City hires consultant for payroll system switch

Minneapolis file 2026-00707, before the Minneapolis City Council. Passed as of 2026-06-27.

Latest action: Published

What it does

City employees may see delays in pay or benefits during the switch. When the city moves from Oracle PeopleSoft to Workday software, pay processing and benefits could be disrupted for weeks or months.

The bigger picture

City operations depend on keeping payroll and HR systems working smoothly. If the software switch goes wrong, it could affect hiring, timekeeping, and how the city tracks employee records across all departments.

What to watch

Guidehouse's contract cost is high and tied to city terms. The city is paying over $10.5 million for the switch, and the contract includes changes to normal city buying rules that favor the vendor's terms.

Official summary

Authorizing a contract with Guidehouse, Inc., in an amount not to exceed $10,527,035, to provide ERP System Implementation professional services, to assist with the transition from Oracle PeopleSoft to the Workday Software solution, including, pursuant to the parties' negotiations, modifications to the City's terms and conditions.

Read the official record for 2026-00707

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