View all Articles

Minnesota Pay Transparency Law

Effective January 1, 2025, employers with 30 or more employees in Minnesota must disclose in each posting the starting salary range, and a general description of all of the benefits and other compensation, such as health or retirement benefits, to be offered to a hired job applicant. 

An employer that does not plan to offer a salary range for a position must list a fixed pay rate. A salary range may not be open-ended. 

Under the legislation (MN S 3852) “posting” means any solicitation intended to recruit job applicants for a specific available position, including recruitment done directly by an employer or indirectly through a third party, and includes any postings made electronically or via printed hard copy, that include qualifications for desired applicants. 

Next Steps 

Additional guidance will likely be forthcoming regarding this law; however, at this time, no additional guidance or resources are available from the state. This, however, does not mean that there are no steps that employers can take to prepare for compliance. Before the effective date, employers should examine their compensation practices to ensure that wage ranges for open positions are in line with industry and market data for competitiveness and retention of employees. Employers will also need to review and update their job postings and their employment applications, recruitment, and screening practices to ensure that no inquiries are made about prior salary history.  

It is recommended that employers train hiring managers and recruiters to ensure they do not inquire about prior salary history and that they properly respond to any questions or documentation related to wage information.   

Multistate employers should be mindful of any additional obligations they may have under various state-specific wage disclosure and salary history laws. 

How HR Works Can Help  

HR Works offers comprehensive compensation and benchmarking services. Virtual HR Helpline subscribers receive five free benchmarks each year (with the option to purchase the additional benchmarks for a fee). Current Virtual Helpline subscribers can contact the helpline at hrhelp@hrwork-inc.com or 1-888-668-1271 for additional assistance. Non-subscribers who would like to learn more about these services and how to leverage our compliance expertise and support, may contact us at info@hrworks-inc.com or call 1-877-219-9062.  

HR Works, headquartered in Upstate New York, is a human resource management outsourcing and consulting firm serving clients throughout the United States for over thirty years. HR Works provides scalable strategic human resource management and consulting services, including: affirmative action programs; benefits administration outsourcing; HRIS self-service technology; full-time, part-time and interim on-site HR managers; HR audits; legally reviewed employee handbooks and supervisor manuals; talent management and recruiting services; and training of managers and HR professionals.