Arizona's wage floor moves every January. We put the current rate in front of the people you want to hire.
Book a demoState labor lawRead at source, 24 September 2026
Arizona Labor Laws for Employers (2026): Breaks, Overtime, Sick Time and Hiring
Arizona has no required meal or rest breaks and no state overtime law for private employers, so federal overtime applies: time and a half after 40 hours in a workweek, with no daily rule. What Arizona does add: a minimum wage of $15.15 that rises every January, paid sick time for every employee (1 hour per 30 worked), E-Verify for every new hire, and final pay within seven working days when you discharge someone. Employment is at-will, and new hires must be reported within 20 days.
Arizona employment law at a glance
Arizona sets several rules of its own on top of federal law. The minimum wage is well above the federal floor and rises every January, every employee earns paid sick time, and every employer has to run new hires through E-Verify. On the other hand, Arizona has no state overtime law for private employers and no required meal or rest breaks. Here is the whole picture for a private employer.
| Rule | Arizona requirement | Note and source |
|---|---|---|
| Minimum wage | $15.15 an hour since January 1, 2026 | Indexed to inflation every January 1 (A.R.S. 23-363). Flagstaff and Tucson set higher local rates. See Arizona minimum wage. |
| Tipped cash wage | $12.15 an hour | The tip credit can be at most $3.00 an hour, and tips plus wages must reach $15.15 each week. |
| Overtime | No state overtime law for private employers (federal rules apply) | Federal law: 1.5 times the regular rate after 40 hours in a workweek. No daily overtime. |
| Meal break, adults | No state requirement (federal rules apply) | A meal period can be unpaid only if the employee is fully relieved of duty. |
| Rest breaks, adults | No state requirement (federal rules apply) | Short breaks you choose to give are paid time. |
| Breaks for minors | No state requirement (federal rules apply) | Hours limits for under-16s still apply (A.R.S. 23-233). |
| Final paycheck, fired | Within 7 working days or the end of the next regular pay period, whichever is sooner | A.R.S. 23-353(A) |
| Final paycheck, quitting | By the regular payday for the pay period in which the employee quit | By mail if the employee asks (A.R.S. 23-353(B)). |
| Pay frequency | Two or more fixed paydays a month, no more than 16 days apart | A.R.S. 23-351 |
| Paid sick leave | Required for all employers | 1 hour per 30 worked; annual cap 40 hours at 15+ employees, 24 hours below that (A.R.S. 23-372). |
| Pay transparency in job postings | No state requirement | See pay transparency laws by state. |
| E-Verify, private employers | Required for every employer | After hiring each employee (A.R.S. 23-214). |
| Ban-the-box, private employers | No state requirement | See ban-the-box laws by state. |
| New-hire reporting | Within 20 days of hire, to the Department of Economic Security | A.R.S. 23-722.01 |
| Work permits for minors | Not required | Hours and occupation limits still apply. |
| At-will employment | Yes | Unless both sides signed a written contract saying otherwise (A.R.S. 23-1501). |
Arizona break laws
Arizona does not require employers to give adult employees a meal period or a rest break. There is no break rule for minors in the state's child labor statutes either. That puts Arizona with the majority of states on our meal break laws by state table, and it means federal law decides how any break you do give is paid.
Under the federal rule at 29 CFR 785.18, short rest breaks of about 5 to 20 minutes count as hours worked and must be paid. A meal period, usually 30 minutes or more, can be unpaid only if the employee is completely relieved of duty. If a cashier eats at the register or a caregiver keeps a pager on during lunch, that time is work time.
Arizona also treats breaks as a state subject. A.R.S. 23-204 declares the regulation of employee benefits, including "paid and unpaid leave," "meal breaks and rest periods," a matter of statewide concern "not subject to further regulation by a city, town or other political subdivision."
Lactation breaks
We did not find a separate Arizona statute on lactation breaks for private employers, so the federal PUMP for Nursing Mothers Act sets the rule. Employers covered by the FLSA must give reasonable break time to express breast milk for one year after the child's birth, in a place other than a bathroom that is shielded from view. Break time is unpaid unless the employee is not completely relieved of duty, or unless you already pay for breaks of that length.
Arizona overtime laws
Arizona has no overtime statute for private employers. The overtime provisions in Arizona law cover public employees such as law enforcement officers (A.R.S. 23-392). For almost every private business, the federal Fair Labor Standards Act is the only overtime law that applies.
- Weekly rule only. Non-exempt employees earn 1.5 times their regular rate for hours over 40 in a workweek. There is no daily overtime in Arizona, so a four-day, ten-hour schedule creates no overtime at all.
- No state exemptions to learn. Exempt status follows the federal duties tests and the federal salary level in 29 CFR 541.600, currently $684 a week.
- Timing. Arizona's payday law lets overtime be paid a little later than straight time: no later than 16 days after the end of the pay period in which it was worked (A.R.S. 23-351(C)).
