Minnesota ESST: 3 Things All Employers Need to Know

Minnesota ESST

Minnesota ESST

This post focuses on the new Minnesota statewide ESST (Earned Sick and Safe Time) regulations.

Minnesota ESST: General Info

The Minnesota paid sick and safe time (ESST) law was effective on January 1, 2024.

Handbook.

Make sure your Employee Handbook is updated with the new Minnesota ESST requirements!

Eligibility.

ESST (also referred to as earned sick and safe leave – ESSL) covers all employees (including part-time and temporary employees) performing work for their employer in Minnesota for at least 80 hours in a year (excluding independent contractors). That means if an employee is based in another state but works at least 80 hours in Minnesota, they are eligible for ESST (time worked in Minnesota will apply to ESST accrual).

Certain individuals employed by an air carrier as a flight deck or cabin crew member are not covered. The new law does not apply to building and construction industry employees who are represented by a building and construction trades labor organization if a valid waiver of these requirements is provided in a collective bargaining agreement.

Methods.

The new law provides three different methods to either accrue or front load ESST. Employers always have the option of providing more generous leave options than the minimum required by law.

Minnesota ESST: The 3 Methods

Option 1. Accrual and Carryover
  • Employees begin accruing ESST from their first day of employment;
  • ESST accrues at a rate of at least one hour for every 30 hours worked;
  • Employees are permitted to accrue a minimum of up to 48 hours of ESST in a year (more if the employer agrees to a higher amount); and
  • Employees can carry over unused ESST into the next year. However, at no time can an employee’s accrued ESST exceed 80 hours (unless the employer agrees to a higher amount).
Option 2. Front Loading with Pay Out and No Carryover
  • A minimum of 48 hours of ESST is provided to an employee and made available for immediate use at the start of each year; and
  • Unused ESST hours are paid out at the end of the accrual year at the employee’s hourly rate.
Option 3. Front Loading with No Pay Out and No Carryover
  • A minimum of 80 hours of ESST is provided to an employee and made available for immediate use at the start of each year; and
  • The ESST hours the employee did not use are not paid out at the end of the accrual year.

Employers that missed the January 1st deadline and do not already have paid leave must analyze these options to determine which provides the best path to providing ESST in 2024, and then immediately implement. Employers with a current paid leave plan must review plan details to make sure it meets the minimum requirements of the new law and make any policy adjustments to ensure ongoing compliance.

Employers are allowed to use different methods for different employee groups, for example you might have different methods for full-time v. part-time employees or different methods for exempt v. non-exempt employees.

Minnesota ESST: Additional Info

What Can Minnesota ESST Be Used For?

ESST can be used for the following reasons:

  • the employee’s mental or physical illness, treatment or preventive care;
  • a family member’s mental or physical illness, treatment or preventive care;
  • absence due to domestic abuse, sexual assault or stalking of the employee or a family member;
  • closure of the employee’s workplace due to weather or public emergency or closure of a family member’s school or care facility due to weather or public emergency; and
  • when determined by a health authority or health care professional that the employee or a family member is at risk of infecting others with a communicable disease.
Definition of Family Member under Minnesota ESST.

The definition of “family member” is very broad and will include the following:

  1. their child, including foster child, adult child, legal ward, child for whom the employee is legal guardian or child to whom the employee stands or stood in loco parentis (in place of a parent);
  2. their spouse or registered domestic partner;
  3. their sibling, stepsibling or foster sibling;
  4. their biological, adoptive or foster parent, stepparent or a person who stood in loco parentis (in place of a parent) when the employee was a minor child;
  5. their grandchild, foster grandchild or step-grandchild;
  6. their grandparent or step-grandparent;
  7. a child of a sibling of the employee;
  8. a sibling of the parents of the employee;
  9. a child-in-law or sibling-in-law;
  10. any of the family members listed in 1 through 9 above of an employee’s spouse or registered domestic partner;
  11. any other individual related by blood or whose close association with the employee is the equivalent of a family relationship; and
  12. up to one individual annually designated by the employee.
A Few More Details.

Minnesota ESST must be paid at the same hourly rate an employee earns when they are working. Employees are NOT required to find a replacement for their shift when using ESST. Employers must allow employees to use ESST in the smallest increment generally tracked by their payroll process.

Employers must include the total number of earned sick and safe time hours available for use, as well as the total number of earned sick and safe time hours used, on earnings statements provided to employees at the end of each pay period. Connect with your payroll administrator to make sure your paystubs/earning statements will include this required information.

Employers were required to provide employees with a notice by 1/1/2024 (or at the start of employment, whichever is later). The Minnesota Department of Labor and Industry has created a uniform employee notice, which is available as a free download. Additionally, remember to include a sick and safe time notice in your employee handbook.

If an employee leaves and is reinstated within 180 days, they have access to their ESST levels before separation. Finally, the law does not require ESST hours to accrue if an employee is not working (for example, the employee is on vacation or out sick).

Minnesota Ordinances.

Earned Sick and Safe Time ordinances currently exist in Minneapolis, St. Paul, and Bloomington (the Duluth ESST ordinance was rescinded in 2023). Employers must follow the most protective law that applies to your employees.

Minnesota ESST: Stay Tuned!

This is a brief synopsis of the paid sick and safe leave regulations. Stay tuned for updates and reach out for guidance to fully understand how this new law impacts your organization.

About the Author

Human Resources thought leader, Stacy Johnston, provides innovative solutions with a mission to support organizations in understanding and engaging their biggest competitive advantage… their employees. Johnston is a licensed attorney and holds the SHRM-CP credentials.

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