Minnesota Office of the Revisor of Statutes
[*Add Subtitle/link: Office]

Menu

Revisor of Statutes Menu

Table of Sections

2006 Minnesota Statutes

This is a historical version of this statute chapter. Also view the most recent published version.

Chapter 268. Unemployment Insurance

Chapter Sections
Section Headnote
268.001CITATION; MINNESOTA UNEMPLOYMENT INSURANCE LAW.
268.01Repealed, 1965 c 45 s 73
268.011Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.0111Subdivisions renumbered, repealed, or no longer in effect
268.012Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.0121Subdivisions renumbered, repealed, or no longer in effect
268.0122Subdivisions renumbered, repealed, or no longer in effect
268.0124Renumbered 116J.0124
268.0125Renumbered 116J.0125
268.013Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.014Renumbered 116J.014
268.02Repealed, 1965 c 45 s 73
268.021Repealed, 1999 c 107 s 67
268.022Renumbered 116L.20
268.025Repealed, 1965 c 45 s 73
268.026Repealed, 1997 c 66 s 81
268.027Repealed, 2004 c 206 s 53
268.028Repealed, 2004 c 206 s 53
268.029Repealed, 2004 c 206 s 53
268.03PUBLIC PURPOSE OF THE MINNESOTA UNEMPLOYMENT INSURANCE PROGRAM.
268.032ELECTRONIC TRANSMISSION; WHEN ALLOWED; SENDING TO LAST KNOWN ADDRESS REQUIRED.
268.033COMPUTATION OF TIME.
268.035DEFINITIONS.
268.04Repealed, 1998 c 265 s 46
268.041Renumbered 268.043
268.042EMPLOYERS COVERAGE.
268.0425ELECTRONIC TRANSACTION PRESUMPTION.
268.043DETERMINATIONS OF COVERAGE.
268.0435SINGLE MEMBER LIMITED LIABILITY COMPANIES.
268.044WAGE REPORTING.
268.045EMPLOYER TAX OR REIMBURSABLE ACCOUNTS.
268.046TAX AND REIMBURSABLE ACCOUNTS ASSIGNED TO EMPLOYEE LEASING COMPANIES, PROFESSIONAL EMPLOYER ORGANIZATIONS, OR SIMILAR PERSON.
268.047EFFECT ON AN EMPLOYER OF UNEMPLOYMENT BENEFITS PAID.
268.048Expired, 1997 c 80 s 3
268.05Renumbered 268.194
268.051EMPLOYERS TAXES.
268.0511ANNUAL PAYMENT OF SMALL LIABILITIES.
268.052PAYMENT TO TRUST FUND BY STATE AND POLITICAL SUBDIVISIONS.
268.0525INDIAN TRIBES.
268.053PAYMENT TO TRUST FUND BY NONPROFIT ORGANIZATIONS.
268.054Repealed, 1998 c 265 s 46
268.057COLLECTION OF TAXES.
268.058LIEN, LEVY, SETOFF, AND CIVIL ACTION.
268.059GARNISHMENT FOR DELINQUENT TAXES AND UNEMPLOYMENT BENEFIT OVERPAYMENTS.
268.06Subdivisions renumbered, repealed, or no longer in effect
268.061Repealed, 1988 c 689 art 2 s 269
268.062Renumbered 268.068
268.0625REVOCATIONS OF BUSINESS LICENSES.
268.063PERSONAL LIABILITY.
268.064LIABILITY FOR DEBTS UPON ACQUISITION.
268.065LIABILITY OF AMOUNTS DUE FROM SUBCONTRACTORS AND EMPLOYEE LEASING FIRMS.
268.066CANCELLATION OF AMOUNTS DUE FROM AN EMPLOYER.
268.067COMPROMISE.
268.0675NO ELECTION OF REMEDY.
268.068NOTICE TO WORKERS.
268.069PAYMENT OF UNEMPLOYMENT BENEFITS.
268.07BENEFIT ACCOUNT.
268.071Renumbered 268.115
268.072Renumbered 268.155
268.073Subdivisions renumbered, repealed, or no longer in effect
268.074Renumbered 268.135
268.075Renumbered 268.145
268.08Subdivisions renumbered, repealed, or no longer in effect
268.081Repealed, 1993 c 4 s 34
268.084PERSONAL IDENTIFICATION NUMBER; PRESUMPTION.
268.085ELIGIBILITY REQUIREMENTS.
268.086CONTINUED BIWEEKLY REQUEST FOR UNEMPLOYMENT BENEFITS ON AN ACTIVE BENEFIT ACCOUNT.
268.087UNEMPLOYMENT BENEFITS DUE DECEASED PERSONS.
268.09Subdivisions renumbered, repealed, or no longer in effect
268.095DISQUALIFICATION BECAUSE OF A QUIT OR DISCHARGE.
268.10Repealed, 1996 c 417 s 32
268.101DETERMINATIONS ON ISSUES OF DISQUALIFICATION AND ELIGIBILITY.
268.103APPEALS BY ELECTRONIC TRANSMISSION.
268.105APPEALS.
268.11Renumbered 268.042
268.115EXTENDED UNEMPLOYMENT BENEFITS.
268.12Subdivisions renumbered, repealed, or no longer in effect
268.121Renumbered 268.044
268.125ADDITIONAL UNEMPLOYMENT BENEFITS.
268.13Subdivisions renumbered, repealed, or no longer in effect
268.131RECIPROCAL UNEMPLOYMENT BENEFIT ARRANGEMENTS.
268.135SHARED WORK PLAN.
268.14Subdivisions renumbered, repealed, or no longer in effect
268.145INCOME TAX WITHHOLDING.
268.15Subdivisions renumbered, repealed, or no longer in effect
268.155CHILD SUPPORT DEDUCTED FROM UNEMPLOYMENT BENEFITS.
268.16Subdivisions renumbered, repealed, or no longer in effect
268.161Subdivisions renumbered, repealed, or no longer in effect
268.162Renumbered 268.064
268.163Renumbered 268.065
268.164Renumbered 268.0625
268.165Repealed, 1997 c 66 s 81
268.166Renumbered 268.066
268.167Renumbered 268.059
268.17Renumbered 268.192
268.18UNEMPLOYMENT BENEFIT OVERPAYMENTS.
268.182APPLICANT'S FALSE REPRESENTATIONS; CONCEALMENT OF FACTS; PENALTY.
268.184EMPLOYER MISCONDUCT; PENALTY.
268.186RECORDS; AUDITS.
268.188SUBPOENAS; OATHS.
268.19DATA PRIVACY.
268.192PROTECTION OF RIGHTS.
268.194UNEMPLOYMENT INSURANCE TRUST FUND.
268.196ADMINISTRATION ACCOUNT.
268.198Renumbered 268.26
268.20REPRESENTATION IN COURT.
268.21NONLIABILITY OF STATE.
268.22SAVING CLAUSE.
268.23SEVERABLE.
