New Year Brings Increases to Arizona’s Minimum Wage

January 5, 2026

Minimum wage increases took effect on Jan. 1, 2026 for the state, in Tucson and Flagstaff

Effective January 1, 2026, the state’s minimum wage increased by $0.45 to $15.15 an hour. According to the Industrial Commission of Arizona, the increase is based on the inflation rate increase between August 2024 and August 2025, as published by the U.S. Bureau of Labor Statistics in its Consumer Price Index.

Posters, which are to be displayed in a place accessible to employees, may be found on the Industrial Commission’s Labor page (direct links provided below). The minimum wage posters include information on exemptions, tips and gratuities, retaliation, and more.

English Minimum Wage Poster & Spanish Minimum Wage Poster

If you have any questions regarding the minimum wage increase, please contact the Labor Division within the ICA at (602) 542-4661 or refer to the FAQ page: Minimum Wage FAQs.

Employers should also be aware that on January 1, 2026, the minimum wage increased in Tucson and Flagstaff, both of which are higher than both the state and federal minimum wage rates.

In 2021, voters in Tucson approved the Tucson Minimum Wage Act. The City of Tucson’s minimum wage is $15.45 per hour. This applies to full-time, part-time, or temporary employees who perform at least 5 hours of work per pay cycle within the City of Tucson’s boundaries. The Act does not apply to employees of the State of Arizona, the United States, and tribal entities.

In 2016, voters in Flagstaff approved The Minimum Wage Act. The City of Flagstaff’s minimum wage is $18.35 per hour. All employees will be required to make the full minimum wage, regardless of whether or not they regularly earn tips.

Topics:

Labor

State:

Arizona

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