Do the requirements of the Arizona Minimum Wage Act apply to all employers?
The Arizona Minimum Wage Act applies to all employers except: • The State of Arizona. • The United States. • Small businesses that are not subject to the Federal Fair Labor Standards Act and which have less than $500,000 in gross annual revenue. This exclusion for small businesses under the Arizona Minimum Wage Act is very limited. Practically speaking, most Arizona small businesses will be subject to the Arizona Minimum Wage Act. This is because most employers, including small businesses, are subject to the Federal Fair Labor Standards Act (FLSA). Under the Federal Fair Labor Standards Act, coverage extends in one of two ways: enterprise coverage or individual coverage. Employees who work for an “enterprise” that is engaged in interstate commerce or the production of goods for commerce are covered under the FLSA. Likewise, regardless of the volume of sales of an enterprise (more or less than $500,000), individual employees whose work affects interstate commerce are covered under the F
