Minnesota has multiple new or updated employment laws going into effect on January 1, 2026. As the new year approaches, Minnesota employers should consider incorporating some new practices or processes to ensure compliance with the state’s updated requirements.

Meal and Rest Breaks

As of January 1, 2026, Minnesota employers will be required to provide:

• One rest break during every four-hour shift of at least 15 minutes or adequate time to use the nearest restroom, whichever is longer; and
• One meal break during every six-hour shift of at least 30 minutes (which may be unpaid). Employees who do not receive the required breaks will be eligible to receive damages equal to two times the amount earned during the missed break at the employee’s regular rate of pay.

Recommended next steps for employers include:

• Updating written break policies.
• Educating employees and managers about the new rules.

Other actions to consider include:

• Adding attestations regarding breaks to the employee timekeeping process.
• Establishing a process to report missed or inadequate breaks.

Earned Sick and Safe Time

As of January 1, 2026, employers in Minnesota are permitted to require documentation from employees to support the use of Earned Sick and Safe Time (ESST) for a period of two or more consecutive days. Employers are also permitted to advance ESST to an employee before it is accrued based on the number of hours the employee is anticipated to work for the remaining portion of the accrual year. If the advanced amount turns out to be less than the amount the employee would have accrued based on hours worked (as opposed to anticipated hours worked), the employer must provide additional ESST to make up the difference.

Recommended next steps for employers include:

• Considering whether to require documentation after two days of ESST use.
• Reviewing ESST advancement policy, if applicable.

Minimum Wage

As of January 1, 2026, the state-wide minimum wage in Minnesota will increase to $11.41 per hour. The minimum wage within the cities of Minneapolis and St. Paul will increase to $16.37 per hour.

Recommended next steps for employers include:

• Reviewing employee pay rates.
• Implementing changes prior to January 1, 2026.

Minnesota Paid Leave Program

The Minnesota Paid Leave program (MPL) officially goes into effect on January 1, 2026. The much-anticipated MPL program provides up to 20 weeks of job-protected leave for all Minnesota employees, including 12 weeks of family leave, 12 weeks of medical leave, or a combined maximum of 20 weeks of both types of leave. MPL may be taken on a continuous or intermittent basis.

Recommended next steps for employers include:

• Providing the required notices to employees about MPL by December 1, 2025. This includes individual notification as well as posting notices prepared by the Minnesota Department of Employment and Economic Development (DEED).
• Establishing an MPL account — according to DEED, employers whose employees are covered by Unemployment Insurance (UI) will not need to create a new account; their UI accounts will be converted to joint UI and Paid Leave accounts. These employers will still be required to designate a Paid Leave administrator for their accounts.
• Deciding whether to provide coverage through the state plan or seek approval from DEED to implement an equivalent private plan.
• Deciding on a premium split — employers may deduct a maximum of 50% of the premium from employee wages starting on January 1, 2026, if the deduction does not cause an employee to make less than the minimum wage.
• Updating leave policies — include language describing how MPL will interact with FMLA and other types of leave.  Note that MPL and ESST must be administered separately.

Minnesota employers face a broad set of compliance changes beginning January 1, 2026. Advance planning — including policy updates, manager training, and employee communication — will be critical to ensure a smooth transition.