Skip to main content

Suit Filed to Block Minimum Wage Hike in Arizona


Yesterday, a Maricopa County Superior Court judge heard arguments in regard to a legal challenge that seeks to halt implementation of a minimum wage hike in the state that was approved by voters this past November.  Under the approved measure, Proposition 206, the minimum wage rate (currently at $8.05/hour) will rise to $10/hour and then ultimately $12/hour by 2020.

For those who have not been following the matter, last week, the Arizona Chamber of Commerce filed suit to challenge the higher minimum wage rate.  The Chamber, joined by a few other pro-business groups, argued that the minimum wage hike violated the state's constitution because it failed to identify a funding source for its budget implications.

For those who support a higher minimum wage rate in the state, I would not necessarily call this lawsuit disheartening.  Last Friday, a request to immediately block the minimum wage hike was rejected.  As a result, hearings were set on the matter for this week.  Of course, that does not necessarily mean this lawsuit will be rejected...nor does it mean the lawsuit will prevail and block the minimum wage hike.  Instead, this is likely a matter of the judge being thorough and taking the time to allow all parties to argue their position and assert the basis for their suit (or why the suit should fail).  With that being said, the approved minimum wage measure would raise the hourly wage rate in the state to $10/hour on January 1, 2017.  With less than two weeks to go, the clock is ticking.  Stay tuned.



Comments

Popular posts from this blog

NLRB: Discussion Among Employees About Tip Pooling is Protected Concerted Activity

  This Advice Memorandum from the National Labor Relations Board’s Associate General Counsel, Jayme Sophir, addressed whether employees which discussed and complained about tip pooling at work constituted protected concerted activity. In relevant part, an employer in New York operated a chain of steakhouses.  While tip pooling was in place at these steakhouses, some of the employees objected to it on the grounds that it was not transparent and improperly divided tips among the workers.  Employees were told not to complain or talk to each other about the tip pool and were told that doing so would endanger their jobs.  Despite the employer later attempting to provide some clarity as to how the tips were being divided, rancor still existed among some employees.  At one point, the employees were told by a general manager that some employees that had been talking about the tip pool were “cleared out” and the employer would continue to do so. In the Advice Memorandum,...

Breaking: Labor Secretary Rumored to Be Leaving Administration

A few hours ago, word leaked out that Labor Secretary Marty Walsh (“Walsh”) is in the midst of negotiations to head up the NHL Players Union and leave his position at the Labor Department. Walsh, who has served as the sole Labor Secretary under President Biden, has taken part in a labor renaissance of sorts as support for organized labor has increased during his term as Labor Secretary (although the number of workers that have joined a union over the past two years has not grown as mush as some expected.)  He has also overseen the ongoing negotiations with rail workers over a new contract, although that matter is still on shaky ground and playing out as we speak. As for who might step into the vacant Labor Secretary role, there are already rumblings that President Biden should nominate Deputy Labor Secretary Julie Su (a strong labor advocate) or even a progressive like Senator Bernie Sanders.  Until Walsh officially gives his notice, however, I would expect some/many potential...

New Jersey Governor Chris Christie Vetoes Minimum Wage Hike

A few months ago, readers might remember that I pointed out that the New Jersey Legislature had voted to approve a minimum wage hike in the state .  Under the approved legislation, the minimum wage rate would rise to $10.10/hour in the next year and at least $15/hour over the next five.  (The current minimum wage rate in the state is $8.38/hour).  In that article, I had noted that the bill was then going to go before Governor Chris Christie for his approval or veto. As I had suggested previously, I thought that the Governor would likely veto the bill based upon his prior actions and comments on similar legislation.  Well, a few days ago, Governor Christie did just that and vetoed the bill on the grounds that it "would trigger an escalation of wages that will make doing business in New Jersey unfathomable."  Pointing to the increase in hourly minimum wage rates, the Governor referred to the bill as a "really radical increase."  (It is interesting to c...