
The Minnesota Paid Family Medical Leave (PFML) goes into effect January 1, 2026. The Act provides up to 12 weeks paid leave for the employee, up to 12 weeks paid leave for employee’s care/ assistance of family members, and collectively no more than 20 weeks across the two types of leave. PFML applies to all employers regardless of size.
Most employees can receive benefits under the leave. To qualify, individuals must have earned at least $2,700 in the last year, about 5.3% of the state’s average annual wage.
Leave can be used for medical or family reasons.
Payment benefits to employees are determined by the State and are based on the employee’s typical earnings. Most employees will receive between 55–90% of their regular pay while on leave, with a maximum weekly benefit set at the state average wage. (Right now, this is $1423 per week.) When the Act goes live in 2026, the premium rate will be .88%, which must be shared 50/50 between employer and employee (unless employers choose to pay more than half of their premium share). Employers with fewer than 30 employees are eligible to apply for reduced premiums, and all employers have the option of obtaining private coverage in lieu of paying premiums under the State program. Regardless, all employers must have something in place by January 1, 2026.
The overall process will function similarly to the state unemployment insurance program. An employee will file an application for benefits with the Family and Medical Benefits Insurance Division of the Department of Employment and Economic Development (“DEED”). DEED will determine eligibility and benefits. Benefits will be determined according to a sliding scale based on the applicant’s average weekly wage in comparison to the state average, with a maximum of 90% of weekly wages paid to lower earners, and a minimum of 55% to higher earners.
Employers need to ensure compliance with the new employment law amendments taking effect at various times throughout the remainder of the year and January 2026. In the event that you have further questions about these changes and would like more guidance, please contact Kristin Kingsbury or Ellen Stirzl at 763-783-5171 or the other employment lawyers at BGS. Special thanks to Litigation Law Clerk Mollie Ryan of St. Thomas Law School for support in writing this blog.