Arizona Proposition 206 – also known as the Minimum Wage and Paid Time Off Initiative – will be on the November 8th ballot.
Currently, the Arizona minimum wage is $8.05 while the federal minimum wage is $7.25. In 2006, Arizona voters approved Proposition 202 (also known as the Arizona Minimum Wage Act), which provides for annual adjustments based on the cost-of-living.
Voting YES for Prop 206:
Prop 206 would increase the minimum wage in Arizona to $10 in 2017.
- In 2018, it would increase to $10.50
- In 2019, it would increase to $11.00
- In 2020, it would increase to $12.00
- For 2021 and successive years, it would increase based on the cost of living.
Prop 206 would also entitle employees to earn 1 hour of paid sick time for every 30 hours worked with limits based upon the size of the employer:
- 40 hours of annual paid sick time to employees of businesses with at least 15 employees.
- 24 hours of annual paid sick time to employees of businesses with less than 15 employees.
- Employees would be entitled to use this paid sick time for a number of reasons, including the employee’s medical care, the need to care for a family member, addressing domestic violence or a public health emergency, to name a few.
Voting NO for Prop 206:
- Maintain the current minimum wage of $8.05.
- With the cost-of-living increase established by Prop 202, the minimum wage is expected to increase to $8.15 in 2017.
- Employers will retain the ability to choose whether they offer paid sick time off.
Prop 206 has implications for business owners in Arizona and is an important consideration in this upcoming election.
Staying up to date on existing and proposed legislation – and their impacts on business owners and employees – can be a daunting task. DHR’s Full-Service HR solution – including assistance with understanding state and federal employment laws – helps ensure that your HR function is aligned with these ever-changing requirements.