Legislative Information for Business Owners

Attention all business owners! Beginning on Jan 2024, most U.S. companies will have to report information about their beneficial owners, i.e., the individuals who ultimately own or control the company.

If your company was created or registered before January 1, 2024, you will have to report electronically through FinCEN's website before Jan 1, 2025. If created after January 1, 2024, you will have to electronically files within 90 days of notice of creation or registration. Any updates or corrections must be submitted within 30 days. More more information, visit: www.fincen.gov/boi.

The MN Dept of Labor & Industry recently sent out a bulletin with new laws becoming effective Aug 1 2024 as well as other important updates. Here's a summary with a link to the full bulletin below.

Personnel records: Effective July 1, 2024 - Workers in MN can request to see their personnel/work records every 6 months and challenge information they disagree with.

Credit card and e-payments: Effective Aug 1, 2024 - Employees must receive the full amount of tips paid by card or e-payment.

Earnings statement: Effective Aug 1, 2024 - MN employers must save employee earnings statements/pay stubs for 3 years. This applies to current and past employees.

Pregnant workers and new parents: Effective Aug 1, 2024 - Pregnant employees can take prenatal medical leave without it counting against their pregnancy/parental leave. They will get the same health benefits during pregnancy/parental leave, and their employer will contribute as if they were working.

Read more HERE

Effective January 1, 2026 in Minnesota, paid time off will be provided when an employee is unable to work due to:

1) a serious health condition

2) needing time to care for a family member or a new child

3) certain military-related events

4) certain personal safety issues (for oneself or one’s family member)

5) supporting a family member called to active duty

Family Leave applies to situations in which one must care for a family member with a serious health condition, or when one is caring for a new baby/child in the family.

Medical Leave applies when one’s own health prevents them from working.

Employers provide funding for this program via payroll deductions, keeping their employees informed, coordinating benefits, and supporting returning employees.

LEARN MORE HERE

FREQUENTLY ASKED QUESTIONS FOR EMPLOYERS

Below is a video on the subject, recorded at our State of Business program:

Effective Jan. 1, 2024, Minnesota’s earned sick and safe time law requires employers to provide paid leave to employees who work in the state. This means that as a business owner, you need to start preparing now to ensure that you comply with the new law. Sick and safe time is paid leave that employers must provide to employees in Minnesota that can be used for certain reasons, including when an employee is sick, to care for a sick family member, or to seek assistance if an employee or their family member has experienced domestic abuse.

An employee is eligible for sick and safe time if they work at least 80 hours in a year for an employer in MN; and are not an independent contractor. Temporary and part-time employees are eligible for sick and safe time. An employee earns one hour of sick and safe time for every 30 hours worked and can earn a maximum of 48 hours each year unless the employer agrees to a higher amount. Sick and safe time must be paid at the same hourly rate an employee earns when they are working.

To help get started, the DLI is providing resources on their website (we included links in our e-newsletter in early October). If you have specific questions, reach out to the Labor Standards Division of DLI at 651-284-5075 or dli.laborstandards@state.mn.us. As always, please let us know if we can help in any way.

Other Resources:

A Guide to Minnesota's Laws About Sick and Safe Time

Small Business Call Employers Paid Leave Question and Answers and Additional Information

Effective January 1, 2024, employers can no longer ask a candidate’s current or past pay history during the hiring process, with the intent to close the gender and racial pay gap. This law applies to employers of all sizes and types. Going forward, employers must rely on an applicant’s skills, education, certification, licenses, and other qualifications, as well as the job market, to set pay. Be sure your applicant materials are updated to make sure they do not ask for pay information.

Find additional information and resources on the Pay History Webpage.

Beginning January 1, 2024, the sale and distribution of food and beverage packaging containing intentionally added PFAS chemicals will be prohibited in Minnesota (Minn. Stat. 325F.075).

This PFAS in food packaging prohibition was passed in 2021 and is separate from requirements in 2023 PFAS legislation, including Amara's Law, which will phase out other avoidable PFAS uses in Minnesota by 2032.

*New Information* 

At that time, intentionally added PFAS will be prohibited in products from 11 categories under Amara’s Law. The MPCA’s interpretation of the statutory definition of each of these categories will determine which products the prohibition on intentionally added PFAS applies to.

