Bill > HB2295

This bill amends Arizona's minimum wage law, section 23-363 of the Arizona Revised Statutes, to establish a new minimum wage of $18 per hour starting January 1, 2027, and mandates that the minimum wage will be increased annually thereafter based on the cost of living, measured by the U.S. city average consumer price index, with rounding to the nearest five cents. The bill also clarifies that employers can pay tipped employees $3.00 per hour less than the minimum wage, provided that when tips are added to wages, the employee still earns at least the minimum wage for all hours worked, with compliance determined by employer records or employee declarations for FICA (Federal Insurance Contributions Act) purposes. Importantly, this bill requires a three-fourths vote from each house of the legislature to become effective.

Business and Industry

https://apps.azleg.gov/BillStatus/BillOverview/84030