Late yesterday, the Arizona Supreme Court ruled to uphold the previously challenged Prop 206, a law passed by Arizona voters in November 2016 that raises state minimum wage to $10 in 2017 and incrementally to $12 by 2020, as well as requires mandatory sick time to be paid by Arizona employers.

While the minimum wage aspect of Prop 206 has received a majority of the attention in debates, has the significance of the paid sick time burden which impacts small and large Arizona employers (yes, even those with less than 15 employees) been overshadowed? The paid sick time component comes with not only a financial impact to businesses (as historically Arizona has been silent regarding paid time off), but also implied protections to employees utilizing their new leave benefits, posting requirements, and a hefty administrative burden for smaller employers especially who may be unprepared or even in-the-dark on the change. With yesterday’s ruling however it is clear, whether a small or large Arizona employer – now is the time to start reviewing your time off policies to ensure your business will not learn the hard way.

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