268.231Repealed, 1996 c 417 s 32
268.24Repealed, 1987 c 385 s 50
268.25Repealed, 1998 c 265 s 46
268.26Repealed, 2004 c 206 s 53
268.29Renumbered 299A.72
268.30Renumbered 116L.30
268.31Repealed, 1994 c 632 art 4 s 84
268.315Repealed, 1994 c 632 art 4 s 84
268.32Repealed, 1994 c 632 art 4 s 84
268.33Repealed, 1994 c 632 art 4 s 84
268.34Repealed, 1994 c 632 art 4 s 84
268.35Repealed, 1994 c 632 art 4 s 84
268.36Repealed, 1994 c 632 art 4 s 84
268.361Subdivisions renumbered, repealed, or no longer in effect
268.362Renumbered 116L.362
268.3625Renumbered 116L.3625
268.363Renumbered 116L.363
268.364Subdivisions renumbered, repealed, or no longer in effect
268.365Subdivisions renumbered, repealed, or no longer in effect
268.366Renumbered 116L.366
268.3661Repealed, 2004 c 206 s 53
268.367Repealed, 1996 c 339 s 10
268.37Repealed, 1998 c 273 s 15
268.371Repealed, 1998 c 273 s 15
268.38Subdivisions renumbered, repealed, or no longer in effect
268.39Repealed, 1997 c 200 art 4 s 23
268.40Expired
268.41Expired
268.42Expired
268.43Expired
268.52Renumbered 119A.374
268.53Subdivisions renumbered, repealed, or no longer in effect
268.54Renumbered 119A.376
268.55Repealed, 1998 c 273 s 15
268.551Repealed, 2004 c 206 s 53
268.552Repealed, 2004 c 206 s 53
268.56Subdivisions renumbered, repealed, or no longer in effect
268.561Subdivisions renumbered, repealed, or no longer in effect
268.60Renumbered 116L.60
268.61Subdivisions renumbered, repealed, or no longer in effect
268.62Renumbered 116L.62
268.63Renumbered 116L.63
268.64Renumbered 116L.64
268.65Repealed, 2004 c 206 s 53
268.66Renumbered 116L.66
268.665Subdivisions renumbered, repealed, or no longer in effect
268.666Subdivisions renumbered, repealed, or no longer in effect
268.671Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.6715Repealed, 2001 c 79 s 8
268.672Repealed, 2001 c 79 s 8
268.673Repealed, 2001 c 79 s 8
268.674Repealed, 1Sp1985 c 14 art 9 s 78 subd 2
268.675Repealed, 1Sp1985 c 14 art 9 s 78 subd 2
268.6751Repealed, 2001 c 79 s 8
268.676Repealed, 1997 c 200 art 3 s 19
268.677Repealed, 2001 c 79 s 8
268.678Repealed, 1997 c 200 art 3 s 19
268.679Subdivisions renumbered, repealed, or no longer in effect
268.68Repealed, 1Sp1985 c 14 art 9 s 78 subd 2
268.681Repealed, 2001 c 79 s 8
268.6811Repealed, 2001 c 79 s 8
268.682Repealed, 2001 c 79 s 8
268.683Repealed, 1Sp1985 c 14 art 9 s 78 subd 2
268.684Repealed, 1Sp1985 c 14 art 9 s 78 subd 2
268.685Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.686Repealed, 1Sp1985 c 9 art 2 s 104; 1Sp1985 c 14 art 9 s 78 subd 2
268.80Repealed, 1983 c 312 art 8 s 18; 1Sp1985 c 14 art 9 s 78 subd 1
268.81Repealed, 1983 c 312 art 8 s 18; 1Sp1985 c 14 art 9 s 78 subd 1
268.82Repealed, 1983 c 312 art 8 s 18; 1Sp1985 c 14 art 9 s 78 subd 1
268.83Repealed, 1983 c 312 art 8 s 18; 1Sp1985 c 14 art 9 s 78 subd 1
268.84Repealed, 1Sp1985 c 14 art 9 s 78 subd 1
268.85Repealed, 2001 c 79 s 8
268.86Subdivisions renumbered, repealed, or no longer in effect
268.871Subdivisions renumbered, repealed, or no longer in effect
268.872Subdivisions renumbered, repealed, or no longer in effect
268.88Renumbered 116L.88
268.881Renumbered 116L.881
268.89Repealed, 2004 c 206 s 53
268.90Repealed, 2001 c 79 s 8
268.91Subdivisions renumbered, repealed, or no longer in effect
268.911Renumbered 256H.20
268.912Renumbered 119A.50
268.913Subdivisions renumbered, repealed, or no longer in effect
268.914Subdivisions renumbered, repealed, or no longer in effect
268.915Renumbered 119A.53
268.916Renumbered 119A.54
268.9165Renumbered 119A.545
268.917Repealed, 1998 c 273 s 15
268.918Repealed, 2004 c 206 s 53
268.92Repealed, 1998 c 273 s 15
268.95Repealed, 2004 c 206 s 53
268.96Renumbered 116L.96
268.971Repealed, 2001 c 79 s 8
268.975Repealed, 1Sp2001 c 4 art 2 s 41
268.9755Repealed, 1995 c 131 s 3
268.976Subdivisions renumbered, repealed, or no longer in effect
268.977Repealed, 1993 c 369 s 146
268.9771Repealed, 1Sp2001 c 4 art 2 s 41
268.978Repealed, 1Sp2001 c 4 art 2 s 41
268.9781Repealed, 1Sp2001 c 4 art 2 s 41
268.9782Repealed, 1Sp2001 c 4 art 2 s 41
268.9783Repealed, 1Sp2001 c 4 art 2 s 41
268.979Repealed, 1Sp2001 c 4 art 2 s 41
268.98Repealed, 1Sp2001 c 4 art 2 s 41
268.001 CITATION; MINNESOTA UNEMPLOYMENT INSURANCE LAW.
This chapter shall be known and may be cited as the "Minnesota Unemployment Insurance
Law."
History: 1987 c 385 s 47; 1994 c 483 s 1; 2004 c 206 s 38
268.01 [Repealed, 1965 c 45 s 73]
268.011 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
    Subdivision 1.[Repealed, 2004 c 206 s 53]
    Subd. 2.[Repealed, 2004 c 206 s 53]
    Subd. 3.[Repealed, 1987 c 403 art 2 s 164]
    Subd. 3a.[Repealed, 2004 c 206 s 53]
    Subd. 4.[Renumbered 116L.19, subd 4]
    Subd. 4a.[Repealed, 2004 c 206 s 53]
    Subd. 5.[Renumbered 116L.19, subd 5]
    Subd. 5a.[Renumbered 116L.19, subd 6]
    Subd. 6.[Renumbered 116L.19, subd 7]
    Subd. 7.[Renumbered 116L.19, subd 8]
    Subd. 8.[Renumbered 116L.19, subd 9]
    Subd. 9.[Repealed, 2001 c 79 s 8]
268.012 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
    Subdivision 1.[Repealed, 2004 c 206 s 53]
    Subd. 2.[Repealed, 2004 c 206 s 53]
    Subd. 3.[Renumbered 116J.01, subd 6]
    Subd. 4.[Renumbered 116J.035, subd 4]
    Subd. 5.[Renumbered 116J.035, subd 6]
    Subdivision 1.[Renumbered 116J.401, subdivision 1]
    Subd. 2.[Repealed, 2004 c 206 s 53]
    Subd. 3.[Repealed, 2004 c 206 s 53]
    Subd. 4.[Renumbered 116J.035, subd 5]
    Subd. 5.[Repealed, 2004 c 206 s 53]
    Subd. 6.[Repealed, 2004 c 206 s 53]
    Subd. 7.[Renumbered 116J.401, subd 3]
268.0124 [Renumbered 116J.0124]
268.0125 [Renumbered 116J.0125]
268.013 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
268.014 [Renumbered 116J.014]
268.02 [Repealed, 1965 c 45 s 73]
268.021 [Repealed, 1999 c 107 s 67]
268.022 [Renumbered 116L.20]
268.025 [Repealed, 1965 c 45 s 73]
268.026 [Repealed, 1997 c 66 s 81]
268.027 [Repealed, 2004 c 206 s 53]
268.028 [Repealed, 2004 c 206 s 53]
268.029 [Repealed, 2004 c 206 s 53]
268.03 PUBLIC PURPOSE OF THE MINNESOTA UNEMPLOYMENT INSURANCE
PROGRAM.
