MDIBs Major Minnesota Employment Law Changes Take Effect January 1, 2026

We provide HR Services to several hundred health care practices in your state. The Minnesota legislature passed several new laws that all businesses must comply with by Jan. 1st, The updates are complex and will require changes to your handbook and policies now—and likely again later in 2026 when the state issues more guidance. CEDR HR Solutions can help you stay compliant and protected. Here is an overview.

Minnesota’s New Employment Laws: What Every Practice Needs to Know

Starting January 1st, 2026, several new Minnesota employment laws will go into effect. Each one changes how you manage your team’s schedules, time off, and payroll. Together, they represent one of the biggest shifts to employment compliance the state has seen in years.

Even for professional HR teams, these laws have proven complicated. The rules overlap, interact with existing policies, and in some cases, leave important details open to future state guidance. For small employers, this means every handbook and related policy will need to be updated carefully—and likely updated again once the state provides further clarification later in 2026.

At CEDR HR Solutions, our Compliance Team has been working for months to understand the new requirements and build updated, Minnesota-specific handbook policies. We’re also preparing educational materials to help owners and managers understand what each change means for their teams.

If you are a CEDR member, you are already covered. You’ll receive your new policies and updates automatically, along with one-on-one support to help you implement them.

If you’re not yet a member, now is the time to make sure your practice is protected. These are not simple updates you can copy and paste. They require professional interpretation and precision in how they are written and applied.

Book a Consultation

What’s Changing in 2026

Break and Meal Period Requirements
All Minnesota employers must now:

  • Provide a 30-minute meal break for employees working six or more consecutive hours.
  • Provide a 15-minute paid rest break for every four hours worked.

These rules will require scheduling adjustments and careful attention to timekeeping systems. In other states, violations of similar break laws have led to significant penalties and lawsuits.

Minnesota Paid Leave Program
The state’s new Paid Family and Medical Leave law adds another layer to existing leave laws.

  • Employees may be entitled to up to 20 weeks of job-protected leave.
  • Employers must provide written notice to employees by December 1, 2025.
  • The program is funded through payroll deductions – which you need to set up.

How this law interacts with other leave laws, such as Earned Sick and Safe Time and the Minnesota Parental Leave Act, makes it especially challenging to write compliant policies.

Earned Sick and Safe Time (ESST) Updates
Minnesota has again amended the ESST law. The revisions impact when employers can ask for documentation, how much notice employees must provide before using sick leave, and how sick time accrues. Even minor errors in your written policy can lead to noncompliance.

Secure Choice Retirement Program
Employers must enroll in the new Secure Choice Retirement Program or verify that they already offer a qualifying plan. This will require new payroll setup steps and communication with employees.

 

Book a Consultation

Why This Matters

These new laws overlap in ways that make it risky to rely on outdated templates or generic advice. The policies must be written clearly enough to protect your business while meeting the exact legal requirements.

At CEDR, we take care of this for you. Our HR and Compliance Teams specialize in healthcare and dental practices, and we make sure your handbook and systems stay compliant as Minnesota issues further updates.

Next Steps

If you’re a current member, our Compliance Team will reach out with your updated policies and next steps.

If you are not a member yet, schedule a call to learn how we can help you stay compliant and save time:

Book a Consultation

Book a Consultation

 


Ready for Better HR?

Join the community of over 3000 members!