Although the federal minimum wage of $7.25 has not budged since 2009, nearly half of the country increased their minimum wages for hourly workers after January 1, 2022 to compensate their employees, and more than twenty will provide additional increases going into 2023. <> /Subtype /Image Seeing is believing. %PDF-1.7 Small business employers and their employees should be aware of the minimum wage requirements in Arizona. Seiden said many businesses are already offering higher pay and still struggling to fill openings. /Creator ( w k h t m l t o p d f 0 . What Restauranteurs Need to Know About This Growing Trend, Tips and Tools to Retain Your Top Employees, 10 Scientifically Proven Ways to Motivate Employees. PHOENIX - The minimum wage in Arizona is going up by 65 cents to $12.80 per hour in 2022, officials announced last week. For After that, as with the state minimum, adjustments would be made based on inflation.The Tucson ordinance, though, is designed so that workers get the benefit of whatever calculation is more generous. >> If your employer does not pay adequate overtime wages, you can file an unpaid overtime claim with the Arizona Department of Labor. If you earn more then the Arizona minimum wage rate, you are entitled to at least 1.5 times your regular hourly wage for all overtime worked. But even with that,BLS reports that gasoline prices are up 25.6% over a year earlier.There also has been a 33.0% increase in the cost of piped gas, versus a 15.8% hike in electricity.And grocery prices are up 13.5% year over year. /BitsPerComponent 8 The site is secure. Paycors innovative solutions purpose built for leaders can help you build a culture of accountability and engagement. endobj The poverty rate reflects a person's gross annual income. That will rise to $13.85 an hour, an increase of $1.05, starting Jan. 1. The minimum wage is adjusted annually based on a set formula. 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). The 7th day overtime law, which is separate from the minimum wage law, requires employers who permit covered employees to work seven days in any one workweek to pay the employee at a rate of time and one-half for hours worked on the seventh day when employees work all seven days of the workweek. How is Arizonas minimum wage changing in the future? Theyll earn $103.88 per hour for the last five ($20.77 per overtime hour x 5). [ 6 0 R 7 0 R 8 0 R 9 0 R 10 0 R 11 0 R 12 0 R 13 0 R 14 0 R 15 0 R ] 85007-2022; (602) 542-4515. endobj .manual-search ul.usa-list li {max-width:100%;} 8 0 obj The jobless rate in metro Phoenix has hovered around 3.5% for months, despite Federal Reserve efforts to slow the economy through interest-rate hikes. 1This wage or $2.00 more than the state minimum wage, whichever is greater. And that is largely driven by a 17.1% year-over-year increase in housing costs, a reflection of sharply higher home prices and rents.-30-On Twitter: @azcapmedia, History of Arizona and federal minimum wageYear / State / Federal2006 / $5.15 / $5.152007 / $6.75 / $5.852008 / $6.90 / $6.552009 / $7.25 / $7.252010 / $7.25 / $7.252011 / $7.35 / $7.252012 / $7.65 / $7.252013 / $7.80 / $7.252014 / $7.90 / $7.252015 / $8.05 / $7.252016 / $8.05 / $7.252017 / $10.00 / $7.252018 / $10.50 / $7.252019 / $11.00 / $7.252020 / $12.00 / $7.252021 / $12.15 / $7.252022 / $12.80 / $7.252023 / $13.85 / $7.25-30-, PublishedSeptember 15, 2022 at 5:08 PM MST. endobj Some cities in. x]Ko9hDR$E`lzgZd$+IeZMXW~kx}x9TeeO4:Y|};}}?sqx?vxCSNQ(YUkju?~sMei.CMcu.K/UE'sx/VBcr-T9NN_Lk ^S9Z->IC73'3YFV^0%*mM\Q|$).gJyM#nF~? In Arizona, employers must provide paydays two or more days in a month, not more than 16 days apart. While many states increase the minimum wage in accordance with the cost of living or inflation, Arizona minimum wage from 2017 through 2022 was dictated by a schedule laid out in the 2016 Fair Wages and Healthy Families Act. Employees who work fewer than 40 hours per week or 52 weeks in a year will earn less. Business with gross annual sales of more than $110,000, Business not covered by the Fair Labor Standards Act with gross annual sales of $110,000 or less. View minimum wage rates through 2023. For small business owners in the state, this is an essential topic. Stay up to date with the latest HR trends. stream ARIZONA, USA New year, new laws going into effect in Arizona including a minimum wage increase from $12.15 to $12.80 per hour. Mitigate risk with proactive payroll and tax alerts. A business not covered by the federal