While many states have been moving towards placing more restrictions on noncompete agreements, in 2016 the state of Idaho took the opposite route and enacted legislation that made it easier for employers to enforce noncompete agreements. In fact, as The New York Times recently reported, “Idaho achieved a notable distinction last year: it became one of the hardest places in America for someone to quit a job for a better one.”

The law has particularly had an effect on Idaho’s growing technology industry. Noncompetes can suppress worker mobility, thereby inhibiting the free movement of knowledge and ideas that fosters innovation in the technology ecosystem. This, as The New York Times reported, has created an atmosphere in which Idaho’s growing technology industry now struggles to bring in employees.

As George Mulhern, chief executive of the technology company, Cradlepoint, stated, “We’re trying to build the tech ecosystem in Boise…And anything that would make somebody not want to move here or start a company here is going to slow down our progress.”

Supporters of the law feel that it works to help employers protect their assets in a competitive marketplace. It has also been noted that the law applies only to top or “key employees” who tend to have more responsibility and better pay.

But opponents believe that it unfairly infringes upon an employee’s ability to change jobs and move to a better position. In addition, some small businesses argue that noncompetes hurt their ability to hire qualified workers and get their products or services off the ground. Boise has several startups amongst its workforce and some of these companies are finding it challenging to attract qualified employees already residing in the state.

Economists have long noted that strict enforcement of noncompete agreements is harmful because employee mobility is good for economic growth. As evidence, experts say that the rise of Silicon Valley as the dominant force of the technology world is directly related to the state of California’s refusal to enforce noncompete agreements.

Some observers think that the Idaho legislation might jeopardize efforts to expand Boise’s flourishing tech hub and that it could prevent the formation of new start-ups in Idaho or tempt those that already exist to go to more employee-friendly states like California.