For example, the prohibition on PFAS in the dental floss category will include any product designed to be drawn between the teeth to remove food particles and prevent dental plaque. The prohibition on PFAS in the upholstered furniture category will include water and stain repellent finishes on the outer fabric and also electronic components found in upholstered furniture, including massage chairs and mattresses. The prohibition on PFAS in carpets and rugs category will include artificial turf.

Prohibitions on intentionally added PFAS in the 11 categories of products effective January 2025 are not part of rulemaking and are not subject to “currently unavoidable use” determinations, which are applicable to other products beginning in 2032. For more details and information, visit the

 PFAS in products disposal recommendations and 2025 PFAS prohibitions webpages.

Other Resources

Recording of the PFAS in Food Packaging Webinar

Effective Jan 1 2024, employers of 50 or more people are required to display posters explaining new legislation impacting the workplace. Click HERE below to see what posters are required and how to download them.

Minnesota’s minimum-wage rate will be adjusted for inflation on Jan. 1, 2025, to $11.13 an hour for all employers in the state.

During the 2024 legislative session, Minnesota’s minimum wage law was revised to eliminate the reduced minimum wages applicable for small employers (defined as annual gross revenues less than $500,000), youth under the age of 18 and J-1 visa workers. These minimum wage changes are effective Jan. 1, 2025.

"The updates to minimum-wage laws ensure employees earn at least a standard minimum wage regardless of the size of their employer or how old they are, while maintaining the 90-day training wage for employees under age 20," said Commissioner Nicole Blissenbach, Minnesota Department of Labor and Industry. "The changes will also help minimum-wage workers keep up with inflation to better provide for themselves and their families."

Effective Jan. 1, 2025, the state’s minimum-wage rates for all employers, including large employers, small employers, youth and J-1 visa wages for hotels, motels and lodging establishments, will increase to $11.13 an hour. The law still allows for a 90-day training wage for workers under age 20. The current hourly training wage, $8.85, will increase to $9.08. These rates reflect a 2.6% increase.

The cities of Minneapolis and St. Paul have minimum-wage ordinances that require higher minimum-wage rates for work performed in Minneapolis and St. Paul.

Minnesota law requires employers to display state-mandated posters in a location where employees can easily see them. The new minimum-wage poster will be available for download this fall.

Minnesota’s law prohibits any covenant not to compete that is contained in a contract or agreement with an employee or independent contractor. READ MORE

On May 24, 2023, Governor Tim Walz signed into law legislation that further expands protections for nursing and pregnant employees in Minnesota. The amendment, included in Senate File 3035, builds on the changes that became effective in January 2022 to Minnesota’s nursing mothers and pregnancy accommodations law (Minn. Stat. § 181.939). READ MORE

The CROWN Act adds a definition of race to the Minnesota Human Rights Act to explicitly protect natural hair styles and textures, including but not limited to "braids, locks, and twists." This will ensure that hair discrimination is legally included as a form of racial discrimination. READ MORE

The legislation creates the framework for adult-use cannabis in Minnesota and establishes a new Office of Cannabis Management, which will regulate cannabis (including for the adult-use market, the Medical Cannabis Program, and for lower-potency hemp edibles) and issue licenses and develop regulations outlining how and when businesses can participate in the industry. READ MORE

The statute restricts “employer-sponsored meetings or communication” relating to religious or political matters. It defines “political matters” as those relating to political parties and community, fraternal, or labor organizations, among other things. READ MORE

The Department of Employment and Economic Development (DEED) Employer Reasonable Accommodation Fund (ERAF) creates a central fund where small to mid-sized Minnesota employers can request reimbursement for expenses related to providing reasonable accommodations for job applicants and employees with disabilities. READ MORE

Below is a video on the subject, recorded at our State of Business program:

The Anoka County Board of Commissioners approved a 10.4 percent final property tax levy increase at the board’s Dec. 1 meeting.

Priorities for the 2024 budget include providing safe roads and eliminating congestion; working to improve people’s lives; public safety; attracting and retaining a skilled county workforce; and providing clear, accurate and effective information to residents and county staff about county initiatives. READ MORE

Anoka County offers a low-interest rate for job creation and growth-stage businesses (not a good fit for startup businesses or solopreneurs). Effective 2024, the rate has now dropped to 4%. READ MORE