Subminimum wages prohibition for persons with disabilities

Minnesota's SF 1052 prohibits employers from paying subminimum wages to people with disabilities under any circumstances. Effective August 1, 2025, new hires cannot be paid below the state minimum wage regardless of special certificates, and by August 1, 2027, all current employees must receive at least the state minimum wage. The bill requires home and community-based service providers to report data on individuals previously paid subminimum wages (including name, disability type, and employment status) annually, with privacy protections. It also appropriates $38,000 in 2026 and $75,000 in 2027 to update the MnCHOICES system for employment-related features. This directly affects employers providing services under Minnesota's disability support programs.