Living Wage Ordinance/Business Subsidy Act Programs
Employment Requirements and Training Opportunities
On Nov. 4, 2005 the Minneapolis City Council adopted the Minneapolis Living Wage and Responsible Public Spending Ordinance (pdf) which replaces the City’s Living Wage Policy. The Living Wage Ordinance, which implements the Business Subsidy Act, requires covered projects to create at least one full-time living wage job for each $25,000 of business subsidy. A state business subsidy is a grant, loan below market rate, contribution or assistance that is given to a business. State law contains numerous exemptions. But the city imposes its own requirements on subsidies valued at $100,000 or more and with the intention or end result of creating or retaining jobs. Living wage for 2012 (7/1/12 - 6/30/13) is defined as 130 percent of the Federal Poverty Standard for a family of four ($29,965 or $14.41 per hour at 2,080 hours per year) or, if the employer provides basic health insurance benefits then it is equal to 110 percent of the federal poverty rate for a family of four ($25,355 or $12.19 per hour at 2,080 hours per year).
Job Linkage Program
The Minneapolis Job Linkage Program was originally adopted in 1991 and amended by the Minneapolis City Council in 1995 to provide a framework for city economic development programs and projects.
Any business that receives financial assistance from the city, even if it does not qualify as a City business subsidy, may be asked to sign a job linkage agreement. Job Linkage agreements encourage businesses to establish five-year job hiring and retention goals, hire Minneapolis residents and pay living wages. An integral part of this agreement involves a partnership between the business and neighborhood workforce development organization to assist in identifying, training and placing new employees.
The City of Minneapolis Employment and Training Program (METP) through a network of employment service agencies connect individuals to training opportunities and provide work-ready job applicants to Minneapolis businesses. METP also administers a variety of youth work programs."
For more information, contact Mark Brinda at (612) 673-6231.
Last updated Mar. 6, 2013