MINNEAPOLIS (AP) — Workers in large Minneapolis companies will see their wages increase in the new year.

Starting Jan. 1, workers at the city’s largest employers will start earning at least $10 an hour. It’s the start of a climb toward a $15 minimum wage in Minneapolis.

The City Council approved the wage ordinance in June. Under the ordinance, employers with 100 or more people on the payroll will be the first to raise hourly wages and must reach $15 by July 1, 2022.

Workers at smaller companies will get their first raise — to $10.25 an hour — on July 1. Those workers will reach $15 by July 1, 2024.

An employment and business attorney tells the Star Tribune some businesses already are cutting back on employee benefits to offset the higher wages.

(© Copyright 2017 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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