Saint Paul raises minimum wage, Taco Bell operators face compliance warning

Saint Paul’s minimum wage for small and micro businesses rose on July 1 to $16.37 for small businesses with 6 to 100 employees and $14.25 for micro businesses with 5 employees or fewer. Large and macro businesses, defined as 101 or more employees, remained at $16.37, and youth workers ages 14 to 17 must be paid at least $13.95 an hour for the first 90 consecutive days after hiring.

Saint Paul’s Labor Standards Division, housed in the City of Saint Paul Department of Human Rights & Equal Economic Opportunity, handles education and enforcement of the city’s Minimum Wage, Earned Sick and Safe Time, and Wage Theft ordinances. Since January 1, 2025, the division has closed 28 cases, negotiated more than $178,000 in back wages, and recovered 1,232 ESST hours for 640 employees. A recent enforcement action involved a contractor who paid workers below the required rate and failed to provide required annual notices, leading to restitution and liquidated damages.

Saint Paul’s minimum wage ordinance applies to work done within the city and covers full-time, part-time and temporary employees who work at least 2 hours in a week inside Saint Paul. Wages under the ordinance include salary, hourly pay, piece rate pay, commissions and non-discretionary performance bonuses. If an employer accepts a violation, the city’s complaint process requires it to pay proposed back pay and liquidated damages within 15 days and send proof of payment to the city.

Taco Bell’s careers site identifies franchisees as independent business owners and names the franchisee, not Taco Bell Corp. or its affiliates, as the employer if hired. In Saint Paul, one Taco Bell franchise job posting lists team member pay at $16 to $24 an hour, while a restaurant general manager posting lists $50,000 to $100,000 a year. Yum! Brands opens a new KFC, Taco Bell, Pizza Hut or Habit Burger & Grill roughly every two hours. Saint Paul’s final minimum wage rules set July 1, 2028, as the date when all employers, regardless of size, will be subject to the same city wage rate.