    Subdivision 1. Statement. The public purpose of this chapter is: Economic insecurity due to
involuntary unemployment of workers in Minnesota is a subject of general concern that requires
appropriate action by the legislature. The public good will be promoted by providing workers
who are unemployed through no fault of their own a temporary partial wage replacement to assist
the unemployed worker to become reemployed. This program will be known as the "Minnesota
unemployment insurance program."
    Subd. 2. Standard of proof. All issues of fact under the Minnesota Unemployment
Insurance Law shall be determined by a preponderance of the evidence. Preponderance of the
evidence means evidence in substantiation of a fact that, when weighed against the evidence
opposing the fact, is more convincing and has a greater probability of truth.
History: (4337-21) Ex1936 c 2 s 1; 1989 c 209 art 2 s 1; 1994 c 488 s 1; 1997 c 7 art 1
s 105; 1998 c 265 s 3; 1999 c 107 s 66; 2000 c 343 s 1; 2001 c 175 s 2,52; 1Sp2003 c 3 art 2
s 20; 2005 c 112 art 2 s 1
268.032 ELECTRONIC TRANSMISSION; WHEN ALLOWED; SENDING TO LAST
KNOWN ADDRESS REQUIRED.
(a) If any required notice, determination, or decision issued under this chapter provides
that the commissioner may send the notice, determination, or decision by mail or electronic
transmission, the commissioner may send the notice, determination, or decision to an applicant or
employer by electronic transmission only if the applicant or employer has affirmatively indicated
that the applicant or employer would prefer required notices, determinations, or decisions be
sent by electronic transmission rather than by mail. An applicant or employer may withdraw an
indicated preference for electronic transmission.
(b) If any required notice, determination, or decision issued under this chapter is sent by
mail to an applicant or an employer, the notice, determination, or decision must be sent to the last
known address. If any required notice, determination, or decision issued under this chapter is sent
by electronic transmission, the notice, determination, or decision must be sent to the last known
electronic address of the applicant or employer. If any required notice, determination, or decision
issued under this chapter is sent by electronic transmission and the commissioner is notified that
the electronic address of the applicant or employer is no longer in service, the commissioner must
then send the required notice, determination, or decision by mail to the last known address.
History: 2004 c 183 s 2
268.033 COMPUTATION OF TIME.
The computation of time provisions of section 645.151 apply to this chapter.
History: 2004 c 183 s 3
268.035 DEFINITIONS.
    Subdivision 1. Scope. Unless the language or context clearly indicates that a different
meaning is intended, the words, terms, and phrases in this section shall, for the purposes of the
Minnesota Unemployment Insurance Law, have the meaning stated.
    Subd. 2. Agricultural employment. "Agricultural employment" means services:
(1) on a farm, in the employ of any person or family farm corporation in connection with
cultivating the soil, or in connection with raising or harvesting any agricultural or horticultural
commodity, including the raising, shearing, feeding, caring for, training, and management of
livestock, bees, poultry, fur-bearing animals, and wildlife;
(2) in the employ of the owner or tenant or other operator of a farm, in connection with the
operation, management, conservation, improvement, or maintenance of the farm and its tools and
equipment, or in salvaging timber or clearing land of brush and other debris left by a tornado-like
storm, if the major part of the employment is performed on a farm;
(3) in connection with the production or harvesting of any commodity defined as an
agricultural product in United States Code, title 7, section 1626 of the Agricultural Marketing
Act, or in connection with cotton ginning, or in connection with the operation or maintenance of
ditches, canals, reservoirs, or waterways, not owned or operated for profit, used exclusively for
supplying and storing water for farming purposes;
(4) in the employ of the operator of a farm in handling, planting, drying, packing, packaging,
processing, freezing, grading, storing, or delivering to storage or to market or to a carrier for
transportation to market, in its unmanufactured state, any agricultural or horticultural commodity;
but only if the operator produced more than one-half of the commodity with respect to which the
employment is performed, or in the employ of a group of operators of farms or a cooperative
organization of which the operators are members, but only if the operators produced more than
one-half of the commodity with respect to which the employment is performed; however, this
clause shall not be applicable to employment performed in connection with commercial canning
or commercial freezing or in connection with any agricultural or horticultural commodity after its
delivery to a terminal market for distribution for consumption; or
(5) on a farm operated for profit if the employment is not in the course of the employer's
trade or business.
For purposes of this subdivision, the term "farm" includes stock, dairy, poultry, fruit,
fur-bearing animals, and truck farms, plantations, ranches, nurseries, orchards, ranges,
greenhouses, or other similar structures used primarily for the raising of agricultural or
horticultural commodities.
    Subd. 2a. Applicant. "Applicant" means an individual who has filed an application for
unemployment benefits and has established or is pursuing the establishment of a benefit account.
    Subd. 3. Back pay. "Back pay" means a retroactive payment of money by an employer to an
employee or former employee for lost wages.
    Subd. 4. Base period. "Base period" means:
(1) the first four of the last five completed calendar quarters prior to the effective date of an
applicant's benefit account as set forth below:


If the benefit account is effective on
or between these dates:
The base period is the prior:

January 1 - March 31
October 1 - September 30

April 1 - June 30
January 1 - December 31

July 1 - September 30
April 1 - March 31

October 1 - December 31
July 1 - June 30
(2) if during the base period under clause (1) an applicant received workers' compensation
for temporary disability under chapter 176 or a similar federal law or similar law of another
state, or if an applicant whose own serious illness caused a loss of work for which the applicant
received compensation for loss of wages from some other source, the applicant may request a
base period as follows:
(i) if an applicant was compensated for a loss of work of seven to 13 weeks, the base period
shall be the first four of the last six completed calendar quarters prior to the effective date of
the benefit account;
(ii) if an applicant was compensated for a loss of work of 14 to 26 weeks, the base period
shall be the first four of the last seven completed calendar quarters prior to the effective date of
the benefit account;
(iii) if an applicant was compensated for a loss of work of 27 to 39 weeks, the base period
shall be the first four of the last eight completed calendar quarters prior to the effective date
of the benefit account; and
(iv) if an applicant was compensated for a loss of work of 40 to 52 weeks, the base period
shall be the first four of the last nine completed calendar quarters prior to the effective date of
the benefit account;
(3) if the applicant qualifies for a base period under clause (2), but has insufficient wage
credits to establish a benefit account, the applicant may request a base period of the last four
completed calendar quarters prior to the date the applicant's benefit account is effective. This base
period may be used only once during any five-calendar-year period; and
(4) no base period under clause (1), (2), or (3) shall include wage credits upon which a
prior benefit account was established.
    Subd. 5.[Renumbered subd 26a]
    Subd. 6. Benefit year. "Benefit year" means the period of 52 calendar weeks beginning
the date a benefit account is effective. For a benefit account established effective any January
1, April 1, July 1, October 1, or January 2, 2000, or October 2, 2011, the benefit year will be a
period of 53 calendar weeks.
    Subd. 7. Calendar quarter. "Calendar quarter" means the period of three consecutive
calendar months ending on March 31, June 30, September 30, or December 31.
