HF 3394

as introduced - 86th Legislature (2009 - 2010) Posted on 03/04/2010 09:53am

A bill for an act
relating to employment; modifying time limits for payment of benefits or wage
supplements; imposing criminal penalties; amending Minnesota Statutes 2008,
section 181.74; proposing coding for new law in Minnesota Statutes, chapter 181.

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

Section 1.

Minnesota Statutes 2008, section 181.74, is amended to read:

181.74 FAILURE OF EMPLOYER TO PAY BENEFITS OR WAGE
SUPPLEMENTS, PENALTY.

Subdivision 1.

Gross misdemeanor.

Any employer required under the provisions
of an agreement to which the employer is a party to pay or provide benefits or wage
supplements to employees or to a third party or fund for the benefit of employees, and
who refuses to pay the amount or amounts necessary to provide such benefits or furnish
such supplements within 30 days after such payments are required to be made under law
or under agreement, is guilty of a gross misdemeanor. If such employer is a corporation,
any officer who intentionally violates the provisions of this section shall be guilty of a
gross misdemeanor. The institution of bankruptcy proceedings according to law shall be a
defense to any criminal action under this section.

Subd. 2.

Benefits or wage supplements defined.

As used in this section, the
term "benefits or wage supplements" includes, but is not limited to, deleted text begin reimbursement for
expenses; deleted text end health, welfare, and retirement benefits; and vacation, separation or holiday pay.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2011.
new text end

Sec. 2.

new text begin [181.741] FAILURE OF EMPLOYER TO PAY REIMBURSEMENT
FOR EXPENSES; PENALTY.
new text end

new text begin Any employer required under the provisions of an agreement to which the employer
is a party to pay or provide reimbursement of expenses to an employee, and who refuses to
pay the amount or amounts necessary to provide such reimbursements within 21 days (1)
after requests for such payments are submitted to the employer, or (2) after such payments
are required to be made under law or under agreement, whichever is less, is guilty of a
gross misdemeanor. If the employer is a corporation, any officer who intentionally violates
the provisions of this section shall be guilty of a gross misdemeanor. The institution
of bankruptcy proceedings according to law shall be a defense to any criminal action
under this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2011.
new text end