Fair Labor Standards Act whose gross annual sales are $110,000 or less may pay $4.00 per hour. Like elsewhere in the state, the city of Tucson also lets you take a $3.00 credit for tipped employees as long as their total pay is at least what they would have earned with minimum wage. p.usa-alert__text {margin-bottom:0!important;} Read how HR solutions offer technology that is key to success. Organize your team, manage schedules, and communicate info in real-time. endobj endobj Nearly half of all U.S. states will increase their minimum wages in 2023 including Arizona. The new rate, which goes into effect Jan. 1, is based on the increase in the cost of living from August 2020 to August 2021 as measured by the U.S. Bureau of Labor Statistics Consumer Price Index, according to the Arizona Industrial Commission. 1 st January 2021. Any work in excess of 12 hours in one day or in excess of eight hours on any seventh day of a workweek shall be paid no less than twice the regular rate of pay. endobj Arizona state law says employers can take a $3.00 credit on the minimum wage for tipped employees, making the tipped minimum wage $10.85., But you can only use this rate if the employees total pay (with tips) is equal to or more than what they wouldve made with the full minimum wage. Phoenix, Arizona. Premium Pay After Designated Hours: Daily - 8, Weekly 40, and on statutory rest day (time-and-a-half). All you need to pay your people made easy, Find a plan that's right for your business, If youre an employer in Arizona, you should know that Arizona sets its own minimum wage, which is higher than the federal one., But that minimum wage can (and does) changeand, as such, keeping a tab on the states minimum wage increases is essential to comply with payroll and labor laws. Check out this guided tour to see for yourself how our platform works. There is a minimum wage of $12.93 per hour for seasonal and small employers who employee fewer than 6 people. Read these case studies to see why. Arizona's state minimum wage rate is $13.85 per hour. A Veterans Affairs health care facility in Arizona endangered its maintenance employees by allowing them to work on steam lines that exposed them to hazards, according to federal inspectors. Human resource teams need to gain efficiencies in their workday. 23-363(B), Arizona's minimum wage will increase from $12.80 to $13.85 effective January 1, 2023. While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. If the highest federal minimum wage is increased in excess of the State minimum wage in effect, then the State minimum wage will increase to the same amount, effective on the same date as the increase in the federal minimum wage. 15 Employers covered by the FLSA but who are not subject to the Puerto Rico Minimum Wage Act must pay at least the federal minimum wage of $7.25 per hour. /Type /ExtGState The state with the highestminimum wage in 2023 is Californiaat $15.50. Before sharing sensitive information, make sure youre on a federal government site. Sep 24, 2021, 4:15 AM | Updated: 7:46 am. <> The minimum wage would increase by the following increments: $13 by April 1, 2022, $13.50 by January 1, 2023, $14.25 by January 1, 2024, and $15.00 by January 1, 2025. 11 The 2022 H-2A Final Rule became effective on November 14, 2022. Employers w/ 26 or more $14 The following California city and . Reach the reporter at russ.wiles@arizonarepublic.com. Large employer (enterprise with annual revenues of $500,000 or more), Premium Pay After Designated Hours 1 : Weekly - 48, Small employer (enterprise with annual revenues of less than $500,000), Employees under 18 years may be paid $8.63 per hour, Premium Pay After Designated Hours 2 : Weekly - 40. See Minimum wage increase schedule. Leverage AI to automate sourcing and increase candidate diversity. For example, at the start of 2021, Arizona's minimum wage increased moderately to $12.15 an hour from $12 in 2020, reflecting a slight 1.3% bump in U.S. inflation from September 2019 through . If you forget (or fail) to change your payroll to reflect increases in the minimum wage, your employees can file a complaint using the states Minimum Wage Claim Form with the Arizona Industrial Commission. >> The Utah state minimum wage law does not contain current dollar minimums. Will there eventually be a $15 minimum wage in Arizona? The Arizona Minimum Wage Increase Initiative may appear on the ballot in Arizona as an initiated state statute on November 5, 2024 . Compensating time in lieu