    Subd. 8.[Renumbered subd 2a]
    Subd. 8a. Commissioner. "Commissioner" means the commissioner of employment and
economic development.
    Subd. 9. Construction/independent contractor. A worker doing commercial or residential
building construction or improvement, in the public or private sector, performing services in the
course of the trade, business, profession, or occupation of the employer, shall be considered
an employee and not an "independent contractor" unless the worker meets all the following
conditions:
(1) maintains a separate business with the independent contractor's own office, equipment,
materials, and other facilities;
(2) holds or has applied for a federal employer identification number or has filed business
or self-employment income tax returns with the federal Internal Revenue Service based on that
work or service in the previous year;
(3) operates under contracts to perform specific services or work for specific amounts of
money under which the independent contractor controls the means of performing the services or
work;
(4) incurs the main expenses related to the service or work that the independent contractor
performs under contract;
(5) is responsible for the satisfactory completion of work or services that the independent
contractor contracts to perform and is liable for a failure to complete the work or service;
(6) receives compensation for work or service performed under a contract on a commission
or per job or competitive bid basis and not on any other basis;
(7) may realize a profit or suffer a loss under contracts to perform work or service;
(8) has continuing or recurring business liabilities or obligations; and
(9) the success or failure of the independent contractor's business depends on the relationship
of business receipts to expenditures.
    Subd. 10. Corporation. "Corporation" includes associations, joint-stock companies, and
insurance companies. This definition shall not be exclusive.
    Subd. 11. Covered agricultural employment. "Covered agricultural employment" means
agricultural employment where:
(1) The employment is performed for a person who:
(i) during any calendar quarter in either the current or the prior calendar year paid wages of
$20,000 or more to employees in agricultural employment; or
(ii) for some portion of a day in each of 20 different calendar weeks, whether or not the
weeks were consecutive, in either the current or prior calendar year employed in agricultural
employment four or more employees, regardless of whether they were employed at the same time.
(2) Any employee who is a member of a crew furnished by a crew leader to be employed in
agricultural employment for any other person shall be treated as an employee of the crew leader:
(i) if the crew leader holds a valid certificate of registration under United States Code, title
29, section 1802, the Migrant and Seasonal Agricultural Worker Protection Act; or substantially
all of the members of the crew operate or maintain tractors, mechanized harvesting or crop
dusting equipment, or any other mechanized equipment, that is provided by the crew leader; and
(ii) if the employee is not an employee of another person.
(3) Any employee who is furnished by a crew leader to be employed in agricultural
employment for any other person and who is not treated as an employee of the crew leader
under clause (2):
(i) the other person and not the crew leader shall be treated as the employer of the employee;
and
(ii) the other person shall be treated as having paid wages to the employee in an amount equal
to the amount of wages paid to the employee by the crew leader (either on the crew leader's behalf
or on behalf of the other person) for the agricultural employment performed for the other person.
(4) The term "crew leader" means an individual who:
(i) furnishes employees to be employed in agricultural employment for any other person;
(ii) pays (either on the crew leader's own behalf or on behalf of the other person) the
employees furnished by the crew leader for the agricultural employment performed by them; and
(iii) has not entered into a written agreement with the other person under which the furnished
employee is designated as an employee of the other person.
(5) Employment of an officer or shareholder of a family farm corporation shall be excluded
from covered agricultural employment unless the corporation is an employer under United States
Code, title 26, section 3306(a)(2) of the Federal Unemployment Tax Act.
(6) Employment of an individual 16 years of age or under shall be excluded from covered
agricultural employment unless the employer is an employer under United States Code, title 26,
section 3306(a)(2) of the Federal Unemployment Tax Act.
    Subd. 12. Covered employment. "Covered employment" means the following unless
excluded as "noncovered employment" under subdivision 20:
(1) an employee's entire employment if:
(i) the employment is performed entirely in Minnesota;
(ii) the employment is performed primarily in Minnesota, and the employment performed
outside Minnesota is incidental to the employment in Minnesota; or
(iii) the employment is not performed primarily in any one state but some of the employment
is performed in Minnesota and the base of operations or the place from which the employment
is directed or controlled is in Minnesota; or the base of operations or place from which the
employment is directed or controlled is not in any state in which part of the employment is
performed, but the employee's residence is in Minnesota;
(2) an employee's employment wherever performed within the United States or Canada, if:
(i) the employment is not covered under the unemployment insurance program of any other
state or Canada; and
(ii) the place from which the employment is directed or controlled is in Minnesota;
(3) the employment of an employee who is a citizen of the United States, performed outside
the United States, except in Canada, in the employ of an American employer if:
(i) the employer's principal place of business in the United States is located in Minnesota;
(ii) the employer has no place of business in the United States, but the employer is an
individual who is a resident of Minnesota, or the employer is a corporation that is organized under
the laws of Minnesota, or the employer is a partnership or a trust and the number of partners or
trustees who are residents of Minnesota is greater than the number who are residents of any
one other state;
(iii) none of the criteria of subclauses (i) and (ii) is met but the employer has elected coverage
in Minnesota, or the employer having failed to elect coverage in any state, an applicant has made
an application for unemployment benefits under section 268.07, based on the employment;
(iv) an "American employer," for the purposes of this subdivision, means an individual
who is a resident of the United States, or a partnership if two-thirds or more of the partners are
residents of the United States, or a trust, if all of the trustees are residents of the United States, or
a corporation organized under the laws of the United States, or of any state; or
(v) as used in this subdivision, the term "United States" includes the states, the District of
Columbia, the Commonwealth of Puerto Rico, and the Virgin Islands;
(4) all employment performed by an officer or member of the crew of an American vessel on
or in connection with the vessel, if the operating office from which the operations of the vessel
operating on navigable waters within, or within and without, the United States are ordinarily and
regularly supervised, managed, directed, and controlled is in Minnesota; and
(5) for the purposes of satisfying disqualifications under section 268.095, subdivision 10,
"covered employment" shall include covered employment under an unemployment insurance
program of any other state or employment covered under an unemployment insurance program
established by an act of Congress.
    Subd. 12a. Department. "Department" means the Department of Employment and
Economic Development.
    Subd. 12b. Electronic transmission. "Electronic transmission" means a communication sent
by electronic, digital, magnetic, wireless, optical, electromagnetic or similar capabilities, and,
when permitted by the commissioner, a telephone communication.
    Subd. 13. Employee. "Employee" means:
(1) every individual who is performing or has performed services for an employer in
employment; or
(2) each individual employed to perform or assist in performing the work of any agent or
employee of the employer shall be considered to be an employee of that employer whether the
individual was hired or paid directly by that employer or by the agent or employee, provided the
employer had actual or constructive knowledge of the work.
    Subd. 14. Employer. "Employer" means any person which has had one or more employees
during the current or the prior calendar year including any person that has elected, under section
268.042, to be subject to the Minnesota Unemployment Insurance Law and a joint venture
composed of one or more employers.
An employee leasing company, professional employer organization, or similar person that
has been assigned a tax or reimbursable account under section 268.046 is an employer for
purposes of this chapter.
    Subd. 15. Employment. "Employment" means service performed by:
(1) an individual who is considered an employee under the common law of
employer-employee and not considered an independent contractor;
(2) an officer of a corporation;
(3) a member of a limited liability company who is considered an employee under the
common law of employer-employee; or
(4) an individual who performs services for a person for compensation, as:
(i) an agent-driver or commission-driver engaged in distributing meat products, vegetable
products, fruit products, beverages, or laundry or dry cleaning services; or
(ii) a traveling or city salesperson, other than as an agent-driver or commission-driver,
engaged full-time in the solicitation on behalf of the person, of orders from wholesalers, retailers,
contractors, or operators of hotels, restaurants, or other similar establishments for merchandise for
resale or supplies for use in their business operations.
