Minnesota continues to lead the nation in worker protections with significant updates to its Minnesota labor laws in 2025. Whether you’re an employee or an employer, understanding these changes is crucial to ensure compliance and uphold your rights.
1. Minimum Wage Increases Across Minnesota
As of January 1, 2025, Minnesota has implemented a uniform minimum wage of $11.13 per hour, applicable to all workers regardless of employer size. This change simplifies the previous tiered system and ensures equitable compensation across the state. However, a 90-day training wage remains at $9.08 per hour for workers under 20 years old.
It’s important to note that some cities, such as Minneapolis and St. Paul, have set higher local minimum wages. For instance, Minneapolis mandates a minimum wage of $15.97 per hour as of January 1, 2025.
2. Earned Sick and Safe Time (ESST) Law Updates
Minnesota’s ESST law, effective since January 1, 2024, has undergone key amendments:
- Documentation Requirement: Employees may now be required to provide documentation after missing more than two consecutive scheduled workdays.
- Shift Trading: Employees can voluntarily trade shifts with replacement workers to cover ESST absences.
- Advancing ESST: Employers may advance ESST based on anticipated hours worked. If the advanced amount is less than what the employee would have accrued, additional ESST must be granted to make up the difference.
These changes aim to provide more flexibility and clarity for both employers and employees regarding paid leave.
3. Enhanced Break and Rest Periods Starting 2026
Effective January 1, 2026, Minnesota law will require employers to provide:
- Meal Breaks: An unpaid meal break of at least 30 minutes for employees working six or more consecutive hours.
- Rest Breaks: A paid rest break of at least 15 minutes or enough time to use the nearest convenient restroom, whichever is longer, within each four consecutive hours worked.
Employers failing to comply may be liable to pay employees for the missed break time at their regular rate of pay, plus an equal amount in liquidated damages.
4. Pay Transparency Law for Employers
Starting January 1, 2025, Minnesota employers with 30 or more employees are required to include:
- A salary range in all job postings, reflecting the minimum and maximum compensation.
- A general description of all benefits and compensation.
This legislation aims to promote pay equity and transparency in the hiring process.
5. Protection Against Captive Audience Meetings
Minnesota labor law prohibits employers from requiring employees to attend mandatory meetings during work hours that are intended to influence their opinions about unionization. These “captive audience” meetings are considered a violation of employee rights to freely associate and organize.
6. Workplace Notices and Posters
Employers are obligated to display certain labor law posters in the workplace, including:
- Minimum wage rates
- Safety and health protections
- Workers’ compensation rights
- Employee wage notices
These posters must be displayed in a location where employees can easily see them.
7. Upcoming Paid Family and Medical Leave Program
Minnesota’s Paid Family and Medical Leave program is set to begin on January 1, 2026. Employers will be required to enroll their employees in a state-administered retirement plan and begin payroll deductions if they have five or more employees and do not currently offer a retirement plan.
8. Employer Compliance and Resources
Employers should:
- Review and update workplace policies to align with the new labor laws.
- Ensure all required notices and posters are displayed prominently.
- Stay informed about upcoming legislation, such as the Paid Family and Medical Leave program.
Resources and guidance are available through the Minnesota Department of Labor and Industry.
Conclusion
Minnesota’s labor laws in 2025 reflect a strong commitment to worker rights and fair employment practices. By staying informed and compliant, both employees and employers can contribute to a more equitable and supportive workplace environment.
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