Is Your Employer Paying You Correctly? Minnesota’s New Minimum Wage Laws Take Effect January 1, 2026

By January 1, 2026, your paycheck should reflect Minnesota’s new minimum wage rates. If it doesn’t, your employer may owe you thousands in back wages.

Starting January 1, 2026, Minnesota’s minimum wage increases to $11.41 per hour statewide—a 2.5% inflation adjustment from the current $11.13. The training wage for workers under age 20 rises to $9.31 during their first 90 days of employment.

But here’s what most Minnesota workers don’t know: Minneapolis and St. Paul have separate minimum wage requirements that are significantly higher than the state rate. If you work in either city and your employer isn’t paying these higher rates, you may have a wage theft claim worth recovering.

What the Law Requires in Minneapolis and St. Paul

The Twin Cities aren’t following state minimums—they set their own higher standards.

In Minneapolis, all employers are required to pay at least $16.37/hour effective January 1, 2026. St. Paul rates vary by employer size:

• Macro and large employers (6+ employees): $16.37/hour effective January 1, 2026
• Small employers (6-100 employees): $16.37/hour effective July 1, 2026
• Micro employers (5 or fewer): $14.25/hour effective July 1, 2026

In terms of your annual earnings, this means that a full-time Minneapolis or St. Paul worker at a large employer should earn $34,050 annually starting January 1, 2026. That’s $10,317 more than the statewide minimum wage provides.

New Meal and Rest Break Requirements

Beyond minimum wage changes, Minnesota’s meal and rest break law gets stricter on January 1, 2026. Employers must now provide:

• Paid 15-minute rest break for every four consecutive hours worked
• Unpaid 30-minute meal break when working six or more consecutive hours

These aren’t suggestions—they’re legal requirements. Employers who deny breaks or pressure you to work through them are violating state law.

What Happens When Employers Don’t Comply

Wage theft isn’t a paperwork error—it’s a violation of Minnesota law that can cost you thousands in lost earnings. When employers pay below minimum wage, deny required breaks, or fail to update pay rates with inflation adjustments, they’re breaking the law.

The math adds up fast. An employee earning $11.41 instead of the required $16.37 in Minneapolis loses $10,317 annually. Over two years, that’s $20,634 in stolen wages—money that should be paying your mortgage, childcare, or building your savings.

Minnesota law gives you a limited time to act. Wage claims have strict filing deadlines. Wait too long, and you lose the right to recover what you’re owed.

How to Know If You Have a Wage Theft Claim

You may have a claim if your employer:

• Pays below the required minimum wage for your city or state
• Refuses to provide required rest or meal breaks
• Fails to update your wage when minimum rates increase
• Misclassifies you as exempt to avoid paying proper wages
• Retaliates against you for questioning wage practices

According to the 2025 Minnesota Minimum Wage Report, an estimated 2.1% of jobs statewide pay at or below minimum wage—approximately 72,000 workers potentially affected by violations. In Minneapolis, 4.5% of jobs pay at or below the city minimum. In St. Paul, that figure is 4.3% among large employers.

But these numbers only capture reported wages. The actual scope of wage theft—unreported violations, misclassification, and break denial—is likely far larger.

Take Action Now, Contact Our Team to Learn More About Minnesota’s New Minimum Wage Laws

Is your employer paying you correctly? Minnesota’s new minimum wage laws take effect January 1, 2026. If you’re an employee, check your December 2025 paystub against January 2026’s rate. If your employer doesn’t adjust your wages by January 1, document everything—pay stubs, work schedules, break denials, and any communications about pay rates.

The clock starts ticking the moment your employer violates the law. Don’t wait until you’ve lost months of proper wages to take action. Contact our team at Wanta Thome Employment Lawyers to schedule a free consultation and learn more.