Assigned to COMPS FOR
COMMITTEE
Assigned to COMPS FOR
COMMITTEE
ARIZONA STATE SENATE
Fifty-Third Legislature, Second Regular Session
wages; leave; retaliation; repeal
Purpose
Subject to voter approval, statutorily repeals the presumption of employer retaliation established by an adverse action taken against employees for asserting wage rights.
Background
Voter passage of Proposition 206 in 2016 increased the state’s hourly minimum wage in four stages from $10.00 in 2017, to $12.00 by 2020 (A.R.S. § 23-363). The rate thereafter increases each subsequent year by the cost of living, based on the consumer price index. The state minimum wage in 2018 is set at $10.50 an hour. Proposition 206 also requires employers to provide employees a minimum of 1 hour of paid sick leave per 30 hours worked.
Under Proposition 206, retaliation is defined as the denial of minimum wage or earned paid sick time to an employee or any threat, discharge, suspension, demotion or reduction of hours against an employee for the request of minimum wage or earned, paid sick time. Employers are presumed to be guilty of retaliation if any adverse action is taken against an employee within 90 days of the employee's request of minimum wage or paid sick time. The presumption may be rebutted by clear and convincing evidence that the action was taken for other permissible reasons. Employers guilty of retaliation are required to pay the employee an amount set by the Industrial Commission of Arizona, not less than $150.00 for each day violation occurred (A.R.S. § 23-3634).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Repeals the presumption of employer retaliation established by an adverse action taken against an employee within 90 days of an assertion of wage or leave rights.
2. Requires the Secretary of State to submit the proposition to the voters at the next general election.
3. Becomes effective if approved by the voters and on proclamation of the Governor.
House Action
COM 2/13/18 DP 6-3-0-0
3rd Read 2/21/18 35-25-0
Prepared by Senate Research
March 7, 2018
GH/JP/lb