For those unaware, the state of Minnesota is awash with money, and legislators are jockeying for the best way to spend the current surplus. With that, two massive bills have been introduced at the committee level, totaling over $2 billion.
First, the same representative who introduced a paid parental leave bill that was ultimately pushed to the side last year has introduced an even more expansive employee leave bill. In its current form, the bill would act similar to Unemployment Insurance, and offer 12 weeks of partially-paid leave for employees whose relatives were suffering from a serious medical condition, and 12 weeks of leave for employees for their own serious medical conditions after 90 days’ employment with one employer. Similar to FMLA, a qualifying exigency as a result of a military member’s active duty service would constitute reason for paid leave, as well.
The bill would appropriate $1.7 billion to start the fund, and employers would begin paying into the fund beginning in 2024. Under the program, applicants for leave would not be eligible for benefits for a workweek the applicant receives any form of PTO from his or her employer. The act also provides for employee reinstatement to the same or similar position the employee held prior to the leave and protection against retaliation and interference with the application process.
Instead of paying into the state’s fund, employers can create their own “private plan” for employees that pays family and medical benefits that confers the same “rights, protections and benefits” provided to employees under the state plan. Even if employers create their own private plan, they must pay up to $1,000 for a state “oversight fee.”
On the COVID front, the possibility of “bonus pay” for frontline workers who worked a portion of the time in covered positions throughout the pandemic was approved by the House Workforce and Business Development Finance and Policy Committee. The bill would appropriate $1 billion from the state’s general fund to pay frontline workers $1,500 if they worked at least 120 hours in a frontline job between March 15, 2020 and June 30, 2021, while earning less than $85,000 in that period of time.
There is still a long way to go with both of these bills, as they are working their way through the committee phase. However, due to the state’s budget surplus, there is a possibility of something involving one-time money making its way into becoming law.
We will keep apprised of all movement on these bills, as they have the chance of impacting hundreds of thousands of Minnesotans. If you, or your organization, need assistance in navigating any new or existing employer regulations, contact Wiley Reber Law, for legal advice that works.