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Minnesota to increase minimum wage for 2020

10/03/19

Author: ADP Admin/Sunday, September 29, 2019/Categories: Compliance Corner , State Compliance Update, Minnesota

Minnesota's minimum wage will increase on Jan. 1, 2020 as a result of an annual adjustment for inflation.

Large employers (defined as those with annual gross revenue of $500,000 or more) must pay non-exempt employees in Minnesota at least $10.00 per hour beginning January 1, 2020. The minimum wage for smaller employers will be $8.15 per hour.

Regardless of employer size, employers may pay workers under 20 years old, during their first 90 days of employment, and workers under 18 years old $8.15 per hour.


Compliance Recommendations:

Minnesota employers must meet the new minimum wage requirements by January 1, 2020 and post an updated minimum wage notice in a conspicuous area of the workplace.

Note: The cities of Minneapolis and St. Paul have set their own minimum wage rates, which differ based on the number of employees the employer has. If an employee is covered by both the state and city minimum wage, the employee is entitled to the higher rate. For example, Minneapolis minimum wage is already higher than the state's new minimum wage, so Minneapolis employers must pay their employees the higher city minimum wage.

Please contact your dedicated service professional with any questions.

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