Minneapolis Wage Theft Prevention Ordinance Now in Effect

Did you know the Minneapolis wage theft prevention ordinance went into effect January 1, 2020? If it sounds familiar, it may be because a similar wage theft prevention law went into effect statewide just last summer. If you have employees working in Minneapolis, you will need to be mindful to comply with both state law and the new city ordinance.

What’s the purpose of the ordinance?

To ensure all employees who work in Minneapolis are timely and adequately compensated for all time worked.

Who’s covered?

All individuals who work at least 80 hours in a benefit year, while physically located in Minneapolis for the same employer, regardless of where the employer is located, are covered by the Minneapolis ordinance. However, there are some exceptions. For example, employees who merely attend a conference or event in Minneapolis are not covered, nor are employees who simply drive through the city. If you’re unsure whether your employee will work for 80 hours within a benefit year in Minneapolis, the question becomes whether it is reasonably foreseeable that the employee may work 80 hours in Minneapolis.

What is the difference between the state law and city ordinance?

The city imposes some additional duties upon employers. Unlike state law, the city ordinance requires employers to provide a prehire notice that includes certain Sick and Safe Time information. It also requires that certain Sick and Safe Time information appear on employees’ earnings statements. The city ordinance also requires employers to obtain an employee’s signature if it makes any subsequent changes to the prehire notice. Lastly, the city’s notice poster must be distributed to employees at the start of employment.

The prehire notice must include:

• All the information required by the State of Minnesota Wage Theft Law

• The employee’s start date

• Notice of rights under the Sick and Safe Time ordinance or the employer’s paid time off policy that satisfies the Sick and Safe Time ordinance requirements

• The overtime pay rate and the threshold number of hours worked (per week) that qualifies an employee for overtime pay (or the basis of exemption or exception, if applicable)

• A statement that tip sharing is voluntary, per state law (if applicable to the position)

Are there sample forms?

Yes!  Minneapolis just released prehire notices and posters for employers to use. You can access them here – http://minimumwage.minneapolismn.gov/wagetheft.html

Questions?

Keeping up with laws at the local, state, and local level can be challenging. If you have any questions about the Minneapolis Wage Theft Prevention Ordinance or would like some assistance in drafting your prehire notice, feel free to contact a myHRgenius attorney at Thompson Coe or just call us at 651-389-5000.

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