AZ HB2899

Establishes minimum wage of $18 per hour effective January 1, 2020, replacing the previous $12 per hour requirement.

Implements annual minimum wage increases starting January 1, 2021 based on consumer price index (CPI) changes, rounded to nearest $0.05, with additional $1 per hour increases on January 1, 2026 and January 1, 2027.

Gradually reduces the tipped employee wage differential from $3 per hour below minimum wage (through December 31, 2026) to equal the full minimum wage by January 1, 2029.

Defines key terms including "employ," "employee," "employer," "wage," and "tipped employee" (customarily receives more than $30 per week in tips).

Requires three-fourths vote of both legislative houses for enactment pursuant to Arizona constitutional requirements.