The not-so-golden handcuffs costing workers $2500 a year

Read the original at The Sydney Morning Herald ↗
Cite

Wright, S. (2026, September 6). The not-so-golden handcuffs costing workers $2500 a year. The Sydney Morning Herald. https://www.smh.com.au/politics/federal/the-not-so-golden-handcuffs-costing-workers-2500-a-year-20260904-p60ujw.html?ref=rss&utm_medium=rss&utm_source=rss_feed

Dated when The Aporia collected the article, usually within hours of publication. Check the original for its exact date and byline.

The Sydney Morning Herald · collected 2026-09-06 · by Shane Wright

Quick Summary

Proposed federal laws, scheduled to be unveiled on Monday, aim to ban contractual restrictions that prevent people earning under $190,000 from switching jobs or taking better-paying positions. Research shows almost 47% of businesses use some type of non-compete clause, with client non-solicitation clauses used by over a quarter and bans on the solicitation of co-workers also common. According to a separate study, banning these clauses could lift affected workers' wages by up to $2500 per year. The government plans to offer exemptions for legitimate business interests while protecting jobs mobility for over three million Australian workers.
Written locally by qwen2.5:14b on 2026-09-06, using this article's own text rather than the other coverage of the same event (that is the story summary below).

AI analysis runs on qwen2.5:14b, locally

Story summary

The Australian government plans to ban non-compete clauses, also known as contractual handcuffs, which prevent people earning less than $190,000 from moving to a better-paying or more interesting job. This move is aimed at boosting productivity and delivering better wages, according to Assistant Productivity and Competition Minister Andrew Leigh. Research by the Australian Bureau of Statistics has found that almost 47% of businesses use some type of non-compete clause, with bans on non-disclosure agreements being the most common. These clauses can act as a barrier to workers taking better-paying jobs, holding down wages and restricting opportunities. The ban is part of the government's plans to make the economy work more efficiently and deliver better outcomes for workers.

Written for “High Healthcare Costs” on 2026-10-22, grounded in this article and the 0 other(s) covering the same event.

Story

📰 High Healthcare Costs
Economy/Business · 1 article(s) covering the same event.

Compared with similar articles

Nothing to compare against. No article is close enough to this one for the pipeline to have linked or judged the pair.
How this article was measured signals, leaning charts, publisher record, byline, topics and claims

Signals How these are calculated →

Claims extracted
19
sentences that state something as happening or true
Uncertain
21%
4 of 19 hedged ("reportedly", "may", "according to")
Leaning
Leans strongly left
of the writing, not the subject · beta estimate
Publisher signals
61/100
The Sydney Morning Herald's corrections and hedging, across everything collected from it. Not a measure of accuracy.
Outlets on this story
1
Economy/Business
Same framing elsewhere
1
articles that frame the event the way this one does
Analyzed 2026-09-06 · how these are computed

How this is being covered How these are calculated →

Article leaning vs. publisher reliability
Source leaning vs. consistency

Publisher

The Sydney Morning Herald · 4662 article(s) · 11 correction(s) detected
Running correction rate · 11 correction(s)

Who wrote this

Shane Wright
13 article(s) here · 1 carrying a prediction
🔮 Andrew Hauser used an event in Sydney on Wednesday to argue the RBA was facing a “central bankers’ nightmare” with signs that some businesses believe an inflation rate of between 3 and 3.5 per cent could be the new norm for Australia – well above the bank’s 2-3 per cent target it has struggled to hit over the past four years.
🔮 Australia’s budget would remain mired in deficit for more than 10 years under One Nation’s plans for lower migration, delivering an economic blow that would drive up national debt by an extra $275 billion.
🔮 If not for a fall in the labour force participation rate – the share of people in work or looking for work – last month’s jobless rate in NSW would have been higher.
🔮 The jobless rate would have been higher but for a 0.2 percentage point drop in the participation rate which measures the number of people in work or looking for it.
🔮 Business groups are warning years of expensive turmoil will be unleashed by the federal government’s plans for a minimum tax on discretionary trusts as Treasurer Jim Chalmers warns that without reform, the nation’s tax revenue will be eaten away, leaving working Australians exposed to even higher taxes.
🔮 While Bullock’s predecessor, Philip Lowe, had done a handful of press conferences during the pandemic, the event on February 6, 2024, marked a critical turning point in how the Reserve Bank would explain interest rates, the economy and even the inflationary impact of major touring artists.
🔮 There is one certainty about Jim Chalmers’ upcoming intergenerational report – it will be wrong.
🔮 But the new figures from the Australian Bureau of Statistics show the government still faces a battle to reach its own budget forecasts amid accusations from the Coalition that the country is on an immigration “highway to hell”.
🔮 Throw in the AI building boom that Westpac analysts this week estimated could be worth $110 billion by 2029 while unleashing up to $50 billion in related renewable energy and the private sector is also adding to inflation pressures.
🔮 The cost of the age pension to taxpayers will fall even as more than 9 million people reach retirement age over the next 40 years, Treasurer Jim Chalmers will reveal on Wednesday amid accusations that the next election will be an existential fight for the future of superannuation.
Also by Shane Wright
Nothing else under this byline is closely related to this article, so these are simply their most recent.
All 13 articles by Shane Wright →

