Commonly Asked Questions about Arizona's New Minimum Wage

Arizona increased the state’s minimum wage from $8.05 to $10 per hour on Jan. 1, 2017 after voters passed Proposition 206 during the November general election.

To address questions or concerns regarding Arizona’s new law, the state’s Industrial Commission compiled a list of frequently asked questions about the changes.

If you are not receiving minimum wage, you may have a minimum wage claim. Contact our Arizona employment law attorneys for a consultation to learn more.

What is Arizona’s minimum wage?

On Jan. 1, 2017, Arizona’s hourly minimum wage rose to $10.00 from $8.05, and will continue to increase in proceeding years.

In 2018, the minimum wage will rise to $10.50 per hour and will reach $11 by 2019. Once Arizona’s minimum wage reaches an hourly rate of $12, the wage will increase every following year, starting on Jan. 1, 2021, based on the state’s cost of living.

Employers must abide by this new legislation and pay the minimum hourly wages required by law to their employees.

Are any employers or employees exempt from the new minimum wage laws?

There are few exemptions from the new minimum wage law, which applies to every employee except:

• Workers employed by their sibling or parent.
• Workers employed by a small business that grossed less than $500,000 annually in revenue, if the business is not mandated to pay minimum wage under the Federal Fair Labor Standards Act. However, this exclusion is limited, and many small businesses are still subject to their state’s minimum wage.
• Workers employed by the state or federal government.
• Workers who perform casual services, such as babysitting within the employer’s home.

Does the minimum wage law apply to independent contractors or temporary employees?

Arizona’s minimum wage law only applies to wage payments to employees, and does not include independent contractors.

Is an employer required to pay at least minimum wage for all hours worked?

Minimum wage must be paid for all hours worked, regardless of the consistency of the payment or whether the wage is paid hourly, through commission or any other version of compensation.

Is the minimum wage the same for minors and adults?

Yes, the minimum wage will remain the same for all workers, regardless of the worker’s age.

If you believe you have been denied fair wages from your employer or had your rights as a worker violated, contact the employment law attorneys at Phillips Law Group to discuss your legal options. 

Free consultation by phone. Call or text 1-800-706-3000 or fill out a Case Evaluation form to get started. No fees to start and no fees unless we win your case.