Minimum wage increasing soon in Tucson to be higher than the rest of the state

TUCSON, Ariz. (KGUN) — As she rolled pizza dough and threw it in the air, the pizza kitchen manager at Zio Peppe, Stephanie Molina, was making above minimum wage.

“It helps tremendously because everything is going up,” Molina said.

Everything from her groceries to the gas she puts in her car to her mortgage, has gone up in price in recent years. That’s why she appreciates making slightly above the minimum wage despite the challenges.

“It is insanely difficult to keep up, so having a little bit more helps me pay that,” she said.

Starting January first, the minimum wage in Tucson is going up by 65 cents from $14.35 an hour to $15 an hour. It’s a larger increase than the rest of Arizona, where in other communities the minimum wage is going from $14.35 to $14.70 an hour.

The higher increase in Tucson is due to a proposition Tucson voters passed in 2021. It would apply to employees who work at least five hours per pay cycle, whether they are full-time, temporary, or part-time.

Zio Peppe’s chef and owner Mat Cable said even though all his workers get paid at least 15 cents above the minimum wage, he’s still increasing everybody’s pay after the minimum wage goes up in January.

“We do that so we’re able to tip pool,” Cable said. “You get a real harmonious front of house, back of house environment.”

However, Cable said when the minimum wage increases, it could also increase his vendors’ costs, which in turn could be passed on to him.

“So beyond just our labor going up, our costs of goods sold all around goes up,” he said.

He said if that happens, he would have to reassess his finances and slightly increase the prices on his menu so that he meets the financial numbers he has now.

During challenging times, Molina said the increase could help, even if it’s just a little bit.

“It’s just keeping our heads above water,” Molina said.