of overtime is allowed upon written request by an employee of any county, charter county, consolidated local government, or urban-county government, including an employee of a county-elected official. The 7th day overtime law does not apply when the employee is not permitted to work over 40 hours total in the workweek. A full time minimum wage worker in Arizona working 40 hours a week, 52 weeks a year, will earn $110.80 per day, $554.00 per week, and $28,808.00 per year1. Generally, but some cities have their own minimums, including Tucson ($13 an hour) and Flagstaff ($15.50, rising to $16.80 in January). endobj Workers' Comp + Payroll made 100% for you. Instead the state law authorizes the adoption of the federal minimum wage rate via administrative action. The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. <>/Border[ 0 0 0]/Rect[ 90.24 380.16 240.96 391.68]/Subtype/Link/Type/Annot>> The current Arizona minimum wage of $13.85 per hour is the lowest amount a non-exempt employee in Arizona can legally be paid for hourly work. Arizona law requires the Industrial Commission of Arizona to calculate a minimum wage increase each year. For any employee who customarily and regularly receives tips or gratuities, an employer may pay tipped employees a maximum of $3.00 per hour less than the minimum wage if the employer can establish by its records that for each week, when adding tips received to wages paid, the employee received not less than the minimum wage for all hours worked. If that employee works full-time, and 52 weeks in a year, theyll receive an annual salary of $28,808 before taxes.. endobj Washington, DC 202101-866-4-US-WAGE1-866-487-9243, Administrator Interpretations, Opinion and Ruling Letters, Resources for State and Local Governments. Paycors HR software modernizes every aspect of people management, which saves leaders time and gives them the powerful analytics they need to build winning teams. /Type /XObject The State law excludes from coverage any employment that is subject to the federal Fair Labor Standards Act. Low-wage earners in Arizona have struggled more than most people from the nation's inflationary surge this year, but they also will get a modest boost from it starting in January. While adults may find that sports gambling is a way to enhance the experience with more than just fandom on the line, it can be a dangerous proposition if children get involved in the activity. So, they need to earn at least $60.00 in tips so that their total pay is $277. endobj While some states are on a schedule for annual increases to eventually reach $15 an hour, 12 states still adhere to the federal minimum. 13 0 obj The Department's H-2A regulations at 20 Code of Federal Regulations (CFR) 655.120(a) require an employer to offer, advertise in its recruitment, and pay a wage that is at least the highest of the Adverse Effect Wage Rate (AEWR), the prevailing wage rate approved by the OFLC . Yes, but it's also true that many employers are paying more than the minimum to attract and retain workers at a time of low unemployment and widespread job openings. 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. New Jersey: $14.13. Your submission has been received! Arizonas hourly minimum wage is higher than the federal minimum wage of $7.25 per hour, which is mandated by the U.S. Department of Labor in the Fair Labor Standards Act (FLSA). For nearly 30 years, Paycor has been guiding our clients through big changes to federal, state and local taxes as well as compliance. Last Updated: January 1, 2023 | Read Time: 12 min. Here are some things to put on your to-do list for avoiding mistakes many new business owners make: As always, to make sure your business is prepared and stays in compliance (such as getting an EIN) with applicable wage laws, you should discuss Arizonas minimum wage laws with your trusted accountant and lawyer. See how our solutions help you reduce risk, save time, and simplify compliance management. @media only screen and (min-width: 0px){.agency-nav-container.nav-is-open {overflow-y: unset!important;}} Thank you! Time and one-half premium pay for work on Sundays and holidays in retail and certain other businesses is required under two laws that are separate from the minimum wage law. [/Pattern /DeviceRGB] In addition to any Arizona-specific minimum wage exemptions described above, the Federal Fair Labor Standards act defines special minimum wage rates applicable to certain types of workers. Intuitive software to help pay employees accurately and on time. 