The Minnesota Legislature passed a paid family and medical leave bill last week that is expected to be signed by Governor Walz within the next few days. The new law creates a state-administered, mandatory paid family and medical benefit insurance program funded by a payroll tax. The law becomes effective in stages, with the first round of requirements regarding employer recordkeeping on July 1, 2024.
The law provides up to 12 weeks of leave, with partial wage replacement per benefit year, for an employee’s own serious health condition; to care for a family member with a serious health condition or other qualifying exigency; for qualifying safety reasons; or for pregnancy, recovery from pregnancy, and bonding time for the birth, adoption, or placement of a foster child. But leave doesn’t max out at 12 weeks—in some circumstances, employees may take up to 20 weeks of leave.
The program, which is similar to Minnesota’s unemployment insurance benefits program, would be administered by the Minnesota Department of Employment and Economic Development (DEED) – Family and Medical Benefits Division. Under the program, an employee would apply through DEED, and DEED would determine the employee applicant’s eligibility for benefits and their weekly and maximum benefit amounts available.
Employers with and without existing paid medical and family leave policies should evaluate the requirements imposed by the new law well before the benefits and premium cost portions become fully...
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