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Minnesota paid leave

What To Know About Minnesota’s Paid Leave Program

About Minnesota’s Paid Leave Program

Effective January 1, 2026, Minnesota will implement a statewide Paid Leave program, offering employees job-protected, partially paid time off for qualifying family or medical reasons. For employers, this change requires more than just compliance—it calls for proactive planning, updated infrastructure, and thoughtful communication. From payroll contributions and policy reviews to staffing plans and manager training, now is the time to align your HR strategy with the state’s requirements.

Versique’s Human Resources Solutions team is here to help you navigate Minnesota Paid Leave and keep your business running smoothly. From policy updates to interim HR staffing, we have the expertise and talent to support you every step of the way.

The January 1, 2026, deadline is coming fast – don’t wait! Contact our HR Solutions team today to get your organization ready.

Minnesota’s Paid Family Leave Program Webinar

Navigating Minnesota Paid Leave – What Employers Need to Know

Watch the recorded webinar hosted by Versique Executive, Professional & Interim Recruiting and Marsh McLennan Agency experts who cover details on what employers should know and how to prepare for Minnesota Paid Leave going live in January 2026.

Speakers were Jenna Estlick, President of Human Resources Solutions at Versique and Sarah Dahl from Marsh McLennan Agency.

Minnesota Paid Leave FAQs for Employers

Beginning in January 2026, Minnesota will roll out a statewide paid leave program officially called Minnesota Paid Leave. While this is the formal name used in the legislation, many employers, employees, and media outlets refer to it as Minnesota Paid Family and Medical Leave (PFML) because it provides wage replacement and job protection for both family-related and medical leave.

The program will allow eligible workers to take time away from work for events such as bonding with a new child, caring for a family member with a serious health condition, addressing their own serious health condition, or managing certain military-related needs—all while receiving partial wage replacement.

All employers with at least one eligible employee working in Minnesota are covered. Employees qualify if they work at least 50% of their time in Minnesota or reside in Minnesota and perform some work in the state.

Yes. Federal and tribal employers are exempt. Independent contractors, self-employed individuals, certain seasonal hospitality workers, and employees receiving federal railroad benefits are not automatically covered.

The 2026 public plan rate is 0.88% of wages, split 50/50 between employer and employee for businesses with 31+ employees. Small businesses with 30 or fewer employees may qualify for reduced employer contributions.

No. However, you can apply for an equivalent private plan, which must meet or exceed state benefits and be approved by Minnesota DEED. Plans can be fully insured or self-funded (with additional requirements).

  • MN PFL is generally first payer unless offset by Workers’ Comp or worksite STD plans.

  • Employees cannot be required to use accrued PTO but may use it to supplement wages.

  • MN PFL can run concurrently with FMLA, but careful policy alignment is key.

  • Review your current leave, disability, and parental leave policies
  • Assess payroll system readiness for contributions and wage reporting
  • Educate managers and HR teams on eligibility, benefit interaction, and administration
  • Stay updated with ongoing state guidance: MN DEED Paid Leave Resources
  • If an employee works 50% or more in Minnesota, they’re covered.
  • If no single state is 50%, but the employee does some work in Minnesota and lives in Minnesota, they’re covered.

No. Both must comply if they have employees in covered employment.

They are not covered by an employer, but may choose to opt in individually.

Up to 12 weeks of medical leave and 12 weeks of family leave per year, capped at 20 total weeks.

Bonding with a new child (birth, adoption, foster), caring for a family member’s serious health condition, safety leave, and certain military-related needs.

A tiered formula replaces between 90% and 55% of wages, capped at the state average weekly wage (about $1,423 in 2026).

  • Public plan: 0.88% of wages up to the FICA cap, split at least 50/50 between employer and employee.
  • Private plan: Underwritten rate may be higher or lower, but the employee share is capped at 0.44%.

Yes. After 90 days of employment, employees on Minnesota Paid Leave have job protection.

Yes. By December 1, 2025, employers must post notices in the workplace, provide written/electronic acknowledgment to each employee (in their native language), and continue doing so for new hires.

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