Government Relations
Noncompete Covenants ( HB 1663 ) Earlier this year the House of Representatives passed HB 1633 , legislation that prohibits health care employers from entering into restrictive covenants with associates that would result in the associate unable to practice with a competing employer or independently for a period of time after the term of employment . Non-compete covenants entered into after the bill ’ s effective date would be void and unenforceable . Those covenants entered into prior to the effective date would become void an unenforceable upon renewal of a health care practitioner ’ s license .
HB 1663 includes an exception if all of the following apply :
• The facility or office where the associate is employed is located in a county of the six , seventh , or eighth class ( rural counties ).
• The geographic restriction is less than a 45-mile radius from the facility or office .
• The length of the noncompete covenant is no more than two years .
PDA was concerned about dentistry ’ s potential inclusion in a bill intended to address problems in the medical community , so we had one of our contact dentists reach out to the bill ’ s primary sponsor to discuss the differences between dentistry and medicine , reasons why dentistry should not be included in this particular legislation , and our preference that dentistry be addressed in a separate bill ( should it come to that )… and the sponsor agreed ! This is a perfect illustration of the power of just one PDA contact dentist advocating for the dental profession !
Later on , PDA supported efforts by the Association for Dental Services Organizations ’ ( ADSO ) to amend the bill so that clearly defines “ health care practitioner ” to only include medical doctors , doctors of osteopathy , certified registered nurse anesthetists , certified registered nurse practitioners , and physician assistants . There is no longer any question now as to which health care practitioners are included in HB 1663 .
The Senate approved HB 1633 as amended and , after returning to the House of Representatives for concurrence , the bill was signed into law on July 17 .
JULY / AUGUST 2024 | PENNSYLVANIA DENTAL JOURNAL 9