A Guide To STARTING A BUSINESS IN MINNESOTA 42nd Ed 2024

- Allowances, if any claimed pursuant to permitted meals and lodging; - Paid vacation, sick time, or other paid time-off accruals and terms of use; - The employee’s employment status and whether the employee is exempt from minimum wage, overtime, and other provisions of Chapter 177, and on what basis; - A list of deductions that may be made from the employee’s pay; - The number of days in the pay period, the regularly scheduled pay day, and the pay day on which the employee will receive the first payment of wages earned; - The legal name of the employer and the operating name of the employer if different from the legal name; - The physical address of the employer’s main office or principal place of business, and a mailing address if different; and - The telephone number of the employer. Deductions from Wages In General. By Minnesota statute, employers may only deduct certain items from an employee’s wages. The employee must authorize the deduction in writing. Deductions authorized by law include deductions for union dues, life insurance premiums, hospitalization and surgical insurance, group accident and health insurance, group term life insurance, group annuities, contributions to credit unions or a community chest fund, contributions to a local arts council, local science council or Minnesota benefit association, contributions to a federally or state registered political action committee, and contributions to an employee stock purchase plan or savings plan. Minn. Stat. § 181.06, Subd. 2. Uniforms and Equipment. Minnesota law limits the deductions directly or indirectly that may be made for uniforms, equipment and consumable supplies used on the job, and travel expenses. No deductions may be made for these items if the deduction would reduce the employee‘s wages below minimum wage. Deductions for uniforms or equipment may not exceed $50, and when employment is terminated, the employer must reimburse the full amount deducted. The employer may require the employee to surrender items for which reimbursement is made, but may not hold the employee‘s last check for failure to return the items. Minn. Stat. § 177.24, subd. 4 and 5; Minn. Stat. § 181.79. Lost or Damaged Property. An employer may not deduct from wages any amount for lost, stolen or damaged property, or recover any claimed amount owed by the employee to the employer, unless the employee voluntarily authorizes the employer in writing to make the deduction after the loss has occurred, or unless the employee is found liable by a court for the loss or indebtedness. There are specific statutory limits on the amount which may be deducted in each pay period. Child Support or Spousal Maintenance and Medical Support Obligations. The Minnesota Department of Human Services is directed to have employers participate in a centralized work reporting system for child support enforcement purposes. Employers are required to report certain information on newly-hired employees, and on independent contractors, within fifteen days of hiring or engaging that person.

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