A voter-approved law creating the state’s minimum wage includes an annual inflation adjustment. That adjustment would be eliminated under a proposed ballot measure given preliminary approval by the state House on Monday.
The state minimum wage is now $7.65 per hour. That’s 40 cents higher than the federal version of $7.25 per hour.
Approval of the proposed ballot measure would effectively scrap Arizona’s separate minimum wage if and when the federal version is raised above it.
Supporters say the legislation would help businesses and create jobs. Opponents say it would harm low-income families.
Provisions to create a lower minimum wage for young workers with part-time or temporary jobs have been dropped.