HF 2 creates a paid family and medical leave insurance program funded by employers and employees through payroll deductions. Starting January 1, 2026, employees will be able to take up to 20 weeks of paid family and medical leave per year.

Minnesota has joined the growing number of jurisdictions that have enacted paid family and/or medical leave programs for employees.¹ On May 25, 2023, Governor Tim Walz signed HF 2, a Paid Family and Medical Leave (PFML) bill, which will provide employees up to 20 weeks of PFML per year. The program will be administered by a new Family and Medical Benefit Insurance Division (the “Division”) of the Department of Employment and Economic Development (DEED). Employers and employees will contribute to a state fund that will support the program.

When Does the Statute Take Effect?

Workers may begin to take PFML on January 1, 2026, at which time workers and employers also begin paying into the fund. Certain portions of the statute will be implemented before this date so the state can build the necessary infrastructure to administer it by the official start date.

Who Is a Covered Employer?

The statute applies to employers regardless of their size, and regardless of the number of employees located in Minnesota.

Who Is an Eligible Employee?

All Minnesota employees, with limited exceptions, will be eligible for PFML benefits if they meet the financial eligibility requirements under the law. Certain seasonal employees are excluded from coverage...

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