Employers should be reminded that on July 1, 2019, many provisions of the new Minnesota Wage Theft Law will go into effect. The new law includes requirements regarding the timing of wage payments, written wage notices, earning statements, and recordkeeping.
With regard to the timing of wage payments, the Wage Theft Law requires employers to pay all wages, now defined to include salary, earnings, and gratuities, at least every 31 days and all earned commissions at least every three months on a regular pay day.
The new law also requires employers to provide employees “at the start of their employment” a wage notice that details, among other things, the employee’s rate of pay, the terms for use and accrual of any type of PTO, and a list of deductions that may be made from the employee’s pay. Employers must retain a signed copy of the notice for each employee. Employees should also be advised in writing of changes to the information in the notice before the change goes into effect.  Importantly, employers are required to provide wage notices to employees hired, or employees whose wage arrangements change, on or after July 1, 2019.
Earning statements must now include additional specific information, a list of which can be found here.  Many employers may already be providing this information in their earning statements, but all employers should verify that the required information is included.
Employers must also maintain additional records, including but not limited to, a list of the personnel policies provided to each employee, the date the policy was given to each employee, and a brief description of the policy.
Note that this post does not cover all facets of the new law.  Employers should familiarize themselves with the requirements in full to ensure compliance.  Minnesota Department of Labor and Industry resources can be found here: (1) Summary of Minnesota’s New Wage Theft Law, (2) Guidance for employers on Minnesota’s new Wage Theft Law, (3) Wage Theft Q&A, and (4) Employee Wage Notice Example.
Takeaway: Many provisions of the Wage Theft Law will go into effect July 1, 2019. Employers should check their documentation and practices to ensure compliance with the new requirements.
Authored by: Britt Gilbertson and Kirsten Pagel