Minnesota’s Paid Leave Law

Minnesota’s Paid Leave Law goes into effect on January 1, 2026. This new law ensures that Minnesota employees will be entitled to paid leave and other job protections when they need to take time away from work for their own serious health condition or to care for a family member in certain circumstances.

Are There Alternatives to MN’s Paid Leave Law?

Some employers may provide paid leave through an equivalent (or superior) private plan instead of the state’s plan. In this case, the employees will still receive paid leave, but the payments will come from their employer or a private insurance carrier, instead of the state.

Does the Law Apply to All Employers?

The law requires most employers, regardless of size, both public and private, to comply. There are a few exceptions including Tribal Nations and the Federal Government. Moreover, those that are self-employed or independent contractors may opt in or out of the program.

This means that almost all employers, even those that are exempt from other programs, like Unemployment Insurance, must participate and comply with the new law.

Does the Law Cover All Employees?

The Paid Leave law covers nearly all employees, including full-time, part-time, temporary and even some seasonal workers. Seasonal hospitality employees that have been notified that they are exempt by their employers are not covered. Federal government employees and railroad workers are also exempt.

Are There Qualifications?

Yes. To qualify for paid leave, an employee must have:

• Earned at least $3,700 in the last year (from one or more jobs);

• Experienced a “qualifying event” lasting at least seven days (see below for what qualifies as a qualifying event);

• Work at least 50% of the time from Minnesota (including from home in MN).

  
  

What Events Qualify for Leave?

Paid leave can be used for the following qualifying events: (1) to take care of the employee’s own serious health conditions, (2) for reasons related to care for an employee’s family member.

Employee’s Own Serious Health Condition: A serious health condition is a physical or mental illness, injury, impairment, condition, or substance use disorder. Care for these types of serious conditions includes: evaluation, treatment, inpatient care, recovery, or not being able to perform regular work or do regular daily activities. A serious health condition also includes childbirth, pregnancy-related conditions, and surgery.

Leave to Care for Family[1]: leave may also be used for reasons related to the employee’s family, including:

• Bonding leave – leave to care for and/or bond with a new child (including biological, adopted and foster children)

• Care leave – to care for a family member with a serious health condition

• Military leave – to support a family member called up to active duty

• Safety leave – to respond to issues such as domestic violence, sexual assault, or stalking

How Much Leave Is Provided?

In a given year, an employee may take up to 12 weeks of Medical Leave, or separately, 12 weeks of Family Leave. If an employee qualifies for both Medical and Family Leave in the same year, the employee can take a combined total of 20 weeks of leave.

How Much Pay is Required?

Payment is based on how much the affected employee typically earns. Most employees will receive between 55% to 90% of their regular wages while on leave, with a maximum weekly benefit set at the state’s average wage (which is currently $1,372 per week).

How are Funds Collected for Leave?

Similar to how health insurance premiums often work, the premium paid for Paid Leave may be funded either entirely by the employer or split between the employer and employee. Employers will be required to pay at least 50% of the premium and can choose to pay up to 100%. Employers may also choose to deduct the remainder (up to 50%) from employees’ pay. Employees should expect to see deductions on their paychecks starting in January 2026, unless their employer pays the full premium.

The amount of the premium collected will be set annually, by July 31, of each year. Smaller employers should expect to pay smaller premiums.

What Other Benefits Exist?

The law will also require employers to continue the employee’s health insurance and other benefits while out on leave. Moreover, if the employee has worked for the employee for at least 90 days, the employee will be able to return to their same job, or an equivalent position.

For more information on the nuances of Minnesota’s new Paid Leave Law and to ensure your business complies with the same, contact one of your trusted attorneys at Bravura Group.

[1] Family members include: (1) spouse/partners, (2) children, (3) parents or person raising the employee, (4) siblings, (5) grandchildren, (6) grandparents, (7) in-laws (son, daughter, father, or mother, and (8) anyone close to the employee that depends on the employee like family, even if not related by blood.