Minimum wage on the rise in Arizona once again

YUMA, Ariz. (KYMA, KECY) - Arizona’s minimum wage is increasing beginning in 2022. It's the second time we see an increase since the wage hit 12 dollars an hour back in 2020.

Currently, the minimum wage in the state stands at $12.15 an hour.

But come midnight January 1st, 2022, employers will now be required to pay their workers a minimum of $12.80.

“We're hoping that this increase is of course gonna be able to bring not necessarily be more opportunities because opportunity opportunities are out there. But of course and to bring more of a workforce to Yuma County right now we're seeing a labor shortage,” said Mariana Martinez, who is with Arizona@Work.

“It's hard to see if this is going to be bringing a bigger pressure on people to go out and seek for work but we're hoping that this allows, you know, more people to, to find employment opportunities which are out there," she added.

The 65 cent raise comes as businesses in Yuma County are already increasing the starting salary for employees due to the current shortage.

After voters passed proposition 208 back in 20-16. Wages have gone up. When the prop passed the minimum wage was only $8.05 an hour.

In 2017, it rose to 10 dollars.

The proposition also guarantees paid sick time.

With the higher wage, employers will have to set aside more money for payroll, which could bring an increase in the cost of services. Ultimately hitting customers in the pocket.

“For a business, an example would be with 65 cent increase. You know, that's an average of if the employer or the business has about 100 employees, it could be up to a 2600 labor cost per week. So you know, those things need to be considered as well,” Martinez explained.

Cities like Flagstaff and Tucson have already passed bills that have well surpassed the state’s $12.80 minimum wage.