At the height of busy season in early April, the Legislature passed, and Governor Dayton signed, a bill to significantly increase the minimum wage paid in the state of Minnesota. As May tends to be a month of catching up on what we missed while we were clipping through tax returns, here is a brief summary of the law.
The minimum wage level is split based on the size of the business in question.
- For businesses with gross sales over $500,000, the minimum wage increases to
- $8.00 per hour in August, 2014
- $9.00 per hour in August, 2015
- $9.50 per hour in 2016
- For business with gross sales under $500,000, the minimum wage increases to
- $6.50 per hour in August, 2014
- $7.25 in August, 2015
- $7.75 in 2016
For both groups, the minimum wage will be tied to inflation starting January 1, 2018, unless the state determines the economy cannot support such an increase.