A Guide To STARTING A BUSINESS IN MINNESOTA 44th Ed 2026

• The invention was developed entirely on the employee’s own time; • The invention does not relate directly to the employer’s business or to the employer’s actual or demonstrably anticipated research or development; and • The invention does not result from any work the employee performed for the employer.​ Invention assignment clauses should clearly track these statutory limits, and employers should provide the required written notice of Minn. Stat. § 181.78 when asking employees to sign such agreements.

LABOR STANDARDS

GENERAL INFORMATION Wages, overtime pay, and basic recordkeeping are governed by both:

• The federal Fair Labor Standards Act (FLSA), 29 U.S.C. § 201 et seq., and its regulations at 29 C.F.R. parts 510–794, administered by the U.S. Department of Labor’s Wage and Hour Division (WHD). • The Minnesota Fair Labor Standards Act (MFLSA), Minn. Stat. Chapter 177, administered by the Minnesota Department of Labor and Industry’s (DLI), Labor Standards Division.​ Employers should review both federal and state rules, including: • U.S. DOL’s FLSA general guidance and compliance assistance materials ; • DLI’s “Labor standards in Minnesota ” and “A guide to Minnesota’s overtime laws,” which explain where state overtime rules exceed federal minimums.​ PERSONS COVERED Federal Law The FLSA covers, at a minimum: • All workers employed by hospitals and residential care facilities; • Public and private preschools, elementary and secondary schools, and institutions of higher education; • “Enterprises” with at least $500,000 in annual gross sales or business done whose workers are engaged in interstate commerce, produce goods for interstate commerce, or handle, sell, or otherwise work on goods or materials that have moved in or been produced for interstate commerce; and • Public agencies.

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