Hawaii SB1161 voids non-compete clauses for restaurant and retail employees and prohibits future clauses.
Hawaii SB1161 amends existing law to void non-compete clauses for employees of restaurants and retail stores, prohibiting such clauses in future contracts. This bill follows a 2015 ban on non-compete clauses for technology industry workers, which increased job mobility and wages. The legislation aims to prevent employees from being restricted in their job choices, which can lead to poor working conditions and hinder upward mobility, especially for low-wage earners. The bill also addresses the legal expenses potential employees may face when signing contracts with non-compete clauses.
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