Khan and Commissioners Andrew N. Ferguson and Melissa Holyoak have issued statements regarding this decision.

Comments on the consent agreement will be accepted following its publication in the Federal Register for 30 days before being posted on Regulations.gov.