Arizona
Discussion
Arizona: Updates for Independent Contractors and Military Leave Protections
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APPLIES TO All Employers with Employees in AZ |
EFFECTIVE SEP 12, 2026 |
QUESTIONS? Contact HR On-Call |
Quick Look
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Discussion
The Arizona legislature passed two new laws affecting employers. The first expands independent contractor agreement requirements, and the second clarifies military leave use and protections.
Independent Contractors. HB 2310 amends existing law governing when “qualified marketplace contractors” (e.g., people who use a digital platform to provide services to customers) are treated as independent contractors rather than employees for purposes like unemployment insurance and workers’ compensation. Specifically, a written contract with an independent contractor must say that the contract may be terminated without cause at any time and on reasonable notice where the contract expressly provides for termination by either party to the contract or may be terminated unilaterally by a qualified marketplace contractor at any time on reasonable notice given to the other party.
Military Leave. HB 2663 amends state military duty leave to clarify that leave may be used for active military duty or any training, not necessary just to attend camps, maneuvers, formations or armory drills. The bill also eliminates the distinction in protections between called to duty or training, referring instead simply to being under “competent military orders” as the trigger for protection.
Action Items
- Have independent contractor agreements updated by legal counsel.
- Update military leave policies for compliance.
- Have appropriate personnel trained on the requirements.
Disclaimer: This document is designed to provide general information and guidance concerning employment-related issues. It is presented with the understanding that ManagEase is not engaged in rendering any legal opinions. If a legal opinion is needed, please contact the services of your own legal adviser. © 2026 ManagEase