STAND. COM. REP. NO. 112

Honolulu, Hawaii

, 2019

RE: H.B. No. 1059

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Labor & Public Employment, to which was referred H.B. No. 1059 entitled:

"A BILL FOR AN ACT RELATING TO FAIR EMPLOYMENT PRACTICES,"

begs leave to report as follows:

The purpose of this measure is to prohibit noncompete agreements for low wage workers.

Specifically, this measure prohibits noncompete clauses or nonsolicit clauses in employment contracts for employees whose earnings do not exceed the greater of the hourly minimum wage required by applicable federal or state law or $15 per hour.

The Ocean Tourism Coalition and an individual testified in support of this measure. The Retail Merchants of Hawaii opposed this measure.

Your Committee has amended this measure by changing its effective date to January 1, 2050, to facilitate further discussion.

As affirmed by the record of votes of the members of your Committee on Labor & Public Employment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1059, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1059, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Labor & Public Employment,

____________________________

AARON LING JOHANSON, Chair