This clause shall apply only if the contract of service provides that substantially all of the
services are to be performed personally by the individual, and the services are part of a continuing
relationship with the person for whom the services are performed, and the individual does not
have a substantial investment in facilities used in connection with the performance of the services,
other than facilities for transportation.
    Subd. 16. Family farm corporation. "Family farm corporation" has the meaning given to
it in section 500.24, subdivision 2.
    Subd. 17. Filing; filed. "Filing" or "filed" means the delivery of any document to the
commissioner or any of the commissioner's agents, or the depositing of the document in the
United States mail properly addressed to the department with postage prepaid, in which case the
document shall be considered filed on the day indicated by the cancellation mark of the United
States Postal Service.
If, where allowed, an application, protest, appeal, or other required action is made by
electronic transmission, it shall be considered filed on the day received by the department.
    Subd. 18.[Renumbered subd 25a]
    Subd. 19. High quarter. "High quarter" means the calendar quarter in an applicant's base
period with the highest amount of wage credits.
    Subd. 20. Noncovered employment. "Noncovered employment" means:
(1) employment for the United States government or an instrumentality thereof, including
military service;
(2) employment for a state, other than Minnesota, or a political subdivision or instrumentality
thereof;
(3) employment for a foreign government;
(4) employment for an instrumentality wholly owned by a foreign government, if the
employment is of a character similar to that performed in foreign countries by employees of
the United States government or an instrumentality thereof and the United States Secretary
of State has certified that the foreign government grants an equivalent exemption to similar
employment performed in the foreign country by employees of the United States government
and instrumentalities thereof;
(5) employment covered under United States Code, title 45, section 351, the Railroad
Unemployment Insurance Act;
(6) employment covered by a reciprocal arrangement between the commissioner and another
state or the federal government which provides that all employment performed by an individual
for an employer during the period covered by the reciprocal arrangement is considered performed
entirely within another state;
(7) employment for a church or convention or association of churches, or an organization
operated primarily for religious purposes that is operated, supervised, controlled, or principally
supported by a church or convention or association of churches described in United States
Code, title 26, section 501(c)(3) of the federal Internal Revenue Code and exempt from income
tax under section 501(a);
(8) employment of a duly ordained or licensed minister of a church in the exercise of a
ministry or by a member of a religious order in the exercise of duties required by the order, for
Minnesota or a political subdivision or an organization described in United States Code, title
26, section 501(c)(3) of the federal Internal Revenue Code and exempt from income tax under
section 501(a);
(9) employment of an individual receiving rehabilitation of "sheltered" work in a facility
conducted for the purpose of carrying out a program of rehabilitation for individuals whose
earning capacity is impaired by age or physical or mental deficiency or injury or a program
providing "sheltered" work for individuals who because of an impaired physical or mental capacity
cannot be readily absorbed in the competitive labor market. This clause applies only to services
performed for Minnesota or a political subdivision or an organization described in United States
Code, title 26, section 501(c)(3) of the federal Internal Revenue Code and exempt from income tax
under section 501(a) in a facility certified by the Rehabilitation Services Branch of the department
or in a day training or habilitation program licensed by the Department of Human Services;
(10) employment of an individual receiving work relief or work training as part of an
unemployment work relief or work training program assisted or financed in whole or in part by
any federal agency or an agency of a state or political subdivision thereof. This clause applies
only to employment for Minnesota or a political subdivision or an organization described in
United States Code, title 26, section 501(c)(3) of the federal Internal Revenue Code and exempt
from income tax under section 501(a). This clause shall not apply to programs that require
unemployment benefit coverage for the participants;
(11) employment for Minnesota or a political subdivision as an elected official, a member of
a legislative body, or a member of the judiciary;
(12) employment as a member of the Minnesota National Guard or Air National Guard;
(13) employment for Minnesota, a political subdivision, or instrumentality thereof, as an
employee serving only on a temporary basis in case of fire, flood, tornado, or similar emergency;
(14) employment as an election official or election worker for Minnesota or a political
subdivision, but only if the compensation for that employment was less than $1,000 in a calendar
year;
(15) employment for Minnesota that is a major policy making or advisory position in the
unclassified service, including those positions established pursuant to section 43A.08, subdivision
1a
;
(16) employment for a political subdivision of Minnesota that is a nontenured major policy
making or advisory position;
(17) domestic employment in a private household, local college club, or local chapter of
a college fraternity or sorority performed for a person, only if the wages paid in any calendar
quarter in either the current or preceding calendar year to all individuals in domestic employment
totaled less than $1,000.
"Domestic employment" includes all service in the operation and maintenance of a private
household, for a local college club, or local chapter of a college fraternity or sorority as
distinguished from service as an employee in the pursuit of an employer's trade or business;
(18) employment of an individual by a son, daughter, or spouse, and employment of a child
under the age of 18 by the child's father or mother;
(19) employment of an inmate of a custodial or penal institution;
(20) employment for a school, college, or university by a student who is enrolled and is
regularly attending classes at the school, college, or university;
(21) employment of an individual who is enrolled as a student in a full-time program at
a nonprofit or public educational institution that maintains a regular faculty and curriculum
and has a regularly organized body of students in attendance at the place where its educational
activities are carried on, taken for credit at the institution, that combines academic instruction
with work experience, if the employment is an integral part of the program, and the institution has
so certified to the employer, except that this clause shall not apply to employment in a program
established for or on behalf of an employer or group of employers;
(22) employment of university, college, or professional school students in an internship or
other training program with the city of St. Paul or the city of Minneapolis pursuant to Laws
1990, chapter 570, article 6, section 3;
(23) employment for a hospital by a patient of the hospital. "Hospital" means an institution
that has been licensed by the Department of Health as a hospital;
(24) employment as a student nurse for a hospital or a nurses' training school by an individual
who is enrolled and is regularly attending classes in an accredited nurses' training school;
(25) employment as an intern for a hospital by an individual who has completed a four-year
course in an accredited medical school;
(26) employment as an insurance salesperson, by other than a corporate officer, if all the
wages from the employment is solely by way of commission. The word "insurance" shall include
an annuity and an optional annuity;
(27) employment as an officer of a township mutual insurance company or farmer's mutual
insurance company operating pursuant to chapter 67A;
(28) employment of a corporate officer, if the officer owns 25 percent or more of the
employer corporation, and employment of a member of a limited liability company, if the member
owns 25 percent or more of the employer limited liability company;
(29) employment as a real estate salesperson, by other than a corporate officer, if all the
wages from the employment is solely by way of commission;
(30) employment as a direct seller as defined in United States Code, title 26, section 3508;
(31) employment of an individual under the age of 18 in the delivery or distribution of
newspapers or shopping news, not including delivery or distribution to any point for subsequent
delivery or distribution;
(32) casual employment performed for an individual, other than domestic employment under
clause (17), that does not promote or advance that employer's trade or business;
(33) employment in "agricultural employment" unless considered "covered agricultural
employment" under subdivision 11; or
(34) if employment during one-half or more of any pay period was covered employment,
all the employment for the pay period shall be considered covered employment; but if during
more than one-half of any pay period the employment was noncovered employment, then all of
the employment for the pay period shall be considered noncovered employment. "Pay period"
means a period of not more than a calendar month for which a payment or compensation is
ordinarily made to the employee by the employer.
