The Daily Signal references Hans Bader's writing on a bill in North Carolina pertaining to employment regulations.
The second provision—the employment provision—is simply a preference for statewide uniformity. It says North Carolina will have one set of employment regulations for the entire state rather than a multiplicity of additional laws set at the municipal level. The Competitive Enterprise Institute’s Hans Bader explains that this North Carolina law is based on Virginia’s Dillon rule:
Virginia’s Dillon rule prevents cities and counties from regulating the employment practices of private businesses. That bars them from setting minimum wages higher than the state or federal minimum wage, or adding new protected classes of employees at businesses’ expense (through anti-bias ordinances). That is good for businesses, promotes freedom of contract, and prevents a confusing patchwork quilt of regulation that varies from city to city and county to county. It is also one reason why Virginia has a better than average business climate.
The same is true for North Carolina, which is in the top five states when it comes to economic development. Bader notes:
Preemption of local employment regulations advances important state interests, and has a compelling economic logic behind it. … The North Carolina General Assembly quite properly found that making “that laws and obligations consistent statewide for all businesses, organizations, and employers doing business in the State” will “benefit the businesses, organizations, and employers seeking to do business in the State and attracts new businesses, organizations, and employers to the State.”
Read the full article at the Daily Signal.