Pennsylvania is considering a bill that would ban non-compete agreements for health care workers, removing restrictions on where doctors and nurses can work. The legislation, known as House Bill 1633 and sponsored by Rep. Dan Frankel, D-Pittsburgh, has passed the House and is waiting for action in the Senate.
If passed, non-compete agreements would be void and unenforceable for health care practitioners in Pennsylvania. Frankel believes this change is necessary to improve access to health care, reduce costs, and promote fairness for both providers and patients. Currently, Pennsylvania is one of a few states with no restrictions on non-compete agreements for health care workers.
The bill does make some exceptions, allowing non-compete agreements in certain counties with restrictions on geographic radius and duration. Employers would also be required to notify patients when their provider leaves and provide information on how to continue treatment.
Frankel is optimistic about the bill’s chances in the Senate, citing bipartisan support in the House. He emphasized the importance of allowing health care workers to make their own employment decisions in order to attract and retain talent in Pennsylvania.
The issue of non-compete agreements in health care has gained national attention, with the Federal Trade Commission proposing a ban earlier this year. Alden Abbott, a senior research fellow at the Mercatus Center, believes Pennsylvania’s approach strikes a balance between protecting workers and allowing for fair agreements.
While non-compete agreements are a concern, Abbott noted that the regulatory environment in the health care industry poses bigger challenges. He believes there are more serious issues affecting workers and patients that require attention.
