New Employment Laws Effective August 1, 2024
The 2024 legislature passed a large number of laws affecting employment, some of which are becoming effective now. In particular, the Minnesota Paid Family and Medical Leave Act, which will not become fully effective until January 1, 2026, has been partially implemented now. Pregnant workers may now take prenatal medical leave without that leave counting against their twelve weeks of statutory parental leave. The employer must offer the same benefits during pregnancy and parental leave, and continue contributing to the employee’s health insurance as if the employee were working.
Employers are now required to save employee earning statements for a full three years. This is particularly important, as failure to keep accurate records is not only a statutory violation itself, but could subject employers to increased liability for wage claims.
Finally, employers may no longer deduct credit-card processing fees from employee tips. Employees who receive a gratuity or tip through a credit card transaction must receive the full listed amount of the tip, and that amount must be paid no later than the next following payroll period. Employers are now required to bear the cost of the credit card fee.
Employers should continue to review their policies, particularly in the areas of leave and wage payment. The law in these areas is developing at a rapid rate, and keeping policies up to date and legally compliant is becoming increasingly difficult.
Alec J. Beck practices in the areas of Labor and Employment Law, Litigation and Campaign Finance Law. He has decades of experience appearing before many federal, state and local agencies.
Parker Daniels Kibort has one of the top labor and employment practices in the State of Minnesota. If you have any questions about these new laws and how they affect your business, contact our labor and employment team at 612.355.4100.