This is a big problem because corporations will just leave a state if they don't like its labor laws and operate out of whatever state has the laxest labor laws

This is a big problem because corporations will just leave a state if they don't like its labor laws and operate out of whatever state has the laxest labor laws. States used to have their own laws limiting interest on loans, usually between 10 and 20 percent. Then in 1978 the Supreme Court ruled[0] that banks can ignore these state laws if they are based out of a different state. This eventually led to pretty much all of the banks moving their headquarters to South Dakota or Delaware which repealed their laws limiting interest rates to attract banks to those states. Today, pretty much every credit card charges an interest rate well above the old legal limits. [0]: https://en.wikipedia.org/wiki/Marquette_National_Bank_of_Minneapolis_v._First_of_Omaha_Service_Corp https://en.wikipedia.org/wiki/Marquette_National_Bank_of_Min....