    Subd. 21. Person. "Person" means:
(1) an individual or any type of organization or entity, resident or nonresident, for profit or
nonprofit, religious, charitable or educational, including any receiver or trustee in a bankruptcy,
successor of any of the foregoing, or legal representative of a deceased individual; and
(2) any government entity, state or federal, foreign or domestic, or Indian tribe, including any
subdivision or instrumentality thereof owned wholly or in part.
    Subd. 21a. Reemployment assistance training. (a) An applicant is in "reemployment
assistance training" when:
(1) reasonable and suitable employment for the applicant does not exist in the labor market
area and it is necessary that the applicant receive training in order to obtain suitable employment;
(2) the curriculum, facilities, staff, and other essentials are adequate to achieve the training
objective;
(3) the training is vocational in nature or short term academic training vocationally directed
to an occupation or skill for which there are reasonable employment opportunities available
to the applicant;
(4) the training course is considered full time by the training provider; and
(5) the applicant is making satisfactory progress in the training.
(b) Full-time training provided through the dislocated worker program, the Trade Act of 1974,
as amended, or the North American Free Trade Agreement shall be considered "reemployment
assistance training," if that training course is in accordance with the requirements of that program.
(c) An applicant will be considered in reemployment assistance training only if the training
course has actually started or is scheduled to start within 30 calendar days.
    Subd. 22. State. "State" includes, in addition to the states of the United States, the
Commonwealth of Puerto Rico, the District of Columbia, and the Virgin Islands.
    Subd. 23. State's average annual and average weekly wage. (a) On or before June 30 of
each year, the commissioner shall calculate the state's average annual wage and the state's average
weekly wage in the following manner:
(1) The sum of the total monthly covered employment reported by all employers for the prior
calendar year shall be divided by 12 to calculate the average monthly covered employment.
(2) The sum of the total wages paid for all covered employment reported by all employers
for the prior calendar year shall be divided by the average monthly covered employment to
calculate the state's average annual wage.
(3) The state's average annual wage shall be divided by 52 to calculate the state's average
weekly wage.
(b) For purposes of calculating the amount of taxable wages, the state's average annual wage
shall apply to the calendar year following the calculation.
(c) For purposes of calculating the state's maximum weekly unemployment benefit amount
available on any benefit account under section 268.07, subdivision 2, the state's average weekly
wage shall apply to the one-year period beginning the first Sunday in August of the calendar
year of the calculation.
    Subd. 23a. Suitable employment. (a) Suitable employment means employment in the
applicant's labor market area that is reasonably related to the applicant's qualifications. In
determining whether any employment is suitable for an applicant, the degree of risk involved
to the health and safety, physical fitness, prior training, experience, length of unemployment,
prospects for securing employment in the applicant's customary occupation, and the distance of
the employment from the applicant's residence shall be considered.
(b) In determining what is suitable employment, primary consideration shall be given to the
temporary or permanent nature of the applicant's separation from employment and whether the
applicant has favorable prospects of finding employment in the applicant's usual or customary
occupation at the applicant's past wage level within a reasonable period of time.
If prospects are unfavorable, employment at lower skill or wage levels is suitable if the
applicant is reasonably suited for the employment considering the applicant's education, training,
work experience, and current physical and mental ability.
The total compensation must be considered, including the wage rate, hours of employment,
method of payment, overtime practices, bonuses, incentive payments, and fringe benefits.
(c) When potential employment is at a rate of pay lower than the applicant's former rate,
consideration must be given to the length of the applicant's unemployment and the proportion
of difference in the rates. Employment that may not be suitable because of lower wages during
the early weeks of the applicant's unemployment may become suitable as the duration of
unemployment lengthens.
(d) For an applicant seasonally unemployed, suitable employment includes temporary work
in a lower skilled occupation that pays average gross weekly wages equal to or more than 150
percent of the applicant's weekly unemployment benefit amount.
(e) If a majority of the applicant's wage credits were earned from part-time employment,
part-time employment in a position with comparable skills and comparable hours that pays
average gross weekly wages equal to or more than 150 percent of the applicant's weekly
unemployment benefit amount shall be considered suitable employment.
(f) To determine suitability of employment in terms of shifts, the arrangement of hours in
addition to the total number of hours is to be considered. Employment on a second, third, rotating,
or split shift is suitable employment if it is customary in the occupation in the labor market area.
(g) Employment shall not be considered suitable if:
(1) the position offered is vacant because of a labor dispute;
(2) the wages, hours, or other conditions of employment are substantially less favorable than
those prevailing for similar employment in the labor market area; or
(3) as a condition of becoming employed, the applicant would be required to join a company
union or to resign from or refrain from joining any bona fide labor organization.
    Subd. 24. Taxable wages. (a) "Taxable wages" means those wages paid to an employee in
covered employment each calendar year up to an amount equal to 60 percent of the state's average
annual wage, rounded to the nearest $1,000.
(b) Taxable wages includes the amount of wages paid for covered employment by the
employer's predecessor when there has been an experience rating transfer under section 268.051,
subdivision 4
.
    Subd. 25. Taxes. "Taxes" means the money payments required by the Minnesota
Unemployment Insurance Law to be paid into the trust fund by an employer on account of paying
wages to employees in covered employment.
    Subd. 25a. Trust fund. "Trust fund" means the Minnesota unemployment insurance trust
fund established by section 268.194.
    Subd. 26. Unemployed. An applicant shall be considered "unemployed" (1) in any week
that the applicant performs less than 32 hours of service in employment, covered employment,
noncovered employment, self-employment, or volunteer work; and (2) any earnings with respect
to that week are less than the applicant's weekly unemployment benefit amount.
    Subd. 26a. Unemployment benefits. "Unemployment benefits" means the money payments
portion of the Minnesota unemployment insurance program available to an applicant.
    Subd. 27. Wage credits. "Wage credits" mean the amount of wages paid within an applicant's
base period for covered employment.
    Subd. 28. Wage detail report. "Wage detail report" means the report on each employee in
covered employment required from an employer on a calendar quarter basis under section 268.044.
    Subd. 29. Wages. "Wages" means all compensation for services, including commissions;
bonuses; severance payments; vacation and holiday pay; back pay as of the date of payment;
tips and gratuities paid to an employee by a customer of an employer and accounted for by
the employee to the employer; sickness and accident disability payments, except as otherwise
provided in this subdivision; and the cash value of all compensation in any medium other than
cash, except:
(1) the amount of any payment made to, or on behalf of, an employee under a plan
established by an employer that makes provision for employees generally or for a class or classes
of employees, including any amount paid by an employer for insurance or annuities, or into a
plan, to provide for a payment, on account of (i) retirement or (ii) medical and hospitalization
expenses in connection with sickness or accident disability, or (iii) death;
(2) the payment by an employer of the tax imposed upon an employee under United
States Code, title 26, section 3101 of the Federal Insurance Contribution Act, with respect to
compensation paid to an employee for domestic employment in a private household of the
employer or for agricultural employment;
(3) any payment made to, or on behalf of, an employee or beneficiary (i) from or to a trust
described in United States Code, title 26, section 401(a) of the federal Internal Revenue Code,
that is exempt from tax under section 501(a) at the time of the payment unless the payment is
made to an employee of the trust as compensation for services as an employee and not as a
beneficiary of the trust, or (ii) under or to an annuity plan that, at the time of the payment, is
a plan described in section 403(a);
(4) sickness or accident disability payments made by the employer after the expiration of six
calendar months following the last calendar month that the individual worked for the employer;
(5) disability payments made under the provisions of any workers' compensation law;
(6) sickness or accident disability payments made by a third party payer such as an insurance
company;
(7) payments made into a trust fund, or for the purchase of insurance or an annuity, to
provide for sickness or accident disability payments to employees pursuant to a plan or system
established by the employer that provides for the employer's employees generally or for a class
or classes of employees; or
(8) nothing in this subdivision shall exclude from the term "wages" any payment made
under any type of salary reduction agreement, including payments made under a cash or deferred
arrangement and cafeteria plan, as defined in United States Code, title 26, sections 401(k) and
125 of the federal Internal Revenue Code, to the extent that the employee has the option to
receive the payment in cash.
