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Global Employment Law Guide

USA, Arkansas

(United States) Firm Rose Law Firm, a Professional Association

Contributors Bryant Cranford

Updated 10 Dec 2019
What are the different categories of employment status (for example, employee, worker, self-employed individuals, etc)?

Employee, independent contractor, and self-employed individual.

Are there different types of employment contracts (for example, fixed-term, indefinite)?

No. The terms of the employment contract control.

What requirements need to be met in order for an employment contract to be valid?

The essential elements of a contract in Arkansas are: (1) competent parties, (2) subject matter, (3) legal consideration, (4) mutual agreement, and (5) mutual obligations.

Are part-time employees afforded the same rights as full-time employees?

Yes, unless federal law provides otherwise.

Can employment contracts be assigned?

Yes. The Eighth Circuit Court of Appeals predicted that the Arkansas Supreme Court would adopt the position that a non-competition agreement in an employment contract is assignable.

What rights do employees have (to object, to severance), if any, when the company they work for is transferred as a going concern?

None unless the employer provides such right to an employee through a contract or a group of employees through a collective bargaining agreement.

Do you have statutory rights for employees on change of control of an employer? If so, please give the statute.

No. However, the employer may provide such right to an employee through a contract or to a group of employees through a collective bargaining agreement.

In what circumstances can employers unilaterally change the terms of employment, and what remedies (if any) are afforded to an employee?

An employer may unilaterally change terms of employment so long as a contract or collective bargaining agreement does not otherwise limit such right. Arkansas employers are bound by an implied covenant of good faith and fair dealing.

Is your jurisdiction an employment-at-will jurisdiction? What are the employer’s termination rights?

Yes. Arkansas recognizes a public policy exception to the at-will doctrine wherein an employee may have a cause of action for wrongful termination against his/her employer for the following: (1) refusing to violate a criminal statute; (2) exercising a statutory right; (3) complying with a statutory duty; or (4) in violation of a well-established public policy of the State of Arkansas.

Are there remedies for dismissal without cause or wrongful termination?

Yes. An employee may have a cause of action for wrongful termination against his/her employer for the following: (1) refusing to violate a criminal statute; (2) exercising a statutory right; (3) complying with a statutory duty; or (4) in violation of a well-established public policy of the State of Arkansas.

Are there protections for whistleblowers?

Employees are protected by federal whistleblower protections. Terminating an employee for reporting a violation of state or federal law is against the public policy of the State of Arkansas.

Do employees have a right to privacy? If so, what are the remedies for a breach?

Yes. Arkansas recognizes four types of actions based on invasion of privacy that may be applicable in an employment situation: (1) intrusion upon seclusion, (2) public disclosure of embarrassing private facts, (3) casting in a false light, and (4) appropriation of one’s image or likeness without permission. The remedies for breach include compensatory damages and possibly punitive damages.

Are employees afforded any anti-discrimination protection?

Yes. The Arkansas Civil Rights Act of 1993 (ACRA) protects applicants and employees from discrimination, harassment, and retaliation. The federal counterparts to the ACRA, such as Title VII of the Civil Rights Act, are similar. The ACRA protects applicants and employees from discrimination based on race, religion, national origin (including ancestry), gender (including pregnancy, childbirth, or related medical conditions), and disability.

Are there statutory rights to vacation, medical leave and parental leave? Have there been any changes to leave benefits in the past 12 months? Is there any proposed legislation that employers should be aware of that will impact leave benefits?

Arkansas does not have minimum requirements for employment benefits for private employees beyond what is required under federal law. Sick leave for public sector employees is governed by Ark. Code Ann. § 21-4-201, et seq.

Are restrictive covenants recognized and, if so, what are reasonable restrictions as to geography, duration and scope of activity?

Yes. Ark. Code Ann. § 4-75-101 and common law standards govern restrictive covenants in Arkansas. Continued employment is sufficient consideration for restrictive covenants. Restrictive covenants are not recognized in Arkansas for certain types of professions, such as attorneys. Ark. Code Ann. § 4-75-101 does not apply to medical professionals. Restrictive covenants are enforceable only to the extent they are reasonable and must meet the following requirements: (1) the employer has a protectable interest and (2) the duration and scope of the covenant are not greater than necessary to protect the employer’s interest. To determine the reasonableness of the covenant, courts consider the following factors: (1) the nature of the employer’s protectable business interest; (2) the geographic scope of the employer’s business and whether or not a geographic limitation is feasible; and (3) whether the restriction on the employee is limited to a specific group of customers or other individuals or entities associated with the employer’s business. A restrictive covenant with a post-termination restriction of two (2) years is presumptively reasonable in Arkansas unless the facts demonstrate that two years is unreasonable given the employer’s interest. The lack of a geographic scope will not necessarily make the agreement unreasonable so long as the other restrictions are no greater than necessary to protect the employer’s interest.

Can employees be terminated for refusing to sign a restrictive covenant? What serves as consideration for a restrictive covenant?

Yes. Continued employment serves as consideration for a restrictive covenant.

Does your jurisdiction require contributions to a pension or retirement scheme?

No

Are certain benefits mandated by your jurisdiction?

Yes. Minimum health benefits are mandated by the federal government or tax penalties may be imposed.

Is it permitted to have a mandatory retirement age in your jurisdiction?

Yes so long as the mandatory retirement age does not violate the federal Age Discrimination in Employment Act or other applicable federal age laws.

Is it possible to cease pension or insured benefits (income continuance/disability insurance, healthcare, life assurance, etc.) when work continues beyond retirement age?

No

Can an employer make the COVID-19 vaccine mandatory for its employees? Are there exceptions that an employer must make? If an employee simply does not want to get the vaccine (without another reason like disability or religious reason), can an emp...

Response Pending

Can an employer require that employees return to work in the office (absent government order to shut down)? If an employee refuses to return to the office, can the employer terminate the employee’s employment?

Response Pending

Global Employment Law Guide

USA, Arkansas

(United States) Firm Rose Law Firm, a Professional Association

Contributors Bryant Cranford

Updated 10 Dec 2019