Get an overview of the Arizona labor laws small businesses should know when hiring, and updates on employment laws that could impact your business.
In Arizona, the state minimum wage is $14.35 per hour.
Some Arizona cities have their own wage requirements that exceed Arizona’s state-wide minimum wage. Employers with potentially impacted employees should review both state and local requirements. Please check the references for additional minimum wage requirements across localities.
References:
Arizona follows the federal minimum exempt salary requirement of $884 per week, or $43,888 per year for most exemptions from minimum wage and overtime.
References: Federal Minimum Exemption Threshold
Arizona follows federal law and doesn’t have state-specific regulations requiring employers to provide meal and rest break periods.
Arizona follows federal law and doesn’t have state-specific lactation accommodations laws or regulations.
Keep up to date with important changes to state and local employment laws in Arizona.
The Tucson Minimum Wage Act in Arizona will officially raise the minimum wage to $13.00 per hour effective April 1, 2022, amongst other related changes. This is part of an annual schedule to increase the minimum wage rate up to $15 per hour by 2025, after which the rate will be adjusted annually based on the rate of inflation.
Arizona has amended its state civil rights act to expand the definition of discrimination on the basis of sex to explicitly include “pregnancy or childbirth or related medical conditions”. In line with the federal Pregnancy Discrimination Act and Americans with Disabilities Act, employers are prohibited from treating pregnant employees any differently from any other employee experiencing work limitations. The act covers employers with fifteen or more employees, except as it relates to sexual harassment, in which case all employers with at least one employee are covered.
On Election Day, voters in Tucson passed a ballot initiative that makes updates to various aspects of Tucson's local wage and hour law landscape. In addition to reaching a $15 minimum wage by 2025 (with the first increase to minimum wage coming on April 1, 2022), the act expands the definition of work hours, introduces an enhanced independent contractor test, prohibits certain deductions from wages, and provides for scheduled shift pay, among other updates.
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.
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