Gov. Ige puts an end to noncompete clauses - Hawaii News Now - KGMB and KHNL

Gov. Ige puts an end to noncompete clauses

HONOLULU (AP) - Gov. David Ige has signed a bill into law that is meant to encourage growth within Hawaii's technology sector.

The Honolulu Star-Advertiser reports that the law, which took effect Wednesday, prohibits technology companies from requiring their workers to enter into "noncompete" agreements as a condition of employment. The change is supposed to make it easier for technology workers to change jobs.

The new law was supported by the High Technology Development Corp., as officials from the company say it will provide high-tech workers with more job options.

But those that oppose the law say it interferes with the relationship between the employer and employee. They say companies invest large sums to recruit employees and noncompete agreements are necessary to prevent financial problems.

Ige signed the bill June 26.

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