Arizona’s new law to target the hiring of illegal immigrants became effective today, January 1st, 2008. The law will sanction those businesses that use illegal immigrant laborers. But there is some concern that the new law will affect the local economy, as prices may increase as companies will be forced to confirm the citizenship of its workforce.

Under the new rules, companies that hire illegal immigrants will have their business licenses suspended for 10 days the first time they are caught. A second offense will result in the loss of their business license permanently.

CVS Caremark announced today that it will close its mail-order pharmacy operations in Phoenix at the end of this year. Just over four hundred people will lose their jobs as a result of the closure. The company will also close a simliar center in Fort Worth, Texas. The recent merger of CVS and Caremark and “changing business demands” are cited as reasons for the closures.