    Subd. 30. Wages paid. (a) "Wages paid" means the amount of wages that have been actually
paid or that have been credited to or set apart so that payment and disposition is under the control
of the employee. Wage payments delayed beyond the regularly scheduled pay date are considered
"wages paid" on the missed pay date. Back pay shall be considered "wages paid" on the date of
actual payment. Any wages earned but not paid with no scheduled date of payment shall be
considered "wages paid" on the last day of employment.
(b) Wages paid shall not include wages earned but not paid except as provided for in this
subdivision.
    Subd. 31. Week. "Week" means calendar week, ending at midnight Saturday.
    Subd. 32. Weekly unemployment benefit amount. "Weekly unemployment benefit amount"
means the amount of unemployment benefits computed under section 268.07, subdivision 2,
paragraph (b).
History: 1998 c 265 s 4; 1999 c 107 s 2-15,66; 2000 c 343 s 4; 2001 c 175 s 3-8,52; 1Sp2003
c 3 art 2 s 1,2,20; 2004 c 183 s 4-12; 2005 c 112 art 2 s 2-7
268.04 [Repealed, 1998 c 265 s 46]
268.041 [Renumbered 268.043]
268.042 EMPLOYERS COVERAGE.
    Subdivision 1. Employer registration. (a) Each employer shall, upon or before the
submission of its first wage detail report under section 268.044, register with the commissioner
for a tax account or a reimbursable account, by electronic transmission in a format prescribed by
the commissioner. The employer must provide all required information for registration.
(b) Except as provided in subdivision 3, any person that is or becomes an employer subject
to the Minnesota Unemployment Insurance Law within any calendar year shall be considered to
be subject to this chapter the entire calendar year.
(c) Upon the termination of business, an employer that has been assigned a tax account
or reimbursable account shall notify the commissioner by electronic transmission, in a format
prescribed by the commissioner, that the employer no longer has employees and does not intend
or expect to pay wages to any employees in the next calendar year and into the foreseeable future.
Upon such notification, the commissioner shall not require the employer to file wage detail
reports under section 268.044, subdivision 1, paragraph (d).
    Subd. 2.[Repealed, 1998 c 265 s 46]
    Subd. 3. Election to have noncovered employment considered covered employment.
(a) Any employer that has employment performed for it that is noncovered employment under
section 268.035, subdivision 20, may file with the commissioner, by electronic transmission in a
format prescribed by the commissioner, an election that all such employment, in one or more
distinct establishments or places of business, shall be considered covered employment for not less
than two calendar years. The commissioner shall have discretion on the approval of any election.
Upon the approval of the commissioner, sent by mail or electronic transmission, the employment
shall constitute covered employment beginning the calendar quarter after the date of approval or
beginning a later calendar quarter if requested by the employer. The employment shall cease to be
considered covered employment as of the first day of January of any calendar year only if at least
30 calendar days prior to the first day of January the employer has filed with the commissioner, by
electronic transmission in a format prescribed by the commissioner, a notice to that effect.
(b) The commissioner must terminate any election agreement under this subdivision upon 30
calendar days' notice sent by mail or electronic transmission, if the employer is delinquent on any
taxes due or reimbursements due the trust fund.
    Subd. 4. Authorization. The commissioner is authorized to enter into reciprocal
arrangements with other states and the federal government, or both, whereby employment by an
employee or employees for a single employer that is customarily performed in more than one
state shall be considered performed entirely within any one of the states:
(1) where any part of the employee's employment is performed, or
(2) where the employee has a residence, or
(3) where the employer maintains a place of business; provided, there is in effect, as to the
employment, an election, approved by the state, pursuant to which all the employment by the
employee or employees for the employer is considered to be performed entirely within that state.
History: Ex1936 c 2 s 9,11; 1937 c 306 s 6,8; 1939 c 443 s 9; 1941 c 554 s 8,10; 1943 c
650 s 8; 1945 c 376 s 8,10; 1947 c 432 s 8-10; 1947 c 600 s 2; 1949 c 605 s 10; 1953 c 97 s
13,14; 1965 c 45 s 41,45; 1969 c 9 s 64; 1969 c 854 s 9,10; 1971 c 942 s 13; 1979 c 181 s 16;
1983 c 372 s 35,36; 1986 c 444; 1989 c 209 art 2 s 1; 1996 c 417 s 31; 1997 c 66 s 61,79;
1998 c 265 s 5,6,33-35,45; 1999 c 107 s 16; 2001 c 175 s 9,52; 1Sp2003 c 3 art 2 s 20; 2004 c
183 s 13,14; 2005 c 112 art 2 s 8
268.0425 ELECTRONIC TRANSACTION PRESUMPTION.
If any electronic transaction is done under this chapter using an identification number or
code assigned an employer by the commissioner, the transaction is presumed as done by that
employer unless a preponderance of the available evidence displays clearly that it was not done
by that employer.
History: 2004 c 183 s 15,86
268.043 DETERMINATIONS OF COVERAGE.
(a) The commissioner, upon the commissioner's own motion or upon application of a person,
shall determine if that organization or person is an employer or whether services performed for
it constitute employment and covered employment, or whether the compensation for services
constitutes wages, and shall notify the person of the determination. The determination shall be
final unless the organization or person, within 30 calendar days after sending of the determination
by mail or electronic transmission, files a protest. Upon receipt of a protest, the commissioner shall
review all available evidence and determine whether an error has been made. The commissioner
shall send to the person, by mail or electronic transmission, an affirmation or redetermination. The
affirmation or redetermination shall be final unless, within 30 calendar days after sending of the
affirmation or redetermination to the person by mail or electronic transmission, an appeal is filed.
Proceedings on the appeal shall be conducted in accordance with section 268.105.
(b) No person shall be initially determined an employer, or that services performed for it
were in employment or covered employment, for periods more than four years prior to the year in
which the determination is made, unless the commissioner finds that there was fraudulent action
to avoid liability under this chapter.
History: 1995 c 54 s 2; 1996 c 417 s 4; 1997 c 66 s 79; 1998 c 265 s 7; 2004 c 183 s 16;
2005 c 112 art 2 s 9
268.0435 SINGLE MEMBER LIMITED LIABILITY COMPANIES.
If the only member of a limited liability company is a corporation, and the limited liability
company is disregarded for purposes of filing federal corporate income tax, all the workers
performing services for the limited liability company must be reported on the corporation's wage
detail report under section 268.044. A corporation that violates this section shall be subject to the
penalties under section 268.184, subdivision 1a. Penalties shall be credited to the administration
account to be used to ensure integrity in the unemployment insurance program.
