The Fair Labor Standards Act (FLSA) establishes the federal minimum wage. The federal minimum wage is $7.25 per hour effective July 24, 2009. Many states also have minimum wage laws. In cases where an employee is subject to both state and federal minimum wage laws, the employee is entitled to the higher minimum wage.
Arizona's minimum wage exceeds the federal minimum wage. The current Arizona minimum wage is governed by ARS 23-363. Effective January 1, 2020, the Arizona Minimum wage is $12.00 per hour, increased for cost of living the following January of each year.
In Arizona, tipped employees can be paid $3.00 less per hour, as long as, with tips or gratuity, the employee did not receive less than the minimum wage. Tips are averaged over the course of the employer's payroll period.
An employer cannot retaliate against an employee for complaining or opposing a violation of the minimum wage laws.