Assigned to APPROP                                                                                          FOR CAUCUS & FLOOR ACTION






Forty-ninth Legislature, Second Regular Session





employer protections; labor relations




           Outlines regulations regarding unlawful picketing, trespassory assembly and unlawful mass assembly and establishes a no trespass public notice list.




Arizona is one of a number of states that has a “right-to-work” provision in its Constitution. Article XXV of the Constitution of Arizona states, “No person shall be denied the opportunity to obtain or retain employment because of non-membership in a labor organization, nor shall the State or any subdivision thereof, or any corporation, individual or association of any kind enter into any agreement, written or oral, which excludes any person from employment or continuation of employment because of nonmembership in a labor organization.” This provision, effective since 1946, prohibits unions from requiring employers to hire only union employees. Arizona statute restates verbatim this language.


The National Labor Relations Act (NLRA) defines the right of most private sector employees, with specific exceptions, to organize and to bargain collectively with their employers through representatives of their own choosing, or not to do so. According to the National Labor Relations Board, which enforces the Act, NLRA permits, under certain conditions, a union and an employer to make a union-security agreement. Such an agreement requires employees to make certain payments to the union in order to retain their jobs, but cannot require employees to be union members. Under a union-security agreement, individuals choosing to be dues-paying nonmembers may be required to pay full initiation fees and dues that unions may expend only on activities related to collective bargaining, contract administration and grievance adjustment.


In right-to-work states, unions cannot ask and employers cannot agree to enter into union-security agreements. Employees cannot be required to either join the union or pay the equivalent dues in order to remain employed. Employees who want to join can do so, with all the privileges of membership, such as participation in contract negotiations, ratification of the contract, voting on the decision to strike and voting for leadership. Nonmembers are generally denied those privileges, but are accorded any contractual benefits. In addition, the union has a duty to represent all employees fairly without regard to their membership status.


There is no anticipated fiscal impact to the state General Fund as a result of this legislation.



Unlawful Picketing, Trespassory Assembly and Unlawful Mass Assembly


1.      Makes it unlawful for a labor organization to engage in picketing or to induce others to engage in picketing if the purpose is to coerce or induce an employer or self-employed person to join or contribute to a labor organization.


2.      Prohibits a labor organization or group that acts on behalf of employees to engage in trespassory assembly.


3.      Prohibits a person from:

a)      hindering or preventing the pursuit of any lawful work or employment by mass assembly, unlawful threats or force.

b)      obstructing or interfering with entrance to or egress from any place of employment, including by intentionally operating a motor vehicle so as to delay, impede or interfere with the ability of persons or vehicles to enter or leave any property.

c)      obstructing or interfering with the free and uninterrupted use of public roads, streets, highways, railways, airports or other means of travel or conveyance.

d)     using language or words threatening to do harm to a person or the person’s real or intangible property or designed to incite fear in any person attempting to enter or leave any property.

e)      assembling other than in a reasonable and peaceful manner.


4.      Stipulates that these regulations do not prohibit assembly to the extent that is authorized under the Arizona or federal Constitution or federal law.


No Trespass Public Notice List (List)


5.      Requires the Secretary of State (SOS) to establish a list identifying employers in the state who have established private property rights to their establishment and any related real property.  Requires the list to be made in consultation with law enforcement.


6.      Requires an employer to pay a fee and provide copies of appropriate documents that establish the employer’s private property rights, including the address and legal description of the property to which it has legal control, to the SOS in order to be included on the list.  Requires the employer to provide the name and phone number of a contact person or persons employed at the property.


7.      Requires an employer to notify the SOS as soon as practicable regarding any change that limits or modifies the employer’s right to the property included on the list.


8.      Requires the SOS to include the employer and its address on the list and maintain a copy of the documents for public inspection.


9.      Effective July 1, 2011, requires the SOS to meet the following requirements every January 1 and July 1:

a) publish the list at least one day a week for four consecutive weeks in a newspaper of general circulation in the county where the employer is located.  Stipulates that if there is no such newspaper, the list must be published in a newspaper of general circulation in an adjoining county.

b) publish the list on the SOS’s website and have the list accessible in the SOS’s office.

c) provide a copy of the list to every law enforcement agency in the state. Requires that the list provided to law enforcement be updated on a regular basis and in a format developed in consultation with law enforcement.


10.  Establishes a presumption that all members of the public have notice of all employers and properties shown on the published list.


11.  Requires each law enforcement agency to maintain the most recent list received from the SOS for responding to complaints of unlawful picketing, trespassory assembly or unlawful mass assembly.


12.  Allows a responding peace officer to require the employer to provide further documentation to establish the employer’s property rights before requiring any labor organization or individual or groups of individuals acting on employees’ behalf that are engaged in unlawful picketing, trespassory assembly or mass picketing to leave the employer’s property or cease from blocking ingress to or egress from the employer’s property if the property is identified on the list.


13.  Prescribes that a responding peace officer is not liable for any action taken as a direct result of an employer’s inclusion on the list.


14.  Prescribes that the list does not affect or limit any existing property rights if a property is not included on the list.




15.  Makes unlawful picketing, trespassory assembly, unlawful mass assembly, concerted interference with lawful exercise of business activity and engaging in a secondary boycott illegal.  Entitles a person against whom any of the activities is directed or who is injured by the activities to injunctive relief.


16.  Stipulates that the person or persons calling or conducting the activities is liable for damages, prejudgment interest, litigation costs and reasonable attorney fees.  Stipulates that damages include lost sales and business, lost profits and loss in value of the business.


17.  Prescribes that the person calling or conducting the unlawful activities is liable for punitive damages if the person acted in bad faith or disobeyed a court order, including an injunction.


18.  Establishes penalties for unlawful picketing, trespassory assembly and unlawful mass assembly as follows:

a) a class 2 misdemeanor and a fine of at least $200 if the actions occur on a property that is not included on the list; and

b) a class 1 misdemeanor and a fine of at least $200 if the actions occur on a property that is included on the list.




19.  Permits a court to issue a temporary restraining order or injunction under specific circumstances.


20.  Prohibits a person from declaring or publicizing the continued existence of actual or constructive picketing or assembly at a point or directed against a premises if a court of competent jurisdiction has enjoined the continuation of the picketing or assembly at that point or premises.


21.  Prohibits an employer from withholding wages past the date specified by an employee in a written revocation of authorization, unless a court orders otherwise.


22.  Expands the definition of harassment.


23.  Defines concerted interference with lawful exercise of business activity, trespassory assembly, unlawful mass assembly and unlawful picketing.


24.  Contains technical and conforming changes.


25.  Becomes effective on the general effective date, unless noted.


Amendments Adopted By Committee


1.      Deletes provisions relating to the defamation of an employer.


2.      Transfers the duties of compiling and maintaining the list from a county recorder to the SOS.


3.      Modifies the dates that the list must be published.


4.      Requires the list be created in consultation with law enforcement agencies.


5.      Requires an employer to provide contact information for a person or persons employed on the listed property to the SOS.


6.      Requires an employer to notify the SOS as soon as practicable if any change limits or modifies its right to the property included on the list.


7.      Stipulates that peace officers are not liable for any action taken as a direct result of an employer’s inclusion on the list.




Senate Action


APPROP         3/8/10    DPA  6-2-1


Prepared by Senate Research

March 9, 2010