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dsha06
Community Member

New FTC Non-Compete Ban & Upwork's Leaving Platform Rule

Does the new FTC non-compete ban effect Upwork's rule about not being able to work with an employer off platform? It seems like it's kind of like a non-compete. I know they have a 13.5% conversion fee to go off platform but I don't think any employer would pay that, so it really hurts the freelancer. In my case it would be a $14,000 fee! There's a rule in economics where if you make the penalty too high, you increase the black market demand. If the conversion fee were lower, I bet more employers would be willing to pay it instead of secretly moving the freelancer off Upwork.

3 REPLIES 3
yofazza
Community Member

Could be related to that new sticky post above about scam circumvention prevention. 

 

They really need to maximize their income on the first freelance-client relation in case they eventually really need to remove the 2 years rule.

AndreaG
Community Manager
Community Manager

Hi David,

 

From the article you're referring to, it looks like this news talks about employers and employees. Please keep in mind that Upwork does not act as an employer or otherwise engage you. Rest assured, if there are any policy changes that affect our Terms of Service, we will let users know.

 

Thank you,

~Andrea
Upwork

That was my first thought (with no relation to Upwork) when i read about that new FTC ruling. It will simply result in much less employment, much more contracting.

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