SF 1816

as introduced - 91st Legislature (2019 - 2020) Posted on 03/14/2019 07:53am

A bill for an act
relating to employment; requiring written demand for payment to employer;
prohibiting wage theft; appropriating money; amending Minnesota Statutes 2018,
sections 177.27, subdivision 1; 181.03, subdivision 1, by adding subdivisions.

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

Section 1.

Minnesota Statutes 2018, section 177.27, subdivision 1, is amended to read:

Subdivision 1.

Examination of records.

The commissioner may enter during reasonable
office hours or upon request and inspect the place of business or employment of any employer
of employees working in the state, to examine and inspect books, registers, payrolls, and
other records of any employer that in any way relate to wages, hours, and other conditions
of employment of any employees. The commissioner may transcribe any or all of the books,
registers, payrolls, and other records as the commissioner deems necessary or appropriate
and may question the employees to ascertain compliance with sections 177.21 to 177.435.
The commissioner may investigate wage claims or complaints by an employee against an
employer if new text begin : (1) new text end the failure to pay a wage may violate Minnesota law or an order or rule of
the department new text begin ; and (2) the employee making the wage claim or complaint has provided a
written demand for payment to the employer at least ten days prior to the commissioner
initiating an investigation new text end .

Sec. 2.

Minnesota Statutes 2018, section 181.03, subdivision 1, is amended to read:

Subdivision 1.

Prohibited practices.

deleted text begin An employer may not, directly or indirectly and
with intent to defraud:
deleted text end

new text begin (a) No employer shall commit wage theft.
new text end

new text begin (b) For purposes of this section, wage theft is committed if an employer, with intent to
defraud:
new text end

new text begin (1) fails to pay an employee all wages to which that employee is entitled;
new text end

deleted text begin (1) cause deleted text end new text begin (2) directly or indirectly causes new text end any employee to give a receipt for wages for
a greater amount than that actually paid to the employee for services rendered;

deleted text begin (2) deleted text end new text begin (3) new text end directly or indirectly deleted text begin demand deleted text end new text begin demands new text end or deleted text begin receive deleted text end new text begin receives new text end from any employee
any rebate or refund from the wages owed the employee under contract of employment with
the employer; deleted text begin or
deleted text end

deleted text begin (3) in any manner make deleted text end new text begin (4) makes new text end or deleted text begin attempt deleted text end new text begin attempts new text end to make it appear new text begin in any manner
new text end that the wages paid to any employee were greater than the amount actually paid to the
employee deleted text begin . deleted text end new text begin ; or
new text end

new text begin (5) retaliates against an employee for asserting rights or remedies under this section,
including but not limited to filing a complaint with the Department of Labor and Industry,
telling the employer of intention to file a complaint, or making a written demand for payment
to the employer as provided under section 177.27, subdivision 1.
new text end

Sec. 3.

Minnesota Statutes 2018, section 181.03, is amended by adding a subdivision to
read:

new text begin Subd. 4. new text end

new text begin Enforcement. new text end

new text begin The commissioner may enforce this section. The use of an
enforcement provision in this section shall not preclude the use of any other enforcement
provision provided by law.
new text end

Sec. 4.

Minnesota Statutes 2018, section 181.03, is amended by adding a subdivision to
read:

new text begin Subd. 5. new text end

new text begin Effect on other laws. new text end

new text begin Nothing in this section shall be construed to limit the
application of other state or federal laws.
new text end

Sec. 5. new text begin APPROPRIATION.
new text end

new text begin $....... in fiscal year 2020 and $....... in fiscal year 2021 are appropriated from the general
fund to the commissioner of labor and industry to address wage theft. The commissioner
must use at least ... percent of the amounts appropriated for grants to community-based
groups for the purpose of outreach, education, and technical assistance for employees and
employers.
new text end