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ARIZONA STATE SENATE
Fifty-Sixth Legislature, Second Regular Session
AMENDED
minimum wage; minor league baseball.
Purpose
An emergency measure that exempts a minor league baseball player who is compensated pursuant to a collective bargaining agreement in a manner that exceeds the statutory minimum wage and employee benefits requirements from the statutory minimum wage and recordkeeping requirements concerning hours worked. Contains requirements for enactment for initiatives and referendums (Proposition 105).
Background
Employment in Arizona is regulated by both federal and state law. Statute governs employment practices and working conditions, including requirements for payment of wages, minimum wage and employee benefits (A.R.S. Title 23, Chapter 2). An employer must maintain payroll records showing the hours worked each day and the wages paid to all employees for a period of four years. An employer's failure to maintain records raises a rebuttable presumption that the employer did not pay the required minimum wage rate. An employer's violation of recordkeeping requirements may be subject to civil penalties (A.R.S. § 23-364).
In 2023, minor league baseball players ratified their first collective bargaining agreement, which governs salaries, medical and retirement benefits, housing and lodging, transportation, protections for injured or released players, impartial arbitration and due process (MLBPA).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Exempts, from the statutes governing minimum wage and any other minimum wage or recordkeeping requirements concerning hours worked, an employee who is a minor league baseball player and who:
a) has entered into a contract to play minor league baseball;
b) is compensated pursuant to the terms of a collective bargaining agreement that expressly provides for employee wages and working conditions; and
c) is compensated subject to the collective bargaining agreement in a manner that exceeds the statutory minimum wage and employee benefits requirements.
2. Contains a statement of legislative findings.
3. Makes technical changes.
4. Requires for enactment the affirmative vote of at least three-fourths of the members of each house of the Legislature (Proposition 105).
5. Becomes effective on signature of the Governor, if the emergency clause is enacted.
Amendments Adopted by Committee
· Removes the authority for an out-of-state employer to designate at least one fixed payday per month, rather than two or more fixed paydays per month, for employees who are minor league baseball players compensated under the terms of a collective bargaining agreement.
Amendments Adopted by Committee of the Whole
1. Adds, to the exemption from the statutes governing minimum wage and minimum wage recordkeeping requirements, a criteria that the employee must be compensated subject to a collective bargaining agreement in a manner that exceeds the statutory requirements for minimum wage and employee benefits.
2. Adds a statement of legislative findings.
Senate Action
FICO 1/29/24 DPA 5-2-0
Prepared by Senate Research
February 21, 2024
MG/cs