Minnesota's lowest wage earners will see an pay increase for the first time since 2005.
Governor Mark Dayton has signed off on a bill that will bump the minimum wage up to $9.50 an hour by 2016.
It will go to $8.00 this August.
Dayton, who supports the increase, says Minnesotans who work full time should be able to earn enough money to lift their families out of poverty, and through hard work and training, be able to achieve the American Dream.
The bill past through the House and Senate last week despite opposition from Republicans.
The current wage of $6.15 is one of the lowest minimum wages in the U.S.