Australia plans to ban non-compete clauses for workers earning under $175,000, set to take effect in 2027.

The Australian government plans to abolish non-compete clauses for workers earning less than $175,000 as part of the 2025 budget, aiming to lift wages by up to $2,500. The ban, set to take effect in 2027 if passed, also targets no-poach agreements that prevent workers from switching jobs. The government is considering extending the ban to high-income workers, which could boost the economy by up to $5 billion annually. The changes follow a review revealing cases of minimum-wage workers facing legal action for leaving their jobs.