Topics

Australia New Zealand Productivity and Competition e61 the Australian Bureau of Statistics

Subjects

Amanda Rishworth PERSON · 1× Australia GPE · 1× Australian NORP · 1× Labor ORG · 1× Leigh GPE · 1× New Zealand GPE · 1× Productivity and Competition ORG · 1× Victoria GPE · 1× e61 ORG · 1× the Australian Bureau of Statistics ORG · 1×

Narrative

But the bureau found other restrictions, which have a direct impact on workers’ ability to use their skills in a better paying job, are widely employed by businesses including client non-solicitation clauses (25.4 per cent), non-compete clauses (20.8 per cent) and bans on the solicitation of co-workers (18 per cent).
framing: mixed · carried by 1 article(s) · first seen 2026-09-06
🔮 Contractual handcuffs that prevent people on less than $190,000 from moving to a better-paying or more interesting job would be banned under proposed laws to be unveiled by the federal government on Monday.
2026-09-06 · The Sydney Morning Herald
The not-so-golden handcuffs costing workers $2500 a year · mixed framing

Claims (19 extracted, 4 hedged)

Contractual handcuffs that prevent people on less than $190,000 from moving to a better-paying or more interesting job would be banned under proposed laws to be unveiled by the federal government on Monday. asserted
that → prevent → Monday
The ban on so-called non-compete clauses, part of the government’s plans to boost productivity across the economy, follows growing evidence their use by some firms is having a “chilling effect” on workers whose skills may be better rewarded with another employer. uncertain
skills → call → employer
Assistant Productivity and Competition Minister Andrew Leigh said banning non-competes was aimed at making the economy work more efficiently while delivering better wages. asserted
economy → say → wages
“Workers shouldn’t need their old boss’s permission to take a better job. asserted
Workers → need → job
Non-compete clauses can act like a padlock on opportunity, holding down wages and keeping people from jobs where their skills are worth more. asserted
skills → act → jobs
We’re cutting that padlock,” he said. asserted
he → cut → padlock
Research by the Australian Bureau of Statistics has found almost 47 per cent of businesses use some type of non-compete clause. asserted
cent → find → clause
But the bureau found other restrictions, which have a direct impact on workers’ ability to use their skills in a better paying job, are widely employed by businesses including client non-solicitation clauses (25.4 per cent), non-compete clauses (20.8 per cent) and bans on the solicitation of co-workers (18 per cent). asserted
which → find → workers
Separate research by the e61 think tank has found that banning non-compete clauses could lift the wages of affected workers by up to $2500 a year. uncertain
banning → find → 2500
Submissions to an inquiry into non-competes last year revealed the extent to how they are being used to reduce the ability of employees to move to new jobs. asserted
they → reveal → jobs
In one case, a person on less than $80,000 a year was barred from taking a job in the same industry in Australia and New Zealand. asserted
person → bar → Australia
In another case, a graduate engineer on $63,000 found a clause in their contract that prevented them from working anywhere else in Victoria for the next year if they left the company. asserted
they → find → company
Bricklayers, nurses and retail workers were revealed to have non-compete clauses that had traditionally been used in high-income professions in which trade secrets may have a particularly high value. uncertain
secrets → reveal → value
Apart from the draft legislation on non-compete clauses for people earning less than $190,000, the government will also consult on a series of related employment restraints including non-solicitation and no-poach clauses and wage-fixing arrangements. asserted
government → earn → clauses
The government plans to offer “appropriate exemptions and safeguards” to protect what are considered legitimate business interests. asserted
what → plan → exemptions
This may include the transfer of corporate secrets with some businesses concerned that staff they have trained may take those skills to a competitor or set up their own firm. uncertain
they → include → firm
Employment Minister Amanda Rishworth said non-compete clauses were hurting the entire economy. asserted
clauses → say → economy
“Labor is determined to help boost job mobility for more than three million Australian workers constrained by a non-compete clause, including childcare workers, construction workers and hairdressers,” she said. asserted
she → determine → workers
Consultation on the legislation will run until October 2. asserted
Consultation → run → October
💬Give feedback
🕘History 🎫Support