Minimum-wage rate adjusted for inflation as of Jan. 1, 2025

The Minnesota Department of Labor and Industry announced on Monday that Minnesota’s minimum-wage rate will be adjusted for inflation on Jan. 1, 2025, to just over $11 an hour for all employers in the state.

During the 2024 legislative session, Minnesota’s minimum wage law was revised to eliminate the reduced minimum wages applicable for small employers (defined as annual gross revenues less than $500,000), youth under the age of 18 and J-1 visa workers.

“The updates to minimum-wage laws ensure employees earn at least a standard minimum wage regardless of the size of their employer or how old they are, while maintaining the 90-day training wage for employees under age 20,” said Commissioner Nicole Blissenbach, Minnesota Department of Labor and Industry in a press release Monday. “The changes will also help minimum-wage workers keep up with inflation to better provide for themselves and their families.”

Effective Jan. 1, 2025, the state’s minimum-wage rates for all employers, including large employers, small employers, youth and J-1 visa wages for hotels, motels and lodging establishments, will increase to $11.13 an hour. The law still allows for a 90-day training wage for workers under age 20. The current hourly training wage, $8.85, will increase to $9.08. These rates reflect a 2.6% increase.

The cities of Minneapolis and St. Paul have minimum-wage ordinances that require higher minimum-wage rates for work performed in Minneapolis and St. Paul.

Minnesota law requires employers to display state-mandated posters in a location where employees can easily see them. The new minimum-wage poster will be available for download this fall.

As part of Minnesota’s employee notice requirement, employers are required to provide each employee with a written notice of any change before the change takes effect, including a change to the employee’s rate of pay. Learn more about the employee wage notice requirement.

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