July 15, 2019

Minneapolis Mayor Jacob Frey

350 S 5th St., Room 331
Minneapolis, MN 55415

Minneapolis City Council Members

350 S 5th St., Room 331
Minneapolis, MN 55415

Re: Proposed Wage Theft Ordinance

Mayor Frey and Minneapolis City Council Members:

On behalf of the more than 1400 members of the Minneapolis Regional Chamber, businesses
represented by the Downtown Council, and businesses and associations around the state, we want to
share our thoughts about Minneapolis’ proposed wage theft ordinance.

Businesses are made up of people who come together to provide goods and services that benefit our
community. Collectively, businesses provide nearly 2 million jobs in our region. Businesses should be
good partners to ensure the success and health of our communities. Accordingly, we believe wage theft
is an abomination, and is something we as business leaders and representatives want to work with you
and the state to eliminate. In doing so, we want to be good partners to ensure that this mutual goal is
achieved in a positive manner.

Our first concern is the way the proposed Minneapolis ordinance would interact with Minnesota’s new
wage theft law, which just took effect on July 1. The Department of Labor and Industry has
acknowledged the new state wage theft law is not well known among small businesses. Minnesota’s
new law is among the most expansive and aggressive in the country, and businesses will have to make
significant changes to their work practices to fulfill the regulatory requirements in the law.

In addition to the efforts required to comply with state regulation, we have serious concerns about the
extra paperwork and regulatory requirements in the proposed Minneapolis ordinance. As new
paperwork, reporting, and document retention requirements at the state level take effect, Minneapolis
is proposing further paperwork, reporting, and document retention without a clear reason businesses in
Minneapolis should have to devote more time to administrative work instead of growing their
businesses and enhancing our neighborhoods.

Further as the state legislature considered Minnesota’s far-reaching wage theft legislation,
representative groups of labor, business, and employee advocates came together to engage with
elected officials and decisionmakers, and the law is stronger for it. With this proposed ordinance there
has been a very limited amount of engagement with businesses and employers. From this point forward,
we want to ensure that the business community is at the table as this proposed ordinance is considered.
Understanding the practical realities of running a business in Minneapolis will lead to a better result.

We strongly urge you to hit pause on this proposed ordinance. Doing so will allow government and
businesses to better understand how the new state law is impacting employers in Minneapolis. It will
also provide an opportunity for thoughtful engagement with all stakeholders.
 Wage theft is wrong and should be stopped. Let’s work together to create a system in Minnesota and
Minneapolis that lifts workers, supports businesses, and fosters an environment where Minneapolis is
one of the most desirable places in the country to do business.

Thank you for your consideration,

Jonathan Weinhagen Steve Cramer Bruce Nustad

President and CEO President and CEO President
Minneapolis Regional Chamber Minneapolis Downtown Council Minnesota Retailers Association

Joanne Kaufman Christine Levens Matt Perry

Executive Director President President
Warehouse District Business Association Northeast Minneapolis Chamber Southwest Business Association

Rick Bertram
President
Greater Minneapolis Hotel Association

Cc: Susan Segal, City Attorney

Nuria Rivera-Vandermyde, City Coordinator