Total Articles: 12
Minnesota Appeals Court Clarifies Distinction Between Independent Contractor and Employee.
On July 20, 2010, the Minnesota Court of Appeals issued a decision that clarifies the standard for determining whether certain workers are properly classified as employees or independent contractors. While the Court analyzed this issue under Minnesota law, the factors are generally the same in most states and also under federal law, and courts, agencies, and plaintiffs' lawyers across the country are scrutinizing the issue of contractor vs. employee more than ever before, so the case provides valuable guidance for all employers.
The Federal Minimum Wage Now Exceeds Minnesota’s Minimum Wage – Which One Applies to Your Employees?
When the minimum wage differs under federal and state laws, employees must receive the higher applicable wage. Effective July 24, 2009, the federal minimum wage rose to $7.25 per hour. Minnesota’s state minimum wage stayed the same: $6.15 per hour or $5.25 per hour, depending on the employer’s annual gross sales made or business done. Because the federal minimum wage is higher than both of Minnesota’s minimum wages, almost all Minnesota employers will need to pay their employees no less than $7.25 per hour, although a few exemptions may apply.
Election Day Is Upon Us: Do You Know the Rules for Employee Time Off to Vote?
It is the morning of the election, and one of your employees has just arrived to work two hours late. The employee tells you that she was late because she was voting.
Minnesota Supreme Court Issues Decision in Vacation-Pay Case.
On November 15, 2007, the Minnesota Supreme Court issued the long-awaited decision in the vacation-pay case, Lee v. Fresenius Medical Care, Inc. As you may remember, the Minnesota Court of Appeals determined last year in Lee v. Fresenius that the employee should have been paid for her accrued and unused vacation pay upon termination of employment, despite the employer’s vacation pay policy that made her ineligible for payment because she was terminated for misconduct. The Minnesota Supreme Court reversed that decision.
Minnesota Legal Update - Employers May Contractually Decide If A Terminated Employee Is Eligible To Receive Vacation Pay.
Last year, the Minnesota Court of Appeals issued a controversial decision in Lee v. Fresenius Medical Care, Inc. In the Lee case, the employer had a written policy stating that an employee would receive any earned and unused Personal Time Off (“PTO”) benefits provided: (1) the employee was not terminated for misconduct; or (2) the employee provided the company with sufficient notice regarding the employee’s voluntary resignation. The employer elected not to pay Ms. Lee her earned, but unused PTO benefits because she was terminated for misconduct. Ms. Lee challenged this policy, arguing that such earned, but unused PTO benefits constituted “wages” under Minn.Stat. § 181.13(a), and therefore must be paid at the time of her termination. The Minnesota Court of Appeals agreed.
Minnesota Supreme Court Rules In Vacation Pay Case.
On November 15, 2007, the Minnesota Supreme Court issued the long awaited decision in the vacation pay case, Lee v. Fresenius Medical Care, Inc. In the case, the Minnesota Court of Appeals determined last year that the employee should have been paid for her accrued and unused vacation pay upon termination of employment, despite the employer’s vacation pay policy which would have made her ineligible for payment because she was terminated for misconduct. The Minnesota Supreme Court yesterday reversed that decision. In light of the Minnesota Supreme Court decision, company policy can and will determine when an individual is entitled to payment for accrued and unused vacation or payment for other accrued paid time off upon resignation or termination.
Vacation Policies in Light of a Recent Minnesota Court of Appeals Case.
As noted in our last Focus Newsletter, the Minnesota Court of Appeals recently ruled in Susan Lee v. Fresenius Medical Care, Inc. that earned vacation is a form of “wages” as defined by Minnesota statutes that require employers to pay employees earned but unpaid wages upon separation from employment. Until this ruling, Minnesota employers were not required to pay separating employees for their earned but unused vacation unless the employer agreed to do so by policy or practice. In the wake of the Susan Lee case, employers have had numerous questions regarding the legality of their vacation policies.
Vacation as Wages?
The Minnesota Court of Appeals has recently issued a decision that may have significant consequences for the handling of vacation pay. In the recent decision, Susan Lee v. Fresenius Medical Care, Inc., the appeals court determined that an employee must be paid for her accrued and unused vacation pay upon termination of employment, despite a vacation pay policy that would not allow for payment.
Minneapolis Passes New Living Wage Ordinance.
Companies receiving contract or subsidy payments from the City of Minneapolis may need to pay a minimum wage of no less than $12.09 (or higher) per hour for all non-exempt employees beginning January 1, 2007.
Minnesota Employers May Pay Wages Using Payroll Card Accounts.
Minnesota law now allows employers to pay employee wages via payroll card accounts. Employers are not required to use payroll card accounts, however, even if requested by employees.
Minnesota Enacts Higher Minimum Wage.
Minnesota employers soon will be required to pay a higher minimum hourly wage to their non-exempt employees than federal law requires. How much more each Minnesota employer will be required to pay depends on each company's size.
don't touch that paycheck.
Discusses dangers associated with making payroll deductions.
