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Bonding Bill Commits to Racial and Gender Equity

10/28/2020 10:00:00 AM

Vector construction site with workers working

Last week, Governor Walz signed the Local Jobs and Projects plan into law, funding public infrastructure construction projects across the state.

This new law is a commitment to greater racial and gender equity in Minnesota. 

Through the Equity in Bonding provision, bonding money recipients are required to create hiring opportunities for communities of color, Indigenous communities, and women on state projects, while ensuring men and women are paid the same rate for the same job.

Equity in Bonding responds to urgent requests from communities of color, Indigenous communities, and women throughout the state. 

We are grateful for the support from Governor Walz, Lieutenant Governor Flanagan, legislators, as well as an array of stakeholders including the NAACP, the Rochester Diversity Council, the Minnesota Council of Nonprofits, and many others from the nonprofit, union, contractor, local government, and higher education sectors.

What is Equity in Bonding?

Equity in Bonding extends the Minnesota Department of Human Rights’ Workforce Participation Goals and Equal Pay protections to state-funded bonding projects.

Our Department already works with more than 3,700 contractors on state-funded projects. Beginning in January 2022, our Department will begin working with bonding recipients.

Why is it important?

Minnesota has some of the worst racial disparities in the country and the gender wage gap persists. When state investments are used to intentionally undo these disparities and inequities, Minnesota communities thrive.

Equity in Bonding will intentionally create career opportunities for Black, Indigenous, people of color, and women throughout the state on the construction projects. This new law will also ensure that employers are paying men and women the same rate for the same job.

When does Equity in Bonding start?

January 2022. 

In the time leading up to this policy’s full implementation, our Department will be working with local units of government and other bonding recipients on how to comply with the policy, as well as working with other state agencies to update internal systems accordingly.

Our Department is looking forward to working with local governments and other bonding recipients to help eliminate racial and gender disparities in Minnesota through this work.

If you have questions or would like more information, send us an email at info.mdhr@state.mn.us.

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