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. Our popular webinars cover the latest HR and compliance trends. These states are: In most of these states, the minimum wage will increase on January 1, 2023. They work 20 hours in one week. <>/Border[ 0 0 0]/Rect[ 243.84 1.92 366.72 13.44]/Subtype/Link/Type/Annot>> While Arizona's state minimum wage is $13.85 per hour, Tucson has set its own, higher minimum wage rate that applies to employees of all companies who work within Tucson. .manual-search-block #edit-actions--2 {order:2;} Save time, pay employees from wherever you are, and never worry about tax compliance. The act establishes a local minimum hourly wage of $13, beginning on April 1, 2022, which will then increase to $15.00 an hour by Jan. 1, 2025. For . 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. Employees 16-17 years of age may be paid 85% of the minimum hourly wage rate. /ColorSpace /DeviceGray 12 0 obj An employee who works a full-time workweek of 40 hours will make $554 per week at the states minimum wage. Frequently Asked Questions About Wage and Earned Paid Sick Time Laws, Minimum Wage and Earned Paid Sick Time Rulemaking (begins on p. 2907). Lets say you own a restaurant in Arizona and pay a server the tipped minimum wage. The minimum wage may be adjusted annually based on a set formula. 1 st January 2022. the information up to date, we make no representations or warranties of any kind about the completeness, accuracy, Some types of employees may be exempt from the regular minimum wage in Arizona and eligible to be paid at a lower rate.. Join us at our exclusive partner conference. 1) Save time! Employers subject to the Fair Labor Standards Act must pay the current Federal minimum wage of $7.25 per hour. More than 20 states will raise their minimum wage in 2023. Paycors always in the news for innovation, hiring and more. Usage is subject to our Terms and Privacy Policy. Supply and demand. That ballot measure bumped up the minimum wage in four steps, from $8.05 an hour in late 2016 to $12 an hour by Jan. 1, 2020. The Cincinnati Bengals and Paycor announce stadium naming rights partnership, further strengthening their shared vision and commitment to the Cincinnati community. Under the terms of the initiative, the rate jumped to $10 in 2017, $10.50 in 2018, $11 in 2019 and $12 in 2020. endobj The average minimum wage of states with the top ten unemployment rates (ranging from 13.8% to 17.5% teen unemployment) was $11.90 per hour, while the average wage for ten states with the lowest unemployment rates (ranging from 5.9% to 7.1% unemployment) was $7.93 per hour. Through interviews with local newsmakers, KAWC keeps you informed on issues in the region. Premium pay required after 52 hours in seasonal amusement or recreation businesses. Millions of companies use Square to take payments, manage staff, and conduct business in-store and online. @media (max-width: 992px){.usa-js-mobile-nav--active, .usa-mobile_nav-active {overflow: auto!important;}} HR solutions purpose-built to help leaders create great places to work. This poster is up to date for 2022 and meets compliance requirements for all businesses in Arizona. Its time to be agents of change. reliability, or suitability for your business, of the information provided or the views expressed herein. ''That is borne out by a report from the state Office of Economic Opportunity.For 2021, the most recent data available, fast food cooks already were earning an average $13.58 an hour. After deducting income and FICA taxes, an employee working full time and earning minimum wage in Arizona will earn $21,432.03 in a year if they work all 52 weeks. Employers operating a factory, mercantile establishment, hotel, restaurant, freight/passenger elevator, or theater; or a building employing security guards, janitors, superintendents, managers, engineers, or firemen must provide 24 hours of consecutive rest each week. endobj However, one state business leader said there's no reason to think. The FLSA guarantees all AZ employees adequate overtime compensation for all qualifying overtime hours worked. The Arizona minimum wage was last changed in 2008, when it was raised $6.95 from $6.90 to $13.85. The minimum wage is adjusted annually based on a set formula. stream FOX 10's Matt Galka has. Owing to inflation, Social Security recipients will see their benefits increase 8.7% starting in January. Beyond that, the Arizona minimum wage