Here's an overview of how to retain or when hiring out of state employees in Arizona and how SixFifty makes it fast and affordable. Arizona has some laws that provide greater protections to employees than federal law, including a higher minimum wage and paid sick leave.An employer who hires an employee living and working in a different state has plenty of time to set up statespecific Workers' Comp and unemployment insurance. Employers are expected to withhold state income tax from an employee's wages if that employee is subject to state income tax unless noted below. Arizona's minimum wage rate is higher than the federal minimum and that of many other states. Here, we're highlighting some of these key statespecific requirements, and offering guidance to help you keep up. We recognize that units may need to hire and retain employees who will live and work within the US, but outside the state of Arizona. Various laws require employers to post mandatory employee notices so that all employees have easy access to view the information. Arizona also has its own laws governing wages and hours of employment. Keep up with changing local, state and federal employment law legislation.