Minnesota’s minimum-wage rates will be adjusted for inflation beginning Jan. 1, 2018, to $9.65 an hour for large employers and $7.87 an hour for other state minimum wages.
State and Federal Minimum Wage Law
- The state minimum wage is higher than the federal minimum wage, so employees who are covered by both laws must be paid the higher state minimum wage.
- Minimum-wage rates apply to all hours worked, whether part time or full time.
- Employees must be paid at least the current minimum-wage rate, no matter how they are paid.
- No employer may take a tip credit against minimum wages in Minnesota.
- An employee must be paid at least that minimum wage per hour plus any tips the employee might earn.
- A partial list of exempt employees includes: bona fide executive, administrative or professional workers; babysitters; volunteers of nonprofit organizations; and employees subject to the provisions of the U.S. Department of Transportation (drivers, drivers’ helpers, mechanics and loaders).
- Under Minnesota Statutes 177.28, the Department of Labor and Industry is authorized to issue a permit to a disabled worker (performance-limited employee) unable to earn the state minimum-wage, to work at a wage commensurate with his or her ability. View the Disabled-worker employment information guide.
- For a complete list of exempt employees see Minnesota Statutes 177.23, subd. 7.
- Employer fact sheet: “Minimum wage rates”
- Employer fact sheet: “Employer size and minimum wage”
- Minimum wage brochure
- 016 Minimum-wage Report, published May 2017
Provision Amount until Dec. 31, 2017 Amount as of Jan. 1, 2018 Large employer wage $9.50/hour $9.65/hour Small employer wage $7.75/hour $7.87/hour 90-day training wage
(under 20 years of age)
$7.75/hour $7.87/hour Youth wage
(under 18 years of age)