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Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

  

                         Laws of Minnesota 1987 

                        CHAPTER 282-H.F.No. 1200 
           An act relating to human rights; defining "employee" 
          to include commission salespersons for certain 
          purposes; clarifying certain provisions; amending 
          Minnesota Statutes 1986, sections 181.81, subdivision 
          1; and 363.01, by adding a subdivision. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1986, section 181.81, 
subdivision 1, is amended to read:  
    Subdivision 1.  (a) It is unlawful for any employer, public 
or private, excluding the United States government and any of 
its instrumentalities, to refuse to hire or employ, or to 
discharge, dismiss, reduce in grade or position, or demote any 
individual on the grounds that the individual has reached an age 
of less than 70, except in cases where federal statutes or rules 
or other state statutes, not including special laws compel or 
specifically authorize such action.  Nothing in this section 
shall prohibit compulsory retirement of employees who have 
attained 70 years of age or more; provided further that nothing 
in this section shall prohibit compulsory retirement of an 
employee who has attained at least 65 years of age and who for 
the two year period immediately before retirement is employed in 
an executive or a high policy making position if that employee 
is entitled to an immediate nonforfeitable annual retirement 
benefit from a pension, profit sharing, savings or deferred 
compensation plan of an employer, or any combination of these 
benefits which totals in the aggregate at least $27,000.  If the 
retirement benefit is in a form other than a straight life 
annuity, the equivalent annualized payment value of the benefit 
shall be actuarially determined according to rules promulgated 
by the commissioner of labor and industry.  Pilots and flight 
crew members shall not be subject to the provisions of this 
section or section 363.02, subdivision 6, but shall be retired 
from this employment pursuant to standards contained in 
regulations promulgated by the federal aviation administration 
for airline pilots and flight officers and are subject to the 
bona fide occupational requirements for these employees as 
promulgated by the federal aviation administration.  
    (b) Prior to June 1, 1982 every employer shall notify an 
employee in writing at least 90 days but no more than 120 days 
prior to the employee's 65th birthday of the option to continue 
employment beyond that date.  The notice shall state in a 
conspicuous manner that the employee shall respond to the notice 
within 30 days of the employee's desire to continue employment 
beyond the employee's 65th birthday.  Every employer shall post 
in a conspicuous place a notice written or approved by the 
commissioner of labor and industry stating that the mandatory 
retirement age is age 70.  Employment shall continue for as long 
as the employee desires or until the employer demonstrates that 
the employee no longer can meet the bona fide requirements, 
consistently applied, for the job or position or until the 
employee reaches the compulsory retirement age established by 
the employer.  When an employer intends to terminate an employee 
who is 65 years of age or older earlier than age 70 on the 
ground that the employee no longer can meet the bona fide 
requirements for the job or position the employer shall give the 
employee 30 days notice of that intention.  
    (c) If there exists a date on which the accrual of pension 
benefits or credits, or the contributions therefor by the 
employee or the employer, or the employee's employment related 
health and welfare benefits or insurance coverages are 
diminished or eliminated by virtue of the employee attaining a 
certain age, the employer shall notify the employee of the 
changes at least 90 but not more than 120 days prior to the 
effective date of the change.  This section, in and of itself, 
shall not be construed to require any change in the employer 
contribution levels of any pension or retirement plan, or to 
require any employer to increase an employer's or employee's 
payments for the provision of insurance benefits contained in 
any employee benefit or insurance plan.  
    (d) The definitions of "employer" and "employee" in section 
363.01 apply to this section. 
    Sec. 2.  Minnesota Statutes 1986, section 363.01, is 
amended by adding a subdivision to read: 
    Subd. 39.  [EMPLOYEE.] "Employee" means an individual who 
is employed by an employer and who resides or works in this 
state.  Employee includes a commission salesperson, as defined 
in section 181.145, who resides or works in this state. 
    Approved May 28, 1987