Minnesota Supreme Court Clarifies State Law Standards for ‘Severe or Pervasive’ Harassment and Constructive Discharge

On February 8, 2023, the Minnesota Supreme Court issued its first significant decision interpreting the state’s employment discrimination law, the Minnesota Human Rights Act (MHRA), in three years. In a ruling that will likely be hailed as a victory by employees and employers alike, the supreme court clarified the law on several issues.

Minnesota Legislature Takes Up Noncompetition, Paid Family Leave, Cannabis Legalization, and Privacy Bills in 2023 Session

Minnesota’s 2023 legislative session is off to a hot start and turning out to be an important one for Minnesota employers and companies doing business in Minnesota. Currently, there are four noteworthy bills that employers should keep an eye on as they progress through the Minnesota Legislature.

State and Major Locality Minimum Wage Updates for 2023

Several state and local minimum wage rates will increase in 2023, with a majority of the changes effective on January 1, 2023. The following chart lists state and certain major locality minimum wage increases for 2023—and future years, if available—along with the related changes in the maximum tip credit and minimum cash wage for tipped employees.

The Hazards of Remote Employee Layoffs: Wage and Hour Issues, Severance Agreements, and Unemployment Claims

Remote work has exploded since the COVID-19 pandemic began, with some employers hiring employees to work remotely anywhere in the United States. With the recent economic downturn, layoffs are beginning to occur, and for the first time a significant number of remote employees may be included in layoffs. Layoffs of remote employees present unique legal hazards for employers.

Minnesota Enacts Legislation Funding Unemployment Coffers, Authorizing Pay to Frontline Workers, and Requiring Notice

On April 29, 2022, Minnesota Governor Tim Walz signed Senate File (S.F.) No. 2677 into law, replenishing the state unemployment coffers and authorizing payments to various frontline workers. This new law requires Minnesota employers to provide notice to eligible frontline workers regarding potential additional benefits available to them.

Minnesota Legislative Update: Employment-Related Bills to Watch

The Minnesota Legislature, currently in regular session until mid- to late May 2022, has drafted various bills that may impact Minnesota employers and employees. Notably, some of the major bills under consideration (or already enacted) include a hair antidiscrimination bill, a measure extending the COVID-19 presumption of workers’ compensation eligibility for certain healthcare workers, and a proposal to restrict noncompete agreements.

Minnesota Extends Workers’ Compensation Presumption for Frontline Workers Who Test Positive for COVID-19

On February 4, 2022, Governor Tim Walz signed House File (H.F.) 1203 into law, which extends the presumption that certain frontline healthcare workers contracted COVID-19 at work if they test positive. The prior presumption had expired on December 31, 2021.

First Circuit Creates Split Regarding Federal Court Jurisdiction Over FLSA Multistate Collective Actions

On January 13, 2022, in Waters v. Day & Zimmermann NPS, Inc., the First Circuit Court of Appeals became the third federal appellate court to address the application of the Supreme Court of the United States’ decision in Bristol-Myers Squibb Co. v. Superior Court of California to Fair Labor Standards Act (FLSA) collective actions. Unlike the Sixth Circuit Court of Appeals and the Eighth Circuit Court of Appeals, however, the First Circuit concluded that a federal court does have personal jurisdiction over claims asserted by nonresident opt-in plaintiffs. The First Circuit’s decision thus creates a split among federal appeals courts and raises the prospect that the Supreme Court will ultimately have to resolve the issue.

Twin Cities Issue Vaccine Mandates for Restaurants, Bars, and Entertainment Venues

On January 12, 2022, just one week after issuing mask mandates, Minneapolis Mayor Jacob Frey and St. Paul Mayor Melvin Carter issued executive orders mandating that places of public accommodation serving food and drinks indoors require persons to furnish proof of vaccination or negative PCR or antigen tests. Then, on January 13, 2022, and January 14, 2022, respectively, Mayor Carter and Mayor Frey each issued additional emergency regulations amending their January 12, 2022, orders.

Minnesota OSHA Pumps the Brakes on Federal OSHA’s COVID-19 Emergency Temporary Standard

Minnesota’s Occupational Safety Administration (MNOSHA) adopted the federal Occupational Safety Health Administration’s (OSHA) COVID-19 Vaccination and Testing Emergency Temporary Standard (ETS) on January 3, 2022, and began enforcing the rules on January 10, 2022. Yesterday, the Supreme Court of the United stayed the enforcement of the ETS and remanded the case to the Sixth Circuit Court of Appeals, which will now consider the merits of the case.

Minnesota Starts the New Year With New Rules: Lactation Breaks and Pregnancy Accommodations Law Takes Effect

As companies returned to work following the holidays, changes to Minnesota’s nursing mothers statute and pregnancy accommodations law (Minn. Stat. § 181.939) went into effect on January 1, 2022. Minnesota employers may want to take a moment to make sure their policies and practices are up to date.

Minimum Wage Increases in 2022: A Chart of Upcoming Changes and Interactive Map

In 2022, while the federal minimum wage will remain at $7.25 per hour for non-tipped employees and $2.13 per hour for tipped employees, several states’ minimum wage rates will increase. The chart below lists the state (and certain major locality) minimum wage rate increases for 2022—and future years if available—along with the related changes in the maximum tip credit and minimum cash wage for tipped employees.

Breaking News on the CMS Vaccination Rule: Less Than 24 Hours After Being Shelved in 10 States, the Rule Is Sidelined Nationwide

In a November 30, 2021, order, a federal judge sitting in Louisiana entered a nationwide preliminary injunction against the Biden administration’s Centers for Medicare and Medicaid Services’ (CMS) interim final rule entitled “Medicare and Medicaid Programs; Omnibus COVID-19 Health Care Staff Vaccination.” The effect of the order is that CMS must immediately “cease all implementation or enforcement of the [CMS] Rule” in the remaining 40 states not covered by an earlier November 29, 2021, order from a federal judge sitting in Missouri that prevented implementation and enforcement of the CMS rule in only 10 states.

Minnesota Supreme Court Confirms Legality of ‘Rent Credits’ for Live-In Caretakers

On August 11, 2021, the Minnesota Supreme Court issued a decision of significance to any owner or manager of residential properties in Minnesota that employs live-in caretakers or property managers. The court confirmed that such businesses and their live-in employees may enter into agreements that include the payment of rent credits toward employees’ wages, as long as those agreements comply with certain legal requirements.

Minneapolis Enacts ‘Hospitality Worker Right to Recall’ Ordinance, Effective May 1, 2021

Hospitality and event center workers received additional job rights protection under a new ordinance passed by the Minneapolis City Council. The new ordinance requires employers to recall those workers, if and when they are needed in reverse order of seniority. Ordinance No.2021-12, entitled “Hospitality Worker Right to Recall,” seeks to minimize the impact on affected employees in an industry particularly hard-hit by the COVID-19 pandemic and to stabilize the workforce.

Minnesota Governor Walz Gradually Eases COVID-19 Business Restrictions

On March 12, 2021, Minnesota Governor Tim Walz dialed back Minnesota’s COVID-19–related restrictions by issuing Emergency Executive Order (EO) 21-11, “Adjusting Limitations on Certain Activities and Taking Steps Forward.” Most provisions of the executive order went into effect on March 15, 2021, and relate to activities outside of the home, including relaxing restrictions on specific businesses (e.g., restaurants, bars, indoor gyms, and entertainment venues).