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June 9, 2023
On May 25, 2023, Minnesota enacted a law establishing a Paid Family and Medical Leave (PFML) program that will become effective on January 1, 2026. See 2023 Bill Text MN H.B. 2.
Who is eligible to take PFML?
Most employees in Minnesota will become eligible to take PFML after they have earned more than $3,500 in wages over a period of one year.
What types of circumstances trigger eligibility for PFML?
PFML consists of two main types of job-protected leave: (1) family leave to care for a family member with a serious health condition, or to bond with a new baby or child in an employee’s family; and (2) medical leave when employees’ own serious health conditions prevents them from working. Additionally, employees will be able to take leave to support a family member in the military deploying overseas, or if the employee or a family member is facing a significant personal safety issue.
How much leave is available?
Within a single year, eligible employees will be able to take up to 12 weeks of medical leave or family leave for a single qualifying event, or up to 20 weeks of combined medical and family leave if more than one qualifying event exists in the same claim year.
What benefits will employees receive?
Employees’ paid leave benefits will vary based on their weekly pay. The State of Minnesota plans to update its website to include a calculator so that employees may estimate their benefits.
Can PFML be taken intermittently?
Yes, but leave must be taken in a minimum of eight-hour increments.
How will the PFML program be funded?
The PFML program will be funded through premiums paid to the State of Minnesota. Premiums for the program will be 0.7% of an employee’s taxable wages, up to half of which employers may charge to employees through a wage deduction.
Employer Takeaways / Important Deadlines
Several important deadlines exist leading up to the program’s roll-out in January 2026. Starting in mid-2024, most Minnesota employers will be required to submit a report to the State detailing the quarterly wages received and hours worked for each employee. Starting in late 2025, employers must notify their employees about the program (the State intends to post sample notices on its website as roll-out of the program draws near). Starting in January 2026, employers will be required to submit premiums for the program to the State.
The author of this article, Patricia Tsipras, is a member of the Bar of Pennsylvania. This article is designed to provide one perspective regarding recent legal developments, and is not intended to serve as legal advice in Minnesota or Pennsylvania, or any other jurisdiction, nor does it establish an attorney-client relationship with any reader of the article where one does not exist. Always consult an attorney with specific legal issues.
