1-5 Section 1: Wage and Hour Issues AZ $10.00 ($10.50, eff. 1-1-18 $11.00, eff. 1-1-19 $12.00, eff. 1-1-20 adjusted annually for inflation, eff. 1-1-21). Flagstaff: $12.00 (eff. 7-1-17 $12.50, eff. 1-1-18). Rate must be at least $2.00 more than state minimum wage. Exemptions: individuals employed by a parent or sibling babysitters in private homes on a casual basis federal or state government employers small businesses (less than $500,000 in gross annual revenue and FLSA exempt). Flagstaff: applies to employees expected to work at least 25 hours or more per year within the city. A wage board may recommend rates for learners, apprentices, and handicapped workers at less than the minimum wage rate applicable to minors. Rate for minors under age 18 may be set by Labor Commission (varies by locality) if a substantial number of minors in an occupation are receiving oppressive and unreasonable wages. $3.00/hour for employees customarily and regularly receiving tips, provided tips plus wages equal or exceed the state minimum wage. Minimum cash wage for tipped employees is $7.00/hour ($7.50/ hour, eff. 1-1-18 $8.00/hour, eff. 1-1-19 $9.00/hour, eff. 1-1-20). Flagstaff: $3.00/hour (eff. 7-1-17 $2.50/ hour, eff. 1-1-22). Minimum cash wage for tipped employees is $9.00/hour (eff. 7-1-17 $9.50/hour, eff. 1-1-17). A.R.S. §§23-313, 23-315, 23-317, 23-362, 23-363 Flagstaff Municipal Code ch. 15-01 AR $8.50. Applies to employers with 4 or more employees. Exemptions: employees not covered by FLSA bona fide executives, administrators, and professionals outside commissioned salespeople students who are working for the school, college, or university where enrolled and are regularly attending classes federal, state, or local government employees (except public schools and school districts) volunteers or non-employees for educational, charitable, religious, or nonprofit organizations bona fide independent contractors agricultural employees working for immediate family or for employers who did not use more than 500 man-days of agricultural Learners, apprentices, and certain handicapped workers with special license: less than state minimum permitted. Full-time students attending an accredited school and working not more than 20 hours a week (40 hours when school is not in session): at least 85% of minimum wage. $5.87/hour provided employee actually receives the tips, and minimum cash wage paid, excluding tips, is no less than $2.63/ hour. A.C. §§11-2-102(1) (B), 11-4-203, 11-4-210, 11-4-212, 11-4-214, 11-4-215 APA's Guide to State Payroll Laws
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