On January 1, 2024, a new law aimed at bringing Minnesota one step closer to narrowing the gender and racial pay gap takes effect. The law encourages employers to rely on a job applicant’s skills and qualifications to set pay and prohibits employers from asking about or considering an applicant’s past or current pay during the hiring process.

“When someone’s future pay is locked to their past pay, the cycle of unequal pay impacts them over the course of their life. This new law seeks to break that cycle,” said Minnesota Department of Human Rights Commissioner Rebecca Lucero. “These pay history laws work. Pay is up for women, people of color, and Indigenous community members in states that have implemented similar laws across the country.”

Women, people of color, and Indigenous people are persistently paid less than white men. Using pay history to determine future pay can contribute to and reinforce Minnesota’s pay disparities.

 MN Dept of Human Rights 

About the Law

The law, enforced by the Minnesota Department of Human Rights (MDHR), encourages employers to rely on an applicant’s skills, education, certifications, licenses, and other qualifications, as well as the job market, to set pay. It prohibits employers from asking about or considering an applicant’s past or current pay during the hiring process.  

The law does not prohibit a job applicant from voluntarily disclosing their pay history to negotiate higher pay. Employers can use that information to then set pay.

The law applies to all public, private, and nonprofit employers in Minnesota. The law also applies to all job applicants, including current employees seeking an internal promotion or transfer and full and part-time employees.

In May 2023, Governor Walz signed the Preventing Pay Discrimination Act into law. Minnesota joins 22 states that have ended the pay history question.

What Employers and Job Applicants Need to Know

• Employers: MDHR encourages employers to review their employment applications and interview questions to make sure they do not ask for past or current pay. Employers should also train those involved in hiring on the new law.
• Job Applicants: Anyone who believes they were asked about their past or current pay during the hiring process should contact MDHR by completing this online form. Possible violations of this law will follow the same process as other possible violations of the Minnesota Human Rights Act.

Visit MDHR’s website to find more information about the law, including an outreach toolkit with information in multiple languages.

The Minnesota Department of Human Rights is the state’s civil rights enforcement agency. It is tasked with enforcing the Minnesota Human Rights Act, one of the most comprehensive state civil rights laws in the country.