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['Contingent Workforce']
['Employment Contracts']
04/08/2024
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Summary of differences between federal and state regulations
Federal law generally does not regulate employment contracts between employers and employees with one exception: contracts that require the joining or refraining from joining of a labor union as a condition of employment. On the federal level, these contracts are governed by the National Labor Relations Act. States may have a corresponding provision and may also have additional provisions regarding employment contracts.
Arizona law has a similar provision to federal law regarding employment contracts and union membership. It also has additional provisions.
Union membership
An employer may not require an individual to sign a contract requiring union membership to secure or maintain employment. §23-1302
An employer can not obligate an employee by oral or written contract to refrain from joining a union as a condition of obtaining or maintaining employment. §23-1341 and §23-1342
Cause of action for breach
A cause of action for breach of an oral or written employment contract, including actions based on employee handbooks or policy manuals that do not specify a time period, must start within one year. §12-541
Written contract
Employment is at-will unless there is an agreed-upon written contract for a specified period of employment between the employer and employee. Both employer and employee must sign the contract. If the employer terminates the contract in violation of state statute, public policy or by breach of contract, the employee will have a cause of action against the employer. The written contract may be part of an employee handbook or manual if it expressly states it is a contract of employment. §23-1501
State
Contact
Industrial Commission of Arizona
Regulations
Union membership
Arizona Revised Statutes Title 23, §23-1302
Arizona Revised Statutes Title 23, §§23-1341 and 23-1342
Cause of action for breach
Arizona Revised Statutes Title 12, §12-541
Written contract
Arizona Revised Statutes Title 23, §23-1501
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Copyright 2024 J. J. Keller & Associate, Inc. For re-use options please contact copyright@jjkeller.com or call 800-558-5011.