Unions strike deal to increase state of Minnesota's pay for workers, raising some to $20 minimum wage

The tentative agreement must be ratified by rank-and-file union members.

June 26, 2023 at 5:07PM
The tentative agreement will raise the minimum wage for state workers to $20 per hour. (Glen Stubbe, Star Tribune/The Minnesota Star Tribune)

Minnesota will raise the minimum wage for more than 1,000 state government workers — and possibly thousands more — to $20 per hour under a tentative contract agreement announced by the state's largest public sector employee union.

The agreement, which still must be ratified by rank-and-file union members, is nearly double the state's minimum wage of $10.59 per hour and higher than the more than $15 per hour minimum wage required by the city of Minneapolis. It would go into effect as soon as ratified.

Leaders at the American Federation of State, County and Municipal Employees (AFSCME) Council 5, which represents 18,000 state employees, said the minimum wage will set a standard that other employers across the state and country should follow.

"The workers covered under this union contract make Minnesota happen, and without them, our state would cease to function," said AFSCME Council 5 Executive Director Julie Bleyhl, in a statement.

"Our state can better recruit and retain workers who are integral to the functioning of our excellent state services that all Minnesotans need and deserve," she added.

There are 1,295 AFSCME employees who earn less than $20 an hour. Nearly 7,000 additional employees have a salary range with a minimum of less than $20 per hour who also could see a boost, said AFSCME spokesman Max Hall.

The agreement also will increase wages by 5.5% and 4.5% for their members — including minimum wage earners — over the next two years. It would raise many job classifications to a higher pay range and expand insurance benefits for employees. The union represents everyone from technical and transportation workers to general maintenance employees.

Cost of living adjustments of 5.5% and 4.5% also are expected for the more than 16,500 workers represented by the Minnesota Association of Professional Employees (MAPE), whose members are state employees at sites such as the Minnesota Zoo, prisons, state college and universities, and residential programs serving people with mental illness.

MAPE, which negotiated its contract separately from AFSCME, argued that wages hadn't kept up with inflation and the state already was struggling to retain its current workforce. Negotiators for the union initially pushed for higher increases.

"We asked for what we deserved — 11% and 10% raises — and did not get that, but we fought for every cent and won a lot," said MAPE negotiations co-chair Adam Novotny in a statement. "We won a double-digit increase for our members because they work tirelessly to provide the necessary services to keep Minnesotans and their communities healthier and safer."

MAPE says it's the first time in three decades they were able to negotiate a double-digit total pay increase for members.

The negotiations came on the heels of a historically productive legislative session, where lawmakers enacted new programs and expanded others that could require the state to hire several thousand new employees in the next several years.

A spokesman with Minnesota Management and Budget, the lead state agency negotiating with the unions, said the state won't comment on the agreement until after members approve the contract.

Under a law change passed last session, the unions no longer have to wait for final approval from the Legislature, meaning their vote on the contract is the final step.

Staff writer Jessie Van Berkel contributed to this report.

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Briana Bierschbach

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Briana Bierschbach is a politics and government reporter for the Star Tribune.

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