The $1.05 increase in minimum wage is based on the increase in inflation between August 2021 and August 2022, as published in the U.S. Bureau of Labor Statistics' Consumer Price Index. Premium pay required after 10 hours a day in nonfarm canneries, driers, or packing plants and in mills, factories or manufacturing establishments (excluding sawmills, planning mills, shingle mills, and logging camps). Jan. 1, 2024: $1.50 less than the hourly minimum wage, Jan. 1, 2025: $1.00 less than the hourly minimum wage, Jan. 1, 2026, and after: the same as the hourly minimum wage. Reduce tedious admin and maximize the power of your benefits program. Ensure you have a strong onboarding process. States with higher minimums include California ($15 an hour), Washington ($14.49) and Massachusetts ($14.25), along with the District of Columbia ($16.10), according to a list compiled by the Labor Law Center. Transform open enrollment and simplify the complexity of benefits admin. This new city ordinance increases the minimum wage for virtually all employees working within the city limits to $13.00 per hour, effective April 1, 2022. The minimum wage applies to most employees in Arizona, with limited exceptions including tipped employees, some student workers, and other exempt occupations.. <>/Border[ 0 0 0]/Rect[ 90.24 404.16 237.12 415.68]/Subtype/Link/Type/Annot>> ol{list-style-type: decimal;} 1 st January 2022. The FLSA guarantees all AZ employees adequate overtime compensation for all qualifying overtime hours worked. /Title () The current minimum is $12.80 an hour. any state to learn about applicable minimum wage laws. Contact us today so we can learn more about your business. >> 13 0 obj The minimum wage will be adjusted annually based upon a set formula. Support local journalism. You are entitled to be paid the higher state minimum wage. Hosted by Lou Gum, Arizona Edition, KAWC's news program, is our focus on the issues facing Arizona. endobj %PDF-1.4 However, if an individual employee is producing or moving goods between states or otherwise covered by the federal Fair Labor Standards Act, that employee must be paid the greater of either the federal minimum wage or Montana's minimum wage. Arizona's minimum wage will increase to $13.85 an hour. Retain and coach your workforce with career planning. The state with the highestminimum wage in 2023 is Californiaat $15.50. @media only screen and (min-width: 0px){.agency-nav-container.nav-is-open {overflow-y: unset!important;}} /Type /XObject At the start of 2022, it will become $12.80 per hour. But you can take the manual work out of payroll with Hourly, which automatically deducts taxes and pays them for you. endobj per hour. Get an Arizona all-in-one labor law poster, file an unpaid overtime claim with the Arizona Department of Labor, U.S. Department of Health & Human Services. The initiative would also establish a Department of Labor Standards by April 1, 2022. Beyond that, the Arizona minimum wage will increase based on inflation (a function of the Consumer Price Index). Paycor has the right defenses in place to protect your data. Check out our Resource Center for the latest compliance updates, industry trends, thought leadership and best practices to help organizations achieve their vision and reach their potential. Nearly half of all U.S. states will increase their minimum wages in 2023 including Arizona. The State law excludes from coverage any employment that is subject to the federal Fair Labor Standards Act when the federal rate is greater than the State rate. Phoenix-area housing prices could stay high for while longer, economist says, Damage to Arizona businesses from border restrictions could be permanent, Arizona VA facility exposed employees to hazards, inspectors say, Authorities identify human remains found in Mohave County, Maricopa County approves additional $10M for HVAC repair fund, Arizona near top of states with most elder fraud victims in 2022, West Valley teacher wins Gaydos and Chads teacher tribute, Erykah Badu to perform in Phoenix area for first time in over a decade, How to identify the symptoms of 3 common anxiety disorders, Company looking for oldest air conditioner and wants to reward homeowner with new one, Sports gambling can be fun for adults, but its a dangerous game for children. In accordance with the 2016 proposition, Arizona increased minimum wage to $12 in 2020, $12.15 in 2021 and subsequently $12.80 in 2022. However, their tipped minimum wage is $10.85 times 20 hours, which is $217. So, whats the current minimum wage in Arizona, and is it going up anytime soon?. The State law excludes from coverage any employment that is subject to the federal Fair Labor Standards Act. At the other end of the scale, 20 states follow the federal minimum of $7.25 an hour, including Pennsylvania, Texas, North Carolina, Wisconsin, Utah and Idaho. /*-->*/. Sen. Martin Quezada, D-Phoenix, recently introduced a bill that would increase the state's minimum wage to $20 an hour beginning Jan. 1, 2022, and increase it each year based on the rate of inflation. The State adopts the federal minimum wage rate by reference if the federal rate is greater than the State rate. The state adopts the federal minimum wage rate by reference if the federal rate is greater than the State rate. << But that is conditional on proof that their tips are making up the difference.Where the higher wage may hurt, said Chucri, is down the road, after inflation has cooled and after there is better alignment between the number of open jobs and the number of people who want one.Under other circumstances, he said, that could allow employers to offer less.Only thing is, the state minimum wage law is a one-way ratchet: It can only go up. Special minimum wage rates, such as the "Arizona waitress minimum wage" for tipped employees, may apply to certain workers.[1]. div#block-eoguidanceviewheader .dol-alerts p {padding: 0;margin: 0;} All Arizona employers must display an approved Arizona minimum wage poster in a prominent place to inform employees about the minimum wage and their worker's rights under Arizona labor law. endobj endobj Day & Night Air Conditioning, Heating and Plumbing. Access collaboration tools and resources that help champion equality and promote DE&I best practices in the workplace. Organize your team, manage schedules, and communicate info in real-time. If they were earning the regular minimum wage of $13.85 per hour, their gross pay would be $277. Premium Pay After Designated Hours 1 : Weekly - 40, 7th day. Exemptions from Payday Laws Under the federal Fair Labor Standards Act (FLSA), payday laws (and many other labor laws) were designed especially to protect hourly employees, rather than highly-compensated salaried employees. /Type /XObject Please check this page periodically for the most current updates on the program. Help us keep Minimum-Wage.org up-to-date! While Phoenix follows the minimum wage rate of the state of Arizona, Tucson and Flagstaff have their own set of labor lawsincluding a separate minimum wagefor workers in those cities. << Federal minimum wage is still $7.25, but more than 20 states will increase minimum wage in 2023. If the combination of direct cash wages and tips falls below Arizona's minimum wage ($12.80 per hour), employers must make up the difference. /Subtype /Image THIS POSTER MUST BE CONSPICUOUSLY DISPLAYED IN A PLACE THAT IS ACCESSIBLE TO EMPLOYEES. We pulled together an overview of Arizonas minimum wage increases as well as some ideas about how to prepare for those costs. [CDATA[/* >