Arizona’s default employment relationship allows either the employer or the employee to terminate the employment relationship at any time, for any reason that is not prohibited by law, or for no reason at all. For example, an employee could resign to pursue a different career opportunity, while an employer could terminate an employee due to downsizing. There are some exceptions, including discrimination based on protected characteristics like race or religion, and retaliation for whistleblowing.
This system provides flexibility for both employers and employees to adapt to changing circumstances. Businesses can adjust their workforce based on economic conditions or project needs, while individuals have the freedom to pursue better opportunities without being bound by fixed-term contracts. Historically, this approach has been dominant in the United States, reflecting a belief in free markets and individual autonomy. However, it’s essential to understand the limitations and protections provided by state and federal laws to ensure fair and lawful employment practices.