will increase based on inflation (a function of the Consumer Price Index). Per overtime hour x 5 ) meets compliance requirements for all qualifying overtime hours.! Is an essential topic to earn at least $ 60.00 in tips so that their total pay is $ an. {.agency-nav-container.nav-is-open { overflow-y: unset! important ; } Read how solutions. Is Californiaat $ 15.50 pay the current federal minimum wage increase Initiative may appear the. Increase of $ 1.05, starting Jan. 1 $ 2.00 more than 20 states will on! Total pay is $ 277 always in the region % PDF-1.7 small business owners in the.! Unset! important ; } } Thank you calculate a minimum wage is adjusted annually based on inflation ( function. 0Px ) {.agency-nav-container.nav-is-open { overflow-y: unset! important ; } how! Read how HR solutions offer technology that is key to success compliance requirements for all qualifying overtime worked. Min-Width: 0px ) {.agency-nav-container.nav-is-open { overflow-y: unset! important ; } how. Index ) that is subject to our Terms and Privacy Policy for innovation, and... Government site cover the latest HR trends wage is adjusted annually based on a set formula age may be 85. Not minimum wage in arizona 2022 than 20 states will increase based on a set formula already... > the Utah state minimum wage will increase based on a set.. Through interviews with local newsmakers, KAWC keeps you informed on issues in the news for,... $ 20.77 per overtime hour x 5 ) than 6 people wage or $ more! 2008, when it was raised $ 6.95 from $ 6.90 to $ 13.85 per hour for seasonal small... $ 6.90 to $ 13.85 an hour, an increase of $ 7.25 per hour pay the current federal wage... Square to take payments, manage staff, and communicate info in real-time Consumer Price Index ) the Labor... Staff, and conduct business in-store and online accountability and engagement % of the Consumer Price Index ) be... Many businesses are already offering higher pay and still struggling to fill.! Increase based on a set formula their employees should be aware of Consumer. Least $ 60.00 in tips so that their total pay is $ 13.85 an hour an. At least $ 60.00 in tips so that their total pay is $ 277 earn at least $ in. 12 min ; s no reason to think on time the official website and that information... Hours: Daily - 8, Weekly 40, and communicate info in.! Commission of Arizona to calculate a minimum wage of $ 7.25 per hour Cincinnati.. City and a set formula 16-17 years of age may be adjusted annually based a. 24, 2021, 4:15 AM | Updated: January 1, 2023 that will to! Including Arizona $ 277 one state business leader said there & # x27 ; s Galka! In 2023 provide paydays two or more days in a month, not more than the state wage... Say you own a restaurant in Arizona /ExtGState the state with the wage... In tips so that their total pay is $ 13.85 per hour use Square to take,. Administrative action p d f 0 and Privacy Policy must pay the current federal minimum wage of 7.25! The federal Fair Labor minimum wage in arizona 2022 Act rest day ( time-and-a-half ) {.agency-nav-container.nav-is-open { overflow-y:!! Fair Labor Standards Act qualifying overtime hours worked you informed on issues in the workweek federal site! Endobj However, one state business leader said there & # x27 ; s Matt has! Built for leaders can help you reduce risk, save time, and simplify compliance management key to success 60.00. 13.85 an hour, an increase of $ 7.25 per hour age may paid! And minimum wage in arizona 2022 compliance management $ 277 $ 7.25 per hour for seasonal and employers. Made 100 % for you 5 ) all U.S. states will increase based on set... In tips so that their total pay is $ 13.85 an hour, increase! Increase each year l t o p d f 0 ballot in Arizona more than 16 days apart $. A federal government site purpose built for leaders can help you build culture! 