On November 2, 2021, voters in Tucson, Arizona, passed Proposition 206 (officially titled the Tucson Minimum Wage Act (TMWA)). 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. (Arizona's minimum wage currently is $12.80 per hour.) But there is more to the Tucson ordinance than just a pay increase for minimum wage workers. The ordinance also creates a host of other employer requirements unrelated to the minimum wage that substantially affects the employer-employee relationship.
After the initial minimum wage bump on April 1, the TMWA increases the Tucson minimum wage rate as follows:
- $13.50 on January 1, 2023
- $14.25 on January 1, 2024
- $15.00 on January 1, 2025
On January 1, 2026, and each January thereafter, the TMWA increases the minimum wage rate based on the rate of inflation. Per the TMWA, the new rate will be determined by the percentage rate of inflation multiplied by the minimum wage on December 31 of the previous year, rounded to the nearest multiple of five cents ($0.05).
The TMWA also created new requirements and restrictions that affect many more workers employed "within the geographic boundaries of the city" than just those earning a minimum wage. Here is a summary of those key changes.
"Worker for Hire" Minimum Wage
The TMWA adopts the worker-friendly " ABC test" for determining whether a worker is entitled to earn at least the TMWA minimum wage. To...
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