Arizona is currently a right-to-work state, but could a new act proposed by Congress change that?
What Does Right to Work Mean?
As one of 27 states across the country, Arizona is considered a right-to-work state. What does this mean? It simply means that employees are not required to join a union or required to pay dues to a labor union. This gives employees much more financial freedom. However, under this law, an employer can terminate an employee for any reason or no reason at all.
The PRO Act
The PRO Act could jeopardize the state’s current labor laws. It was first introduced on February 4th and was passed by the House on March 9th. Now, the fate of the PRO Act is in the hands of the Senate. And if passed, we could see major changes surrounding labor laws for the first time in 70 years.
How Would the PRO Act Impact Arizona?
If passed, the PRO Act would restrict the right of unionized businesses, ending current right-to-work laws. Since Arizona employees are not required to join a union or pay dues, the new PRO Act would overturn this. This means that employees would be expected to pay union dues as part of their employment. The goal of the act is to increase union-represented employees along with increasing the power of unions.
Under the PRO Act, the definition of an employee would also expand to include independent contractors. This would cause employers to reclassify independent contractors as employees to help deal with the extra costs and pretty much decrease the amount of independent contractors available.
Nothing is set in stone and many feel that the PRO Act will not survive past the Senate. However, it is always best to be prepared and watch the progress of the act so you know what to expect as an employer or an employee. Talking with our team of legal experts will help you make the proactive steps needed to deal with any labor law changes in Arizona.