FTC Finalizes Consent Order in Adamas No-Hire Agreement Matter

The Federal Trade Commission finalized a consent order that requires building services contractor Adamas Amenity Services LLC (Adamas) and its affiliated businesses to cease their enforcement of no-hire agreements. The FTC’s action helps free American workers from labor practices that limit wage and job growth.

The FTC alleged that Adamas used anticompetitive no-hire agreements that restrict building owners and management companies across New Jersey and New York City from directly or indirectly hiring workers employed by Adamas without a significant penalty. These no-hire agreements limit workers’ ability to negotiate higher wages, better benefits, and improved working conditions, according to the FTC’s complaint.

The final consent order resolves the FTC’s complaint by requiring Adamas to immediately cease enforcing all existing no-hire agreements and provide notice to customers and employees informing them that previous no-hire agreements are now null and void. Among other provisions, the order also employs robust compliance and monitoring obligations over the ten-year term.  

Following a public comment period, the Commission voted 2-0 to approve the final order.