Minnesota paid leave preps pick up as launch nears

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Starting in January, working Minnesotans without access to paid family and medical leave will gain access though a new state-managed program that officials are racing to put the finishing touches on in hopes of a smooth launch.

As designed, tens of thousands of people each year could receive partial pay for extended time off to welcome a baby or care for a sick family member. The payroll tax needed to pay for it all — on workers and employers — is also set to kick in on Jan. 1.

Behind the scenes, the team building out the program is working against the clock to get it off the ground. While some have voiced skepticism about the compressed timeline to kickstart benefits, members of the paid family and medical leave office say they’re confident they can pull it off.

There are high-profile examples of government tech launches that haven’t gone off as planned, from the MNsure insurance marketplace program to the MNLARS vehicle licensing system. There are understandably a lot of eyes on this one being managed by the same agency that currently handles Minnesota’s unemployment insurance program.

“We are on track. It’s a lot of work, but we’re really pleased with how it’s coming along,” said Evan Rowe, deputy commissioner at the Department of Employment and Economic Development. It’s his job to help get the state’s paid family and medical leave program ready for takeoff. “We’re just really excited to roll this out. I think it’s going to be a program Minnesotans can be really proud of, starting in January of 2026.”

Back in 2023, state lawmakers — on the strength of only Democratic votes — established the program that allows workers to take leave to care for themselves or deal with a serious household health problem, bond with a new baby, recover from trauma or take qualified military leave. Republicans argued it went too far and would be too big of a burden on businesses, particularly smaller companies.

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Supporters of the proposal to create a state paid family and medical leave program hoisted signs and greeted members of the Minnesota House as they entered the chamber.
Dana Ferguson | MPR News 2023

The unit that is part of DEED is adding staff, writing out policies and procedures, testing and preparing technology that will manage applications and holding public information sessions to get prospective applicants and employers up to speed.

“All the mechanics that are involved in setting up a significant program of the scale, it's big, right?” Rowe said. “There’s a lot, there’s a lot to do, but we’re right where we want to be in terms of the implementation progress.”

All around the office — a floor in the Minnesota Pollution Control Agency’s headquarters in St. Paul — there are signs of a hurried pace to prepare.

Office chairs ring a conference room table with their sales tags still on. 

The most senior staff members have been at it a couple years. Some are just days into their jobs. Next on their hiring list: Legal analysts and program adjudicators, the sort of judges who decide whether someone is eligible to take paid leave or not.

Rowe said the program is growing out like a tree. Right now, the strong trunk is in place and “you’re seeing more branches and leaves get filled out.”

Program directors have been on the road for months hosting information sessions. Those will continue in coming weeks as business owners and workers begin applying for paid leave and preparing for when it’s tapped.

Businesses can now submit information about internal paid leave plans. Those that already offer coverage that meets or exceeds the state baseline can get exemptions from the government-managed program. 

There’s also a way for workers considering leave to enter salary information on a digital calculator to see how it would play out. The program isn’t designed to replace a person’s full wage. People who make the least will get the most of their current wage made up, with a sliding scale determining rates for higher wage earners. The most someone could make is about $1,423 a week, the state’s average weekly wage.

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Greg Norfleet, director of the Minnesota paid family and medical leave program, and his team convene for a meeting on Aug. 5.
Dana Ferguson | MPR News

Program director Greg Norfleet said workers and employers will be able to access an online application portal before the program goes live. There, workers can fill in information about their  employment, hours and reason for taking leave. They could submit for time off all in a single chunk of  weeks or even months or something more intermittent, perhaps days each month built around medical appointments.

The information gets sent to the state and company managers before formal approval for leave. Questions or appeals will go to state adjudicators. 

Norfleet helped launch a Massachusetts paid leave program in 2021. He said Minnesota has the benefit of learning from other 12 states that have paid leave programs already. Minnesota will also be among just a few states that allow early applications.

“We want you to be present in those moments. We want you to be able to take care of your family. We want you to be able to heal. We want you to be able to bond with your child. We don't want you focused on bureaucracy, if it’s all possible,” Norfleet said. “So even if your child has not yet been born, you can start an application with a division and we'll take your application in early.”

Already, the office has fielded hundreds of questions through its listening sessions, email and call centers. Kate Kunitz, the program’s chief strategy officer, said there’s one she hears a lot.

“If you have a baby in 2025 you can take leave in 2026,” Kunitz said, noting the amount of time a person would be eligible to take depends on how early in the year 2025 someone welcomed a child. “So that’s a fun one to answer, yeah, as long as it’s within a year of the child’s birth.”

Kunitz said the office will keep trying to answer that question — and many others — as the countdown ticks down to that January launch.

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Evan Rowe, deputy commissioner for the Department of Employment and Economic Development, poses near a countdown clock in his office on Tuesday.
Dana Ferguson | MPR News

The team has a constant reminder of the timeline they’re working against. Rowe keeps a large digital countdown clock on the file cabinet behind his desk. Its red digital numbers count down the days, hours, minutes and seconds to the start of paid family and medical leave benefits.

“I figured it would be helpful to have an ever-present reminder over my shoulder when I'm in the office of the number of days, hours and minutes remaining until the launch of the program,” Rowe said, noting the days are ticking down.

He said Minnesotans can count on them to be ready to field their applications when the clock hits zero.

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