Don’t Forget: The Minimum Wage in Minnesota Will Increase On August 1, 2015

On August 1, 2015, the minimum wage will increase again for Minnesota employers. Here’s what employers need to know about the minimum wage increase that will soon take effect:

  • Large Employers: “Large employers” – whose gross annual volume of sales made or business done is $500,000 or more – will need to pay a minimum wage of at least $9.00 per hour.
  • Small Employers: “Small employers” – whose gross annual volume of sales made or business done is less than $500,000 – will need to pay a minimum wage of at least $7.25 per hour.
  • Exception for Employees Under the Age of 18: “Large employers” may pay employees under the age of 18 a lower minimum wage of at least $7.25 per hour.
  • Exception for Employees Under the Age of 20: During the first 90 days of employment, any employer may pay an employee under the age of 20 a lower minimum wage of at least $7.25 per hour.
  • Exception for Certain Summer Work Travel Employees: An employer that is considered a “hotel or motel,” “lodging establishment,” or “resort,” as defined by Minnesota law, may pay a lower minimum wage to employees working under a summer work travel exchange visitor program nonimmigrant visa if the employer also provides a food or lodging benefit to the employee. The minimum wage rate for these employees will be $7.50 per hour.

See Minn. Stat. § 177.24.

Takeaway: Employers should prepare for the new minimum wage increase that will take effect on August 1, 2015.

About Michael Miller

Michael is a Chambers-rated attorney in Briggs and Morgan's Employment, Benefits, and Labor group and is head of the firm’s Employment Law Counseling and Compliance practice group. He has 25 years experience counseling employers to prevent unwanted litigation and advises companies of ongoing changes in federal, state and local employment law. Michael advises employers in all areas of employment law including discipline and discharge, leaves of absence, wage and hour compliance, non-compete and confidentiality agreements, affirmative action plans, background checking, and drug/alcohol testing. For Michael's full bio, click here.

Posted on June 22, 2015, in Wage and Hour and tagged . Bookmark the permalink. Comments Off on Don’t Forget: The Minimum Wage in Minnesota Will Increase On August 1, 2015.

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