Happy New Year (almost)! Minnesota employers should be reminded that, effective January 1, 2021, minimum wage rates increase to $10.08 per hour for large employers and $8.21 for small employers (as well as a 90-day training wage for those under 20 and youth wage for those under 18).

Also – don’t forget to update your minimum wage rate poster that must be displayed in your workplace for employees to view.  You can download here in various languages (along with other state-required posters).

Further, recall that Minnesota does not allow a tip credit (i.e. it does not matter if an employee receives tips, you must still pay the minimum wage).  Since Minnesota’s minimum wage is greater than federal minimum wage, the state minimum wage applies.

Finally, looking forward a bit – Minneapolis’ minimum wage rates will increase again July 1, 2021 (to $12.50/$14.25) and St. Paul’s will also increase July 1, 2021 (to $10/$11/$12.50).