Nonprofit, nonpartisan journalism. Supported by readers.


Minimum wage in Minnesota rises Aug. 1 to $8 an hour at big companies

The rise from $6.15 an hour is the first step in a series of increases that gets the minimum to $9.50 an hour in 2016.

Minnesota’s minimum wage goes up Aug. 1, after a legislative change that sets in motion a series of increases in coming years.

Starting Friday, employees at large companies must be paid $8 an hour under the new law; that’s up from the current state minimum of $6.15, although the federal minimum wage has been $7.25 since 2009.

For small employers, (under $500,000 in sales) must now pay $6.50 an hour, up from $5.25.

Going forward, the minimums will be:

Article continues after advertisement

Large employers:

  • $9 an hour on Aug. 1, 2015
  • $9.50 on Aug. 1, 2016

Small employers:

  • $7.25 on Aug. 1, 2015
  • $7.75 on Aug. 1, 2016

In January 2018, the rates will be indexed to inflation based on economic conditions.

Gov. Mark Dayton, who signed the legislation, said: “Raising the minimum wage will improve the lives of more than 325,000 hard-working Minnesotans. I thank the Legislature for recognizing the need to make work pay in Minnesota.”