Currently, some families must make the choice between a paycheck and caring for their loved ones.
On May 25, 2023, Minnesota joined the growing number of states offering Paid Family and Medical Leave. The new law will go into effect on January 1, 2026, and will allow managers and employees up to 20 weeks per year for a combination of medical leave (for themselves or a loved one), time to bond with a new child, and military deployment leave—among other protections. Virtually all working Minnesotans will be eligible—including small business owners and those self-employed for PFML.
PFML will be funded by an insurance style fund—with a 0.7% payroll tax split between the employer and the employee. Similar programs in other states cost the employee about $2.00 per week. Employers with 30 or less employees will have payroll tax relief and will be eligible for reduced costs. Employees utilizing PFML will not receive their full wages, but a weekly benefit which will be calculated by applying a percentage to the employee’s average typical workweek and weekly wage. When taking leave, the employee must provide at least 30 days’ advance notice to the employer if the need for leave is foreseeable.
Like the federal, unpaid Family and Medical Leave Act (FMLA), employers are prohibited from retaliating against employees for exercising their Minnesota PFML rights. Moreover, upon return from PFML, an employee must be reinstated to the same position the employee held when the leave started or to an equivalent position. If an employee is laid off during PFML, the employer has the burden of proving the employee would have been laid off and not entitled to return to the job absent the PFML.
Understanding your options for parental or medical leave can be confusing. Contact the experienced employment lawyers at MSB Employment Justice if you need guidance or are concerned that your employer may be violating your rights.