HF 768

as introduced - 90th Legislature (2017 - 2018) Posted on 02/02/2017 01:25pm

A bill for an act
relating to public employment; specifying means for certain payroll deductions
and wage assignments; amending Minnesota Statutes 2016, sections 16A.133;
179A.06, subdivisions 3, 6; 181.06; 181.063.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2016, section 16A.133, is amended to read:

16A.133 CREDIT UNION, PARKING, OTHER DEDUCTIONS.

Subdivision 1.

Payroll direct deposit and deductions.

An agency head in the executive,
judicial, and legislative branch shall, upon written request signed by an employee, directly
deposit all or part of an employee's pay to those credit unions or financial institutions, as
defined in section 47.015, designated by the employee.

An agency head must, upon written request of an employee, deduct from the pay of the
employee a requested amount to be paid to the Minnesota Benefit Association, or to any
organizations contemplated by section 179A.06, of which the employee is a member. new text begin Any
such deductions must comply with section 181.06, subdivision 3, as applicable.
new text end

Subd. 2.

Parking, and the like.

With the written consent of an employee, an agency
head shall deduct from the employee's pay the amount needed to pay for services or facilities
supplied under law to the employee by the state. Food and housing, garage and parking
facilities, and other facilities and services may be paid for in this way. new text begin Any such deductions
must comply with section 181.06, subdivision 3, as applicable.
new text end

Sec. 2.

Minnesota Statutes 2016, section 179A.06, subdivision 3, is amended to read:

Subd. 3.

Fair share fee.

new text begin (a) new text end An exclusive representative may require employees who
are not members of the exclusive representative to contribute a fair share fee for services
rendered by the exclusive representative. The fair share fee must be equal to the regular
membership dues of the exclusive representative, less the cost of benefits financed through
the dues and available only to members of the exclusive representative. In no event may
the fair share fee exceed 85 percent of the regular membership dues. The exclusive
representative shall provide advance written notice of the amount of the fair share fee to
the employer and to unit employees who will be assessed the fee. The employer shall provide
the exclusive representative with a list of all unit employees.

A challenge by an employee or by a person aggrieved by the fee must be filed in writing
with the commissioner, the public employer, and the exclusive representative within 30
days after receipt of the written notice. All challenges must specify those portions of the
fee challenged and the reasons for the challenge. The burden of proof relating to the amount
of the fair share fee is on the exclusive representative. The commissioner shall hear and
decide all issues in these challenges.

The employer shall deduct the fee from the earnings of the employee and transmit the
fee to the exclusive representative 30 days after the written notice was provided. If a challenge
is filed, the deductions for a fair share fee must be held in escrow by the employer pending
a decision by the commissioner.

new text begin (b) Any public employer deduction of fair share fees from public employee wages must
comply with the requirements of section 181.06, subdivision 3.
new text end

Sec. 3.

Minnesota Statutes 2016, section 179A.06, subdivision 6, is amended to read:

Subd. 6.

Dues checkoff.

Public employees have the right to request and be allowed dues
checkoff for the exclusive representative. In the absence of an exclusive representative,
public employees have the right to request and be allowed dues checkoff for the organization
of their choice. new text begin Employers must comply with the requirements of section 181.06, subdivision
3, in association with any such requests.
new text end

Sec. 4.

Minnesota Statutes 2016, section 181.06, is amended to read:

181.06 ASSIGNMENT OF WAGES; PAYROLL DEDUCTIONS.

Subdivision 1.

Assignment of wages.

Every assignment, sale, or transfer, however made
or attempted, of wages or salary to be earned or to become due, in whole or in part, more
than 60 days from and after the date of making such transfer, sale or assignment shall be
absolutely void; provided however, that the foregoing restriction against transfer, sale or
assignment shall not apply to any assignment, sale or transfer of that portion of wages or
salary to be earned or to become due in excess of the first $1,500 per month where such
assignment is for less than five years.

Subd. 2.

Payroll deductions.

A written contract may be entered into between an employer
and an employee wherein the employee authorizes the employer to make payroll deductions
for the purpose of paying union dues, premiums of any life insurance, hospitalization and
surgical insurance, group accident and health insurance, group term life insurance, group
annuities or contributions to credit unions or a community chest fund, a local arts council,
a local science council or a local arts and science council, or Minnesota benefit association,
a federally or state registered political action committee, membership dues of a relief
association governed by sections 424A.091 to 424A.096 or Laws 2013, chapter 111, article
5, sections 31 to 42, or participation in any employee stock purchase plan or savings plan
for periods longer than 60 days, including gopher state bonds established under section
16A.645.

new text begin Subd. 3. new text end

new text begin Certain payroll deductions; public employees. new text end

new text begin (a) For the purposes of this
subdivision, "public employee" has the meaning given in section 179A.03, subdivision 14.
new text end

new text begin (b) Notwithstanding anything to the contrary, payroll deductions or assignments of wages
to pay public employee union dues or fair share fees, sometimes referred to as dues checkoff,
must conform to the requirements of this subdivision.
new text end

new text begin (c) An employer must not deduct or allow the deduction of union dues or fair share fees
from the wages of a public employee unless the employer and public employee have entered
into a written agreement, signed and dated by both parties, conforming to the requirements
of paragraph (d), at most one calendar year before the deduction.
new text end

new text begin (d) Any written agreement under this subdivision must be on a form provided by the
employer to the public employee at the start of employment and upon request by the public
employee. The form must:
new text end

new text begin (1) be printed on standard 8-1/2 by 11-inch paper, or in portable document format or
electronic format emulating such paper;
new text end

new text begin (2) use a font no smaller than 12-point throughout;
new text end

new text begin (3) contain a short and clear explanation of union dues and fair share fees, as applicable;
new text end

new text begin (4) contain a short and clear explanation of the reason for the form and the requirements
of this subdivision; and
new text end

new text begin (5) contain, in bold typeface, the amount to be deducted, per pay period and annually,
attributable to the union dues or fair share fees.
new text end

Sec. 5.

Minnesota Statutes 2016, section 181.063, is amended to read:

181.063 ASSIGNMENT OF WAGES, PUBLIC EMPLOYEES.

new text begin (a) new text end Any officer or employee of a county, town, city, school district, or the state, or any
department thereof, has the same right to sell, assign, or transfer salary or wages as any
officer of or person employed by any corporation, firm, or person.

new text begin (b) Any public employer deduction of fair share fees from public employee wages must
comply with the requirements of section 181.06, subdivision 3.
new text end