SF1793

This bill proposes an amendment to the Minnesota Paid Leave Law, exempting small employers—defined as those with 20 or fewer employees—from its requirements until January 1, 2028.

Key Provisions:

1. Exemption for Small Employers:

   • Employers with 20 or fewer employees are not required to participate in the Minnesota Paid Leave Law until January 1, 2028.
   • The law defines covered employment but explicitly excludes employees of small employers during this exemption period.

2. Definitions and Exclusions:

   • Changes to Minnesota Statutes section 268B.01 redefine "covered employment," "employee," and "employer" to temporarily exclude small employers.
   • Self-employed individuals, independent contractors, and seasonal employees remain excluded from the Paid Leave Law.

3. Optional Participation:

   • Small employers may choose to opt-in to the paid leave program by following a process set by the Commissioner.
   • If a small employer opts in, their employees will be eligible for paid leave benefits.

4. Rulemaking Authority:

   • The state's Commissioner has authority to establish rules that further clarify the application of the exemption and determine eligibility criteria for covered employment.

Expiration of the Exemption:

• This exemption ends on January 1, 2028, after which small employers would be required to comply with the Paid Leave Law.

Summary:

This bill delays the implementation of Minnesota's Paid Leave Law for small businesses (20 or fewer employees) until 2028, giving them additional time before they must comply. However, small businesses can opt in voluntarily if they choose to participate before the exemption expires.