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Flagstaff minimum wage to be $18.35 in 2026; city office outlines enforcement, tip‑credit phaseout
Summary
City of Flagstaff Office of Labor Standards told the Discover Flagstaff Commission the voter‑approved minimum wage will rise to $18.35 in 2026, eliminate the tip wage credit, and remain tied to the U.S. Consumer Price Index; enforcement will be complaint‑driven and can include back wages, interest and penalties.
Chris Grody, manager of the City of Flagstaff Office of Labor Standards, told the Discover Flagstaff Commission that the city’s minimum wage will be $18.35 per hour in 2026 and that a separate tipped minimum wage will be eliminated.
Grody said the wage schedule was set by a 2016 citizen initiative that is “voter protected,” meaning Flagstaff City Council can only change the ordinance with a three‑quarters majority. He described the year‑to‑year adjustments as formulaic, tied to the U.S. Bureau of Labor Statistics’ Consumer Price Index and rounded to the nearest 5 cents.
Why it matters: the change makes the city wage the base pay employers must provide to employees working in Flagstaff regardless of tips, and it alters enforcement and payroll calculations for restaurants, hotels and other local employers.
Grody gave several operational details the…
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