Wage and Hour Bulletin
April 2025
Prevailing-wages updates
Minnesota's prevailing-wage laws ensure workers on public construction projects receive fair wages based on regional standards. Employers and construction contractors must stay informed about the most recent prevailing-wage rates and compliance requirements. For the most recent updates, visit dli.mn.gov/prevailing-wage.
This session will explain prevailing wage, its application to public works and construction projects, how to identify the correct wage rate for workers and how rates are determined. Construction contractors, employees on prevailing-wage projects and anyone involved in state construction or public works projects are encouraged to register to attend.
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Understanding overtime laws
Minnesota and federal laws require employers to pay overtime (1.5 times the regular pay rate) for hours worked beyond 48 a week under state law and 40 a week under federal law. Some exemptions apply based on job classification.* Employers and employees should stay informed about their rights and obligations. Learn more on our “Overtime laws” page.
For questions related to overtime laws in Minnesota, contact us at dli.laborstandards@state.mn.us or 651-284-5075.
Review the federal Fair Labor Standards Act about overtime; the law requires some employers to pay overtime for all hours worked in excess of 40 a workweek. These employers include:
- employers that produce or handle goods for interstate commerce;
- businesses with gross annual sales of more than $500,000; and
- hospitals and nursing homes, personal care assistant and community first services and supports agencies, private and public schools, federal, state and local government agencies.
*For more information about misclassification, visit our "Misclassification FAQs" page.
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Retaliation protections: New resources available
Workers have the right to report law violations without fear of retaliation. Employers are prohibited from taking adverse actions against employees who exercise their workplace rights. The Department of Labor and Industry has launched a new webpage with information about retaliation protections and how to file a complaint. For more information, visit dli.mn.gov/retaliation.
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Comparison of earned sick and safe time and Paid Leave
Minnesota's earned sick and safe time (ESST) law allows workers to earn paid leave for short-term needs, such as illness, medical appointments or safety concerns, with a maximum required accrual of 48 hours a year. In contrast, starting in 2026, the state's Paid Leave program will provide longer-term wage replacement for significant life events, such as a serious illness, bonding with a new child or caring for a family member, with up to 12 weeks of leave for each qualifying event. While ESST is employer funded and accrues over time, Paid Leave will be a state-managed program funded by employer and employee payroll contributions.
Purpose of ESST
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Purpose of Paid Leave
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Allow for accrual and use of paid time off and provide job protections for employees who are unable to work due to a qualifying reason.
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Provide job protections and partial wage replacement for individuals unable to work due to a qualifying condition lasting at least seven days.
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Read the ESST annual report.
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DLI staff members interviewed by community media organizations
DLI staff members were interviewed by local community media organizations -- Hmong TV and El Minnesota de Hoy -- to discuss worker rights, including earned sick and safe time and wage theft protections.
Question of the month
What happens if an employer pays less than the prevailing wage on a state-funded construction or public works project?
If an employer pays less than the prevailing wage, DLI requires the employer to pay back-wages to the worker to make up the difference. Our agency can also require the employer to pay penalties for failure to comply with the prevailing-wage law.
Test your knowledge: Prevailing wage
Take our quick quiz to see how much you know about prevailing wage.
Find more information about prevailing wage online or contact us at 651-284-5091 or dli.prevwage@state.mn.us.
Wage and Hour Bulletin archive
Access past editions of The Wage and Hour Bulletin.
Questions?
Labor Standards serves the people of Minnesota by providing information about the state's wage, hour and employment laws.
Phone: 651-284-5075 or 800-342-5354 Email: dli.laborstandards@state.mn.us Website: dli.mn.gov
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