On May 24, 2023, Minnesota Governor Tim Walz signed into law a sweeping omnibus jobs and economic development and labor funding bill that will invest $500 million in a fund to match federal investments in infrastructure and large-scale development projects. This bill also fundamentally changes several areas of Minnesota employment law, including instituting a ban on employer-employee noncompete agreements signed after July 1, 2023, establishing new paid sick leave entitlements, providing employees with additional pregnancy and nursing accommodations, and adding new worker safety protections.
Quick Hits
The signing of Senate File (SF) 3035 comes one week after it passed the state legislature as one of twelve budget bills approved by the governor. Specifically, SF 3035 will make several key changes to Minnesota labor and employment law, including those outlined below.
Ban on Noncompetes
The law will make “void and unenforceable” “any covenant not to compete” between employers and employees that restricts employees from working for another employer. These restrictions apply only to agreements signed on or after July 1, 2023, and will not apply retroactively. These...
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