October 2025
 

State Updates

Minnesota - Reminder: Key Compliance Milestones Approach for Minnesota’s Paid Leave Program

10/02/25

Author: ADP Admin/Tuesday, September 30, 2025/Categories: Compliance Corner , State Compliance Update, Minnesota

Highlights

Impacted Employers: Virtually all employers with employees working in Minnesota

Effective Date(s): Dec. 1, 2025, and Jan.  1, 2026. See more details below.

Summary: Key employer responsibilities under the state’s paid family and medical leave program, such as providing a notice to employees, begin soon.

Next Steps: Provide and post the required notice. Withhold employee contributions and allow employees to take leave for covered absences. See more details below.

The Details

 Key employer responsibilities under Minnesota’s paid family and medical leave program begin soon. These responsibilities include notifying employees and new hires of the program, withholding and remitting employee contributions, making employer contributions, providing leave to employees for covered absences, and applying for small-business-assistance grants.

Background

In 2023, Minnesota enacted legislation that created a paid family and medical leave program in the state. The program covers all employers with at least one employee performing services for wages. Employers may adopt a private plan instead of participating in the program, provided it meets or exceeds the requirements of the law.

Employer Notice

Under the law, employers must notify their employees about the program.

Employers must issue a notice to each employee no more than 30 days from the beginning date of the employee's employment, or by Dec. 1, 2025 whichever is later.

The notice must be provided in the primary language of the employee and include the following information.

1.             An explanation of the availability of family and medical leave benefits provided, including rights to reinstatement and continuation of health insurance;

2.             The amount of premium deductions made by the employer;

3.             The employer's premium amount and obligations;

4.             The name and mailing address of the employer;

5.             The identification number assigned to the employer by the state Department of Employment and Economic Development;

6.             Instructions on how to file a claim for family and medical leave benefits;

7.             The mailing address, email address, and telephone number of the Department of Employment and Economic Development; and

8.             Any other information required by the Department of Employment and Economic Development.

Employers must also obtain a written or electronic acknowledgment of receipt of the information, or a signed statement indicating the employee's refusal to sign such acknowledgment.

The notice may be provided in paper or electronic format. For notice provided in electronic format only, the employer must provide employee access to an employer-owned computer during an employee's regular working hours to review and print required notices.

Employers must also display a poster in the workplace in English and any language spoken by five or more employees.

Other Key Milestones

Contributions (Premium Payments)

 

The program will be funded by contributions from employers and employees. Employers may begin deducting employee contributions on Jan,  1, 2026. For more information on contributions go here.

The first batch of contributions is due to the state by April 30, 2026.

Providing Leave and Reinstating Employees

Effective Jan. 1, 2026, employees may begin receiving benefits under the program. The program will cover the following absences:

·      For pregnancy or to recover from giving birth. 

·      For an employee’s own serious health condition. 

·      To bond with a new child. 

·      To care for a family member with a serious health condition or a family member who is a military member (family care leave).

·      A need arising out of a military member's active-duty service or notice of an impending call or order to active duty in the United States armed; and/or

·      So the employee or a family member may seek medical attention, victim services, counseling, relocation, or legal advice because of domestic abuse, sexual assault, or stalking.

Upon return from leave, subject to certain limitations, an employee who has worked at least 90 days for an employer is entitled to be returned to the same position the employee held when leave commenced or to an equivalent position with equivalent benefits, pay, and other terms and conditions of employment. 

Small Employer Grants

Beginning Jan.1, 2026, eligible small employers may apply to the Department of Employment and Economic Development for grants. The grants must be used to hire temporary workers or to increase wages for current employees, because another employee is on leave under the program. 

Next Steps

·      Provide and display the required notice by Dec.1, 2025.

·      Train supervisors on how to handle leave requests.

·      More information to come to prepare for withholding contributions on Jan.  1, 2026.

·      Begin providing leave for the covered reasons by Jan.1, 2026.

·      ADP TotalSource will begin processing contributions on Jan.1, 2026.

·      Employers with employees not covered by the Unemployment Insurance program in Minnesota will need to create a Paid Leave Only account.

·      ADP TotalSource presumes that all clients are large employers when new paid family and medical leave programs are implemented. Small employers must submit a State Family Medical Leave Attestation Form to update employer contribution amounts. The attestation can be downloaded from the TotalSource Forms Library in the payroll system and submitted to HROTaxSolutions@adp.com.

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