• Project Labor Agreements

    Adopted ABC model government neutrality bill.

  • Prevailing Wage


  • Right to Work


  • Public-Private Partnerships

    Statute authorizes the use of P3s on horizontal and vertical construction projects. Unsolicited bids are allowed.

  • Workforce Development Incentives

    Current labor supply satisfies 105% of peak labor demand.

    State offered $16,198,700 in grants and incentives for workforce preparation and development in 2023.

  • Career and Technical Education

    48% of CTE high school graduates are placed in colleges or careers.

    Arizona recognizes NCCER as an approved curriculum for CTE programs.

  • Job Growth Rate


Monthly Unemployment Rate in Arizona

Please see ABC's state-by-state construction unemployment data here.

Industry Overview

Prompt Pay

Private: When a contractor completes and an owner approves and certifies all work under a construction contract, the owner shall make payment in full within seven days. 1.6% interest per month.
Public: 14 days after invoice approved. Final payment 60 days after acceptance. 1% interest per month.
Subs: Payment must be made to subs and from subs to lower tiers within 7 days, unless otherwise agreed.

Immigration/E-Verify Mandate

The law requires employers in Arizona to use the E-Verify system to verify the employment authorization of all new employees hired. Government contracts may not be awarded to businesses that do not use E-Verify.

Percentage of State GDP From Nonresidential Construction


Incidence Rate


Occupational Safety & Health Oversight (State vs. Federal)

State plan covers private workplaces and state and local government workplaces.

Percentage of Union Membership in Private Construction


Marijuana Legalization Status

Legalized for medicinal use, decriminalized for personal use.

Business Facts

Minimum Wage


Percentage of Pensions Funded


Effective Real-Estate Tax Rate


Corporate Income Tax Rate(s)


State and Local Public Construction Expenditures (in millions)