ST. PAUL — Minnesota's minimum-wage rates will be adjusted for inflation beginning Jan. 1. The new rate will be $10 an hour for large employers with annual gross revenues of $500,000 or more and $8.15 an hour for other state minimum wages, according to a statement released Wednesday, Aug. 28, by the Minnesota Department of Labor and Industry.
Under Minnesota law, the commissioner of the Department of Labor and Industry is required to determine and announce the inflation-adjusted minimum-wage rate each year by Aug. 31. The change this year represents an increase of 1.41%.
Minneapolis and St. Paul have set their own minimum wage rates. On July 1, Minneapolis raised its minimum wage from $11.25 to $12.25 for large employers and from $10.25 to $11 for smaller businesses. In St. Paul, workers employed by corporations with more than 10,000 workers will see the minimum wage increase to $12.50 on Jan. 1 and reach $15 on July 1, 2022. It will then be tied to the rate of inflation.