Skip to main content

Campus login. | COVID-19 resources here. | DLI offices are closed to walk-in customers.

August 28, 2020

Minnesota's minimum-wage rates will be adjusted for inflation on Jan. 1, 2021, to $10.08 an hour for large employers and $8.21 an hour for other state minimum wages.

The current large-employer minimum wage, $10.00, will increase by eight cents to $10.08. Other state minimum wages, including the small-employer, youth and training wages, as well as the summer work travel exchange visitor program wage, which are all currently $8.15, will increase by six cents to $8.21. These increases are both 0.8%.

As of Jan. 1, 2021:

  • Large employers – with annual gross revenues of at least $500,000 – must pay at least $10.08 an hour.

  • Small employers – with annual gross revenues less than $500,000 – must pay at least $8.21 an hour.

  • The training wage rate, $8.21 an hour, may be paid to employees younger than 20 years of age for the first 90 consecutive days of employment.

  • The youth wage rate, $8.21 an hour, may be paid to employees younger than 18 years of age.

These state minimum-wage rates will not apply to work performed in the cities of Minneapolis and St. Paul, which have higher minimum-wage rates.

In the balance of the state, for February 2020, an estimated 206,000 jobs, or 8.5% of the total, paid the minimum wage or less. February 2020 was the last month before the COVID-19 pandemic had a significant effect on the economy.