raise the minimum wage in the state of Minnesota

 

The purpose of this bill is to provide minimum wage workers better pay in order to combat poverty and income inequality

as decreasing dependence on federal programs by increasing the statewide minimum wage from $11.41 to at least $20.00.

 

Assuming someone works a 40 hour work week for 365 days in a year on minimum wage in Minnesota (which is impossible due

to national holidays, weekends, other time off, etc), workers will still earn only $23,732 dollars, which is only just

barely above the state and federal poverty line as well as almost half as much as the US standard living wage. Also,

with these workers wages increased enough, they would depend less on federal programs like SNAP or Earned Income Tax

Credit. There is also something to be said for the benefits that a higher minimum wage has brought to states like

California, Connecticut, and even Washington DC. Washington DC specifically has seen increased consumer spending,

improved worker retention and productivity, as well as lower reliance on public assistance, and even support for other

businesses.

 

Federal poverty line: A measure of yearly salaries to see who gets to qualify for some federal benefits and programs

(this applies to the state level as well).

Standard Living Wage: The income needed to cover basic necessities like housing, food, healthcare, and transportation in

a specific area (Minnesota).

SNAP: Stands for the Supplemental Nutrition Assistance Program; A US federal program that provides food-purchasing

assistance to low-income households.

Earned Income Tax Credit: A U.S. federal tax benefit for low- to moderate-income working individuals and families. It is

designed to reduce the taxes they owe and can result in a larger refund, or even a refund if they don't owe any tax.

Minnesota Department of Labor and Industry (DLI): A state agency that works to ensure Minnesota's work and living

environments are equitable, healthy, and safe.

 

There is no specific additional funding for this as businesses are required to pay their workers at least the state

minimum wage.

 

The penalties for any employer found to not be paying their employees the new minimum wage can stem from an injunction,

to paying back wages, to fines and penalties of up to $1,000 per violation. These can possibly accompany an official

investigation from the Minnesota Department of Labor and Industry (DLI).

 

January 1, 2028