1.1                          A bill for an act 
  1.2             relating to employment; raising the minimum wage; 
  1.3             amending Minnesota Statutes 1996, section 177.24, 
  1.4             subdivision 1. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  Minnesota Statutes 1996, section 177.24, 
  1.7   subdivision 1, is amended to read: 
  1.8      Subdivision 1.  [AMOUNT.] (a) For purposes of this 
  1.9   subdivision, the terms defined in this paragraph have the 
  1.10  meanings given them.  
  1.11     (1) "Large employer" means an enterprise whose annual gross 
  1.12  volume of sales made or business done is not less than $362,500 
  1.13  $500,000 (exclusive of excise taxes at the retail level that are 
  1.14  separately stated) and covered by the Minnesota fair labor 
  1.15  standards act, sections 177.21 to 177.35. 
  1.16     (2) "Small employer" means an enterprise whose annual gross 
  1.17  volume of sales made or business done is less than $362,500 
  1.18  $500,000 (exclusive of excise taxes at the retail level that are 
  1.19  separately stated) and covered by the Minnesota fair labor 
  1.20  standards act, sections 177.21 to 177.35.  
  1.21     (b) Except as otherwise provided in sections 177.21 to 
  1.22  177.35, every large employer must pay each employee wages at a 
  1.23  rate of at least $4.25 $5.15 an hour beginning September 1, 1997.
  1.24  Every small employer must pay each employee at a rate of at 
  1.25  least $4 $4.90 an hour beginning January 1, 1998. 
  2.1      (c) A large employer must pay each employee at a rate of at 
  2.2   least the minimum wage set by this section or federal law 
  2.3   without the reduction for training wage or full-time student 
  2.4   status allowed under federal law.  Notwithstanding paragraph 
  2.5   (b), during the first 90 consecutive days of employment, an 
  2.6   employer may pay an employee under the age of 20 years a wage of 
  2.7   $4.25 an hour.  No employer may take any action to displace any 
  2.8   employee, including a partial displacement through a reduction 
  2.9   in hours, wages, or employment benefits, in order to hire an 
  2.10  employee at the wage authorized in this paragraph.  
  2.11     Sec. 2.  [EFFECTIVE DATE.] 
  2.12     Section 1 is effective September 1, 1997.