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SMALL BUSINESS NEWS

21 Nov 2016

 

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Arizona Voted Yes for Minimum Wage Increase

On 8 November 2016 the voters of Arizona approved a referendum to increase the minimum wage and require employers to provide paid sick leave.

Proposition 206 would increase the states current hourly minimum wage of $8.05 in 4 steps to $12.00 in 2020, in the following way.

 

 

-$10.00 on and after January 1, 2017

-$10.50 on and after January 1, 2018

-$11.00 on and after January 1, 2019

-$12.00 on and after January 1, 2020

The rate would thereafter increase in each subsequent year based on the Consumer Price Index (CPI).

The measure also require employers to provide their employees with 1 hour of paid sick leave per 30 hours worked beginning July 1, 2017.

However, the State of Arizona and certain small businesses would continue to be exempt from paying the minimum wage.

Employers with 15 or more employees are required to give them 1 hour of earned sick leave for every 30 hours worked. But the employees is only allowed to use up to 40 hour per year [unless the employer selects a higher limit].

Employers with 15 or less employees are required to give them 1 hour of earned sick leave for every 30 hours worked. But the employees are only allowed to use up to 24 hours per year [unless the employer selects a higher limit].

In determining the amount of employees working for an employer for compensation during a given week, all full- time, part-time and temporary employees shall be counted.

Employers are required to post notices in the workplace and maintain payroll records for a period of up to 4 years. Small employers who may be unreasonably burdened by this requirement may be exempt.

The state may levy civil penalties against violators for not complying with any requirement of the law. Violations will result in a fine of $250 for the first offence and $1,000 for each subsequent offence. Additionally, employers can be subjected to a daily penalty of $150 until the final outcome of a case is determined by the commission or the courts. They could also be subjected to paying the legal fees for the injured parties.

See other States minimum wages.

Sources:
Text of Proposition 206
Arizona Secretary of State Website


By Wendy Stewart

 

 

 

 

 

 

 

 

 

 
 

 

  
 

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