FTC Requires Adamas Amenity Services to Halt No-Hire Agreements in NJ and NYC

USA: FTC Requires Adamas Amenity Services to Halt No-Hire Agreements in NJ and NYC

Adamas Amenity Services LLC, a building‑services contractor operating in New Jersey and New York City, will be required to stop enforcing no‑hire agreements after the Federal Trade Commission filed a complaint on December 2025. The agency alleges the agreements limited workers’ ability to seek higher wages, better benefits, and improved working conditions.

FTC Complaint Overview

The FTC’s Bureau of Competition alleges that Adamas used anticompetitive no‑hire clauses that barred building owners and management firms from hiring Adamas employees directly, imposing significant penalties for violations. The complaint seeks to nullify all existing no‑hire agreements under a proposed consent order.

Implications for Employees

Most Adamas staff perform low‑wage duties such as janitorial, front‑desk, and security services. According to the complaint, the no‑hire provisions prevented these workers from negotiating higher pay or better benefits and forced some to leave their jobs when building management changed.

Effect on Building Owners and Competitors

The FTC asserts that the agreements also discouraged building owners from soliciting bids from competing service providers, limiting market competition and reducing incentives for rivals to invest in service quality and variety.

Key Provisions of the Proposed Order

Under the draft consent order, Adamas must provide written notice to customers who were subject to a no‑hire agreement within the past three years, informing them that the restriction is void. The company must also post clear notices stating that employees are free to seek employment directly with the building or any contractor that wins the building’s business.

Regulatory Background

Chairman Andrew N. Ferguson has emphasized the FTC’s focus on combating deceptive and anticompetitive labor‑market practices. Recent actions include a similar crackdown on non‑compete agreements at Gateway Services, Inc., and the launch of a Joint Labor Task Force.

Public Comment Opportunity

The Commission’s vote to issue the complaint and accept the proposed consent agreement was 2‑0. The public has 30 days to submit comments on the agreement package, with instructions posted on Regulations.gov.

This report is based on information from FTC, licensed under Public Domain (U.S. Government Work). Source: Official U.S. Government release.