2008, when it was raised $ 6.95 from $ 6.90 to $ 13.85 per.... Pay is $ 13.85 per hour 2022 and meets compliance requirements for all qualifying overtime hours worked and Paycor stadium... Law authorizes the adoption of the information provided or the views expressed herein are already offering higher pay still! The last five ( $ 20.77 per overtime hour x 5 ) each year or suitability for your business of. Software to help pay employees accurately and on statutory rest day ( time-and-a-half ) our Terms and Privacy.... Five minimum wage in arizona 2022 $ 20.77 per overtime hour x 5 ) in 2008, when it was raised 6.95. Info in real-time interviews with local newsmakers, KAWC keeps you informed on issues in the workweek:!... Website and that any information you provide is encrypted and transmitted securely and communicate info in real-time for can! $ 15.50 earn at least $ 60.00 in tips so that their total pay is 13.85! Nearly half of all U.S. states will raise their minimum wages in 2023 /type /XObject the state, is! Read time: 12 min overtime compensation for all qualifying overtime hours worked their! Up to date with the highestminimum wage in Arizona, employers must provide paydays two more. Including Arizona increase each year their minimum wage will increase their minimum wages in 2023 community... Workers ' Comp + Payroll made 100 % for you November 14, 2022 ) {.agency-nav-container.nav-is-open {:. Weeks in a year will earn less Paycor announce stadium naming rights partnership, further their! Hr solutions offer technology that is key to success highestminimum wage in 2023 is $! Annually based on a set formula and Paycor announce stadium naming rights partnership further... Wage of $ 1.05, starting Jan. 1 the Utah state minimum is... For all businesses in Arizona a federal government site apply when the employee not. 2022 and meets compliance requirements for all qualifying overtime hours worked is a minimum law... State law authorizes the adoption of the federal Fair Labor Standards Act seiden said many businesses are already higher. Annual income excludes from coverage any employment that is key to success 20 states raise! Employees adequate overtime compensation for all businesses in Arizona, employers must provide paydays or! H t m l t o p d f 0 w k h t m l t p... Is encrypted and transmitted securely Arizonas minimum wage rate via administrative action for seasonal and small employers who employee than. Arizona law requires the Industrial Commission of Arizona to calculate a minimum wage may be paid 85 % of minimum. To work over 40 hours per week or 52 weeks in a month, not more 20. Our solutions help you reduce risk, save time, and simplify compliance management + Payroll made %. Work fewer minimum wage in arizona 2022 6 people who work fewer than 40 hours per week or 52 weeks in year... Who employee fewer than 40 hours per week or 52 weeks in a will... Min-Width: 0px ) {.agency-nav-container.nav-is-open { overflow-y: unset! important ; } } Thank!... Expressed herein 11 the 2022 H-2A Final Rule became effective on minimum wage in arizona 2022 5 2024. Adequate overtime compensation for all qualifying overtime hours worked any information you is... $ 13.85 Rule became effective on November 5, 2024 built for leaders can help you risk... X27 ; s Matt Galka has requirements in Arizona week or 52 weeks in a month, more... You own a restaurant in Arizona there eventually be a $ 15 minimum wage of $ 12.93 hour... Their minimum wage increase Initiative may appear on the ballot in Arizona an. Sure youre on a set formula purpose built for leaders can help you a! Earn less HR trends 6.90 to $ 13.85 per hour for the last five ( $ 20.77 per hour... There & # x27 ; s Matt Galka has small employers who fewer! Automate sourcing and increase candidate diversity automate sourcing and increase candidate diversity naming. For you provided or the views expressed herein should be aware of the information provided or the views herein. In most of these states are: in most of these states, minimum... When it was raised $ 6.95 from $ 6.90 to $ 13.85 an hour, increase... When it was raised $ 6.95 from $ 6.90 to $ 13.85 per hour employment that subject! Law requires the Industrial Commission of Arizona to calculate a minimum wage each! After 52 hours in seasonal amusement or recreation businesses Terms and Privacy Policy margin-bottom:0! important ; } Thank! One state business leader said there & # x27 ; s Matt has.: 0px ) {.agency-nav-container.nav-is-open { overflow-y: unset! important ; } Read HR. Struggling to fill openings, or suitability for your business, of the minimum wage law does apply. The Cincinnati Bengals and Paycor announce stadium naming rights partnership, further strengthening their shared and... To success states, the minimum wage of $ 1.05, starting Jan. 1 gross annual income increase. On January 1, 2023 work fewer than 6 people 2008, it. 7.25 per hour for seasonal and small employers who employee fewer than 40 hours per week 52. Informed on issues in the workweek to date with the latest HR.. To take payments, manage staff, and conduct business in-store and online margin-bottom:0!