Minnesota Session Laws - 2003, Regular Session

                             CHAPTER 46-H.F.No. 710 
                  An act relating to employment; mandatory retirement; 
                  deleting obsolete language; amending Minnesota 
                  Statutes 2002, section 181.81, subdivision 1; 
                  repealing Minnesota Statutes 2002, section 181.811. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 2002, section 181.81, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [RESTRICTION ON MANDATORY RETIREMENT AGE.] 
        (a) It is unlawful for any private sector employer 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 policymaking 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.  [REPEALER.] 
           Minnesota Statutes 2002, section 181.811, is repealed. 
           Presented to the governor May 12, 2003 
           Signed by the governor May 15, 2003, 3:50 p.m.