- Comp time. Private employers cannot substitute comp time for overtime pay under federal law.
Our overtime laws by state page compares Arizona with the states that do add daily overtime.
Paying employees in Arizona
Minimum wage
Arizona's minimum wage is $15.15 an hour for 2026, and it adjusts every January 1 by the change in the Consumer Price Index from August to August, rounded to the nearest five cents (A.R.S. 23-363(B)). Employers may pay tipped employees up to $3.00 less, a $12.15 cash wage, as long as wages plus tips reach $15.15. Flagstaff ($18.35 in 2026, with no tip credit) and Tucson ($15.45) set higher local rates. The full detail, including what is known about 2027, is on our Arizona minimum wage page.
Paydays
Every Arizona employer must designate two or more fixed paydays each month, no more than 16 days apart (A.R.S. 23-351(A)). Straight-time wages can lag the end of the pay period by up to five days of labor. An employer based outside Arizona with a centralized out-of-state payroll may pay exempt professional, administrative, executive and outside sales employees, and supervisors, once a month. Our pay frequency laws by state page has the comparison.
Final paychecks
When you discharge an employee, final wages are due within seven working days or by the end of the next regular pay period, whichever comes first. When an employee quits, final wages are due by the regular payday for the pay period in which they quit, and must be mailed if the employee asks (A.R.S. 23-353). Compare other states on our final paycheck laws by state page. Arizona's sick leave law does not require you to pay out unused sick time at separation (A.R.S. 23-372(F)).
Records and notice at hire
The same voter-approved law that raised the minimum wage requires employers to give each new employee the business name, address and telephone number in writing, and to keep payroll records showing hours worked each day and the wages and sick time paid for four years (A.R.S. 23-364(D)). If those records are missing, the law presumes the employer did not pay the minimum wage or sick time owed.
Arizona hiring laws
Most of what Arizona requires before a new employee's first shift is paperwork, and E-Verify is the item to watch because it applies to every employer here, not just contractors.
- E-Verify for every employer. Since the end of 2007, every Arizona employer must verify each new employee through E-Verify after hiring and keep the record for the length of employment or three years, whichever is longer (A.R.S. 23-214). There is no size threshold. See E-Verify requirements by state.
- Form I-9. E-Verify does not replace the federal Form I-9, which every employer completes within three business days of the start date. Our Form I-9 requirements guide covers the documents and deadlines.
- New-hire reporting. Report each new or rehired employee to the Arizona Department of Economic Security within 20 days (A.R.S. 23-722.01(D)). A W-4 or equivalent form is enough.
- Written notice. Give the business name, address and phone number in writing at hire (A.R.S. 23-364(D), above).
- Pay transparency and salary history. Arizona has no state law requiring a pay range in job postings and no state ban on asking about salary history.
- Criminal history. Arizona has no ban-the-box law for private employers. Federal EEOC guidance and the Fair Credit Reporting Act still apply to background checks. See ban-the-box laws by state.
- Minors. Arizona does not require work permits. Under-16s may work no more than 3 hours on a school day, 18 hours in a school week, 8 hours on a non-school day and 40 hours in a non-school week, and may not work past 9:30 p.m. before a school day or past 11:00 p.m. otherwise (A.R.S. 23-233). Federal rules that are stricter still apply to covered employers. See child labor laws by state.
- At-will. Employment is severable at the pleasure of either side unless both signed a written contract restricting termination (A.R.S. 23-1501).
Paid sick time in Arizona
Arizona is one of the states where paid sick leave is required of every private employer, whatever its size. Under the Fair Wages and Healthy Families Act:
- Employees accrue at least 1 hour of paid sick time for every 30 hours worked, starting on the first day (A.R.S. 23-372).
- Employers with 15 or more employees may cap accrual and use at 40 hours a year. Employers with fewer than 15 may cap it at 24 hours.
- You may require employees hired after July 1, 2017 to wait until their 90th calendar day before using accrued time.
- Unused time carries over (subject to the cap), or you may pay it out at year-end and front-load the next year's hours.
- An existing PTO policy counts if it provides at least as much time, usable for the same purposes and on the same terms.
- For absences of three or more consecutive workdays, you may ask for reasonable documentation (A.R.S. 23-373(G)).
- Employees rehired within nine months get previously accrued, unused time reinstated.
Arizona has no state family leave program, so the federal FMLA applies to employers with 50 or more employees.
Posters and records
The Industrial Commission of Arizona publishes the required minimum wage and earned paid sick time poster each year on its posters employers must display page, and the 2026 version shows the $15.15 rate. Our labor law posters by state page lists the state and federal notices together. Keep payroll records for four years under A.R.S. 23-364(D).
Local ordinances: Flagstaff, Tucson and state preemption
Arizona lets cities and counties set a higher minimum wage (A.R.S. 23-364(I)), and two have done it:
- Flagstaff: $18.35 an hour in 2026, rising to $18.95 on January 1, 2027. Every employee must get the full rate regardless of tips, so there is no tip credit in Flagstaff.
