SF2919

Purpose of the Bill

The purpose of this bill is to amend existing Minnesota labor statutes to allow the inclusion of the cost of earned sick and safe time benefits in the calculation of prevailing wages for construction contractors under specific conditions.

Main Provisions

• Inclusion in Prevailing Wage Calculation: This bill allows construction contractors who provide earned sick and safe time benefits to their employees to include the cost of these benefits in the calculation of prevailing wages. This is applicable only if they have not established or are not eligible for a waiver agreement regarding earned sick and safe time with their employees through collective bargaining.

• Consistency with Existing Policies: Employers are encouraged to continue offering or adopt sick and safe time policies that are more generous than the state-required minimums. However, they are not required to provide additional sick and safe time if their existing paid leave policy matches or exceeds state requirements.

• Collective Bargaining Waivers: The provisions related to sick and safe time can be waived through a collective bargaining agreement with a bona fide building and construction trades labor organization. For such waivers to be valid, they must clearly and unambiguously reference and waive the specific sections in question.

• Existing Accrual Prior to 2024: For sick leave accrued before January 1, 2024, employers are allowed to use their established written notice and documentation policies instead of the new statutory requirements.

• Employee-Employee Sick Time Donation and Advances: Employers are not prohibited from creating policies that allow employees to donate unused sick and safe time to their colleagues or advance sick and safe time to employees who have not yet accrued it.

Significant Changes to Existing Law

• The bill modifies existing statutes to explicitly include the cost of sick and safe time benefits in prevailing wage calculations for certain employers.
• It encourages employers to maintain or exceed the minimum sick and safe leave standards while clarifying the conditions under which these provisions may be waived through collective bargaining.

Relevant Terms

• Earned Sick and Safe Time
• Prevailing Wage Calculation
• Collective Bargaining Agreement
• Construction Contractors
• Paid Leave Policy
• Waiver Agreement