Bill > HB2849

This bill, titled the "One Fair Wage Act," proposes significant changes to Arizona's minimum wage laws, aiming to increase it to $18 per hour by January 1, 2027, and then adjust it annually based on the cost of living, measured by the U.S. city average consumer price index. It also mandates an additional $1 per hour increase on January 1, 2028, and again on January 1, 2029, after the cost-of-living adjustment. A crucial provision is that starting January 1, 2030, employers will be required to pay the full minimum wage to all employees, regardless of whether they customarily receive tips, eliminating the previous practice of allowing employers to pay a lower wage to tipped employees if their tips brought their total earnings up to the minimum wage. The bill also specifies that if the cost of living decreases, the minimum wage will remain unchanged for that year, and it includes standard clauses regarding conflicts with federal law and severability, meaning if one part of the law is found invalid, the rest will still stand. Importantly, this act requires a three-fourths vote in both houses of the legislature to become effective, reflecting its substantial impact on existing statutes.

Business and Industry, Government Affairs

https://apps.azleg.gov/BillStatus/BillOverview/84694