- Tucson: $15.45 an hour from January 1 through December 31, 2026, with a tip credit of no more than $3.00.
Phoenix, Mesa, Scottsdale and the rest of the state use the state rate. The two statutes on local power point in different directions: A.R.S. 23-364(I), approved by the voters, lets local governments regulate "minimum wages and benefits," while A.R.S. 23-204 says leave, meal breaks and rest periods are of statewide concern. If a city ordinance other than a wage rate ever affects you, have counsel read the two together. Arizona has no statewide predictive scheduling law, and none of the city scheduling ordinances listed on our predictive scheduling laws by state page are in Arizona.
What this means when you're hiring hourly workers in Arizona
Arizona's wage floor is high enough that candidates compare pay closely, and it moves every January. When you post an hourly job, put the actual rate in the first line of the ad, and check it against the city: a job in Flagstaff has to start at $18.35 now and $18.95 in January, not $15.15. Mention paid sick time too. Every Arizona employer has to provide it, but candidates coming from states without a sick leave law may not know that, and it costs you nothing to say so.
Build E-Verify and the 20-day new-hire report into the offer checklist, not the first payroll. And because there is no state rule forcing a quick first paycheck, the thing that separates you from the employer down the road is usually speed: a short application and a same-day reply. Our job ad copywriting guide shows how to write the first line, and frontline hiring covers how we run social job ads for hourly roles.
Frequently asked questions
Is Arizona an at-will employment state?
Yes. Under A.R.S. 23-1501, employment is severable at the pleasure of either the employer or the employee unless both have signed a written contract restricting the right to end it, or the restriction is set out in a handbook or similar document. You still cannot fire someone for a reason the law forbids, such as discrimination or retaliation for asserting a wage or sick-time claim.
Are breaks required by law in Arizona?
No. Arizona does not require meal periods or rest breaks for adults or for minors, and A.R.S. 23-204 stops cities from adding their own break rules. If you give short breaks of about 5 to 20 minutes, federal law treats them as paid work time. A meal period can be unpaid only when the employee is fully relieved of duty. Nursing employees get break time under the federal PUMP Act.
Does Arizona require overtime after 8 hours in a day?
No. Arizona has no daily overtime rule and no overtime statute for private employers at all. The federal Fair Labor Standards Act applies: non-exempt employees earn 1.5 times their regular rate for hours over 40 in a workweek. A ten-hour shift creates no overtime unless weekly hours pass 40. Arizona law does allow overtime pay to be paid up to 16 days after the pay period ends.
When is a final paycheck due in Arizona?
It depends on who ended the job. If you discharge an employee, final wages are due within seven working days or by the end of the next regular pay period, whichever is sooner. If the employee quits, wages are due by the regular payday for the pay period in which they quit, and must be mailed if they ask. Both rules are in A.R.S. 23-353.
Does Arizona require paid sick leave?
Yes, for every private employer. Employees earn at least 1 hour for every 30 hours worked. Employers with 15 or more employees may cap accrual and use at 40 hours a year, and smaller employers at 24 hours (A.R.S. 23-372). New hires can be asked to wait 90 days before using it, and unused time does not have to be paid out when someone leaves.
What are the hiring laws in Arizona?
Before or at the first shift: run the new employee through E-Verify (required for every Arizona employer), complete the federal Form I-9, give the business name, address and phone number in writing, and report the hire to the Department of Economic Security within 20 days. Arizona has no pay transparency law, no salary history ban and no private-employer ban-the-box law, and it does not require work permits for minors.
Do Arizona employers have to use E-Verify?
Yes. A.R.S. 23-214 requires every employer, after hiring an employee, to verify employment eligibility through E-Verify and keep the record for the length of employment or three years, whichever is longer. There is no minimum employee count, so a business with one hire in Arizona is covered. E-Verify is in addition to the federal Form I-9, not a replacement for it.
Can an Arizona city set a higher minimum wage?
Yes. A.R.S. 23-364(I) lets cities and counties set a minimum wage above the state rate. Flagstaff pays $18.35 in 2026, rising to $18.95 on January 1, 2027, with no tip credit. Tucson pays $15.45 through December 31, 2026, with a tip credit of up to $3.00. Phoenix and the rest of Arizona use the state rate of $15.15. A job physically based inside city limits follows the city rate.
Hiring hourly workers in Arizona?
We run Facebook and Instagram job ads that lead with the pay, shift and location, and get applicants to you the same day. See what that looks like for your roles.
Book a DemoSources read 24 September 2026: A.R.S. 23-204, 23-214, 23-233, 23-351, 23-353, 23-363, 23-364, 23-372, 23-373, 23-392, 23-722.01, 23-1501; Industrial Commission of Arizona; City of Flagstaff; City of Tucson; U.S. Department of Labor. Part of Boostpoint’s state labor law series; see also Arizona minimum wage.