I 

115TH CONGRESS 

2D SESSION H. R. 5630 

To amend the Clayton Act to clarify that an acquisition that tends to 

create a monopsony violates the Clayton Act. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 26, 2018 

Mr. CICILLINE (for himself, Mr. NADLER, Mr. ELLISON, and Mr. CROWLEY) 

introduced the following bill; which was referred to the Committee on the 

Judiciary, and in addition to the Committee on Education and the Workforce, for a period to be subsequently determined by the Speaker, in each 

case for consideration of such provisions as fall within the jurisdiction of 

the committee concerned 

A BILL 

To amend the Clayton Act to clarify that an acquisition 

that tends to create a monopsony violates the Clayton Act. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Economic Freedom 

5 and Financial Security for Working People Act of 2018’’. 

6 SEC. 2. FINDINGS AND PURPOSE. 

7 (a) FINDINGS.—Congress finds the following: 


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1 (1) Competition is a critical for promoting inno2 vation and entrepreneurship, creating economic op3 portunity and spurring growth, promoting an equi4 table distribution of wealth, and ensuring choice for 

5 consumers and workers. 

6 (2) Growing concerns over declining competition 

7 are driven by evidence of higher levels of concentra8 tion, slower rates of market entry, and widening in9 equality gaps. Evidence also shows a decline in busi10 ness dynamism, which reduces the mobility of work11 ers. 

12 (3) In competitive labor markets, employers 

13 compete hard to provide better wages, benefits, and 

14 conditions for workers. In the absence of competi15 tion, employers in concentrated labor markets have 

16 monopsony power. If exercised, monopsony power al17 lows employers to dictate wages and other critical 

18 factors to the detriment of workers. Employers with 

19 market power may also use anticompetitive contracts 

20 to restrict the opportunity and mobility of workers. 

21 (4) Much like monopoly power, the exercise of 

22 monopsony power can harm workers, consumers, in23 novation, and economic growth. 

24 (5) The antitrust laws are an important tool for 

25 promoting competition in all markets, including marVerDate Sep 11 2014 04:21 May 03, 2018 Jkt 079200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H5630.IH H5630

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1 kets for consumer goods and services, and for in2 puts, including labor. 

3 (b) PURPOSE.—The purpose of this Act is to promote 

4 working Americans’ economic opportunity by ensuring 

5 that they have the full benefit of competition by amending 

6 the Clayton Act to include the term ‘‘monopsony’’ to clar7 ify that an acquisition that tends to create a monopsony 

8 violates the Clayton Act. 

9 SEC. 3. UNLAWFUL ACQUISITIONS THAT TEND TO CREATE 

10 A MONOPSONY. 

11 Section 7 of the Clayton Act (15 U.S.C. 18) is 

12 amended by inserting ‘‘or a monopsony’’ after ‘‘monopoly’’ 

13 each place that term appears. 

14 SEC. 4. STUDY ON MONOPSONY POWER IN LABOR MAR15 KETS. 

16 Not later than 2 years after the date of enactment 

17 of this Act, the Comptroller General of the United States 

18 shall conduct and publish a study incorporating public 

19 comment on the economic and social effect of rising con20 centration in labor markets, including the impact of mo21 nopsony power on the wages and benefits, mobility, and 

22 income equality of workers, including employees and inde23 pendent contractors. 

Æ 


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