Minnesota’s Preventing Pay Discrimination Act: What Employers Need to Know

As of January 1, 2024, Minnesota has implemented a new law aimed at promoting pay equity—the Preventing Pay Discrimination Act. This legislation prohibits employers from asking job applicants about their salary history, ensuring that wages are based on qualifications, experience, and industry standards rather than previous earnings. By removing salary history from hiring decisions, the law helps close wage gaps and foster fair compensation practices.

For details on the official statute, visit the Minnesota Department of Human Rights.

What Employers Need to Know

To comply with this new law, Minnesota employers must:

Eliminate salary history inquiries – Employers can no longer ask candidates about their past wages, either directly or through a third party.

Set pay based on job qualifications – Compensation must be determined by factors such as skills, experience, education, and market conditions rather than an applicant’s prior earnings.

Adopt transparent pay structures – Employers should develop clear salary guidelines that justify pay decisions and promote equitable compensation.

Consider pay transparency in job postings – While not legally required, including salary ranges in job listings demonstrates a commitment to fairness and can help attract top talent.

How KeyStaff Supports Employers

At Midwest Staffing, we help businesses navigate these new regulations while streamlining the hiring process. Here’s how we ensure compliance and support fair hiring practices:

Transparent Hiring Practices – We assist companies in developing clear, structured pay frameworks that align with compliance requirements and market expectations.

Industry Market Insights – Our expertise in workforce trends enables employers to set competitive and equitable salaries without relying on past compensation data.

Candidate Screening – We evaluate applicants based on skills, experience, and cultural fit, ensuring that pay decisions are fair and unbiased.

Strategic Talent Placement – We connect businesses with highly qualified candidates, helping them build strong teams while adhering to fair pay practices.

By partnering with KeyStaff Professionals, companies can confidently comply with Minnesota’s salary history ban while attracting and retaining top talent. Contact us today to learn how we can help you navigate this change and enhance your hiring strategy! 🚀