Inflation continues its climb, and starting in 2023, Minnesota’s minimum wage will better reflect the higher cost of living.

On January 1, 2023, the State’s minimum wage will grow to $10.59 an hour for large employers and $8.63 an hour for other minimum wages.

The current large-employer minimum wage, $10.33, will increase by 26 cents to $10.59. 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 $8.42, will increase by 21 cents to $8.63. These increases are both 2.5%.

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