MINNEAPOLIS (WCCO) — As of July 1, minimum wage workers in Minneapolis will be getting a raise: a one dollar hourly pay increase. It’s part of an incremental plan to raise the minimum wage at larger businesses to 15 dollars by 2022.
The July 1, 2019 increase means workers at small businesses will make at least $11 dollars an hour, and workers at businesses with more than 100 people will make at least $12.25.
The raise means some adjustments for business owners and their customers.
It’s lunchtime at PinKU Japanese Restaurant. Diners scan the menu, order, pay and then wait for food at their tables. John Sugimura is a partner at PinKU.
“The counter service is a great model for us in the Twin Cities because we want to be involved in our food,” Sugimara said.
Counter service is a national trend that cuts out a need for servers.
“For most operations to eliminate a front-of-house staff roster will always be a cost saving benefit,” Sugimara said.
And businesses in Minneapolis may have to look at cost saving options as the minimum wage gradually increases to $15 an hour over the next few years.
As of July 1st, Sugimara says PinKU’s wage is $11 an hour.
“When you’re sitting from the heart principal that I’m going to support my employees to the end, it’s the right thing,” he said. “I say nothing but more power to them.”
He’s supplementing by starting to sell his sushi dishes at local co-ops. If prices at businesses do go up, some diners are willing to pay.
Sugimara says he doesn’t plan to raise prices, but wait times may go up.
“We aren’t going change a thing. We are not going to cut any corners. Just give us a little bit more wiggle room on time deliver a great meal, and people will understand that.”
The ordinance says larger businesses will be at $15 an hour by 2022, and smaller businesses will be at $15 in 2024.
If your employer violates the new minimum wage rule, file a report with the city.