History: 2005 c 112 art 1 s 1
268.044 WAGE REPORTING.
    Subdivision 1. Wage detail report. (a) Each employer that has employees in covered
employment shall submit, under the account provided for in section 268.045 or 268.046,
a quarterly wage detail report by electronic transmission, in a format prescribed by the
commissioner. The report shall include for each employee in covered employment, the employee's
name, Social Security number, the total wages paid to the employee, and total number of
paid hours worked. For employees exempt from the definition of employee in section 177.23,
subdivision 7
, clause (6), the employer shall report 40 hours worked for each week any duties
were performed by a full-time employee and shall report a reasonable estimate of the hours
worked for each week duties were performed by a part-time employee. In addition, the wage
detail report shall include the number of employees employed on the 12th day of each calendar
month and, if required by the commissioner, the report shall be broken down by business location
and, if section 268.046, subdivision 1, paragraph (b), or subdivision 2, paragraph (b), applies, by
separate unit. If the information required is not submitted in a manner and format prescribed by
the commissioner, it shall not be considered a wage detail report. The report is due and must be
received by the commissioner on or before the last day of the month following the end of the
calendar quarter. The commissioner may delay the due date on a specific calendar quarter in the
event the department is unable to accept wage detail reports electronically.
(b) The employer may report the wages paid to the next lower whole dollar amount.
(c) An employer need not include the name of the employee or other required information on
the wage detail report if disclosure is specifically exempted from being reported by federal law.
(d) A wage detail report must be submitted for each calendar quarter even though no wages
were paid, unless the employer has notified the commissioner, under section 268.042, subdivision
1
, paragraph (c), of termination of business.
    Subd. 1a. Electronic transmission of report required. Each employer must submit
the quarterly wage detail report by electronic transmission in a format prescribed by the
commissioner. The commissioner shall have the discretion to accept wage detail reports that are
submitted by any other means or the commissioner may return the report submitted by other than
electronic transmission to the employer, and reports returned shall be considered as not submitted
and the late fees under subdivision 2 may be imposed.
    Subd. 2. Failure to timely file report; late fees. (a) Any employer that fails to submit
the quarterly wage detail report when due shall pay a late fee of $10 per employee, computed
based upon the highest of:
(1) the number of employees reported on the last wage detail report submitted;
(2) the number of employees reported in the corresponding quarter of the prior calendar
year; or
(3) if no wage detail report has ever been submitted, the number of employees listed at
the time of employer registration.
The late fee shall be waived if the wage detail report is received within 30 calendar days
after a demand for the report is sent to the employer by mail or electronic transmission. A late fee
assessed an employer may not be waived more than twice each 12 months. The amount of the
late fee assessed shall not be less than $250.
(b) If the wage detail report is not received in a manner and format prescribed by the
commissioner within 30 calendar days after demand is sent under paragraph (a), the late fee
assessed under paragraph (a) shall double and a renewed demand notice and notice of the
increased late fee shall be sent to the employer by mail or electronic transmission.
(c) Late fees due under this subdivision may be compromised under section 268.067 where
good cause for late submission is found by the commissioner.
    Subd. 3. Missing or erroneous information. (a) Any employer that submits the wage detail
report, but fails to include all employee information or enters erroneous information, shall be
subject to an administrative service fee of $25 for each employee for whom the information is
partially missing or erroneous.
(b) Any employer that submits the wage detail report, but fails to include an employee, shall
be subject to an administrative service penalty equal to two percent of the total wages for each
employee for whom the information is completely missing.
(c) An administrative service fee or penalty under this subdivision shall be canceled if the
commissioner determines that the failure or error by the employer occurred because of ignorance
or inadvertence.
    Subd. 4. Fees. The fees provided for in subdivisions 2 and 3 are in addition to interest and
other penalties imposed by this chapter and shall be collected in the same manner as delinquent
taxes and shall be credited to the contingent account.
History: 1Sp1982 c 1 s 42; 1986 c 444; 1987 c 362 s 24; 1987 c 370 art 2 s 16; 1987 c 385 s
26; 1997 c 66 s 64,79,80; 1997 c 74 s 1; 1Sp1997 c 5 s 7; 1998 c 265 s 8; 1Sp2003 c 3 art 2 s
3,4; 2004 c 183 s 17-21; 2005 c 112 art 1 s 2,3; art 2 s 10,42
268.045 EMPLOYER TAX OR REIMBURSABLE ACCOUNTS.
    Subdivision 1. Account for each employer. The commissioner shall maintain (1) a
tax account for each taxpaying employer and (2) a reimbursable account for each nonprofit
or government employer that has elected under section 268.052 or 268.053 to be liable for
reimbursements, except as provided in section 268.046. The commissioner shall assess the tax
account for all the taxes due under section 268.051 and credit the tax account with all taxes
paid. The commissioner shall charge the reimbursable account for any unemployment benefits
determined chargeable under section 268.047 and shall credit the reimbursable account with
the payments made.
    Subd. 2.[Repealed, 2005 c 112 art 1 s 16]
    Subd. 3.[Repealed, 2005 c 112 art 1 s 16]
    Subd. 4.[Repealed, 2005 c 112 art 1 s 16]
History: Ex1936 c 2 s 4; 1937 c 306 s 2; 1939 c 443 s 3; 1941 c 554 s 3; 1943 c 650 s 2;
1945 c 376 s 3; 1947 c 32 s 1-8; 1947 c 432 s 3-5,11; 1947 c 600 s 7; 1949 c 526 s 1; 1949 c 605 s
3-6,17,18; 1951 c 442 s 2; 1953 c 97 s 5,6,8; 1953 c 288 s 1; 1955 c 380 s 2-4,6; 1957 c 25 s 1;
1957 c 873 s 2; 1959 c 702 s 2-4; 1965 c 45 s 40; 1965 c 741 s 6-11; 1967 c 573 s 3; 1967 c 617 s
1; 1967 c 856 s 1; 1969 c 3 s 1; 1969 c 567 s 3; 1969 c 854 s 6; 1971 c 860 s 1; 1971 c 942 s 3-6;
1973 c 254 s 3; 1973 c 599 s 2-4; 1975 c 336 s 6-10; 1977 c 4 s 4,5; 1977 c 297 s 6-11; 1977 c
430 s 25 subd 1; 1977 c 455 s 82; 1978 c 674 s 60; 1979 c 181 s 4-8; 1980 c 508 s 2-7; 1Sp1982 c
1 s 5-12; 1983 c 216 art 1 s 87; 1983 c 247 s 112; 1983 c 372 s 9-15; 1985 c 248 s 70; 1Sp1985 c
14 art 9 s 75; 1986 c 444; 1986 c 451 s 1; 1987 c 242 s 1; 1987 c 362 s 9-12; 1987 c 385 s 10-18;
1989 c 65 s 3-5; 1989 c 209 art 2 s 1; 1992 c 484 s 4-7; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c 54
s 3-7; 1996 c 417 s 5-7,31; 1997 c 66 s 19,26,79; 1998 c 265 s 9; 1999 c 107 s 17; 2000 c 343 s 4;
2001 c 175 s 10; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 22; 2005 c 112 art 1 s 4
268.046 TAX AND REIMBURSABLE ACCOUNTS ASSIGNED TO EMPLOYEE
LEASING COMPANIES, PROFESSIONAL EMPLOYER ORGANIZATIONS, OR
SIMILAR PERSON.
    Subdivision 1. Tax accounts assigned. (a) Any person that contracts with a taxpaying
employer to have that person obtain the taxpaying employer's workforce and provide workers to
the taxpaying employer for a fee shall, as of the effective date of the contract, be assigned for the
duration of the contract the taxpaying employer's account under section 268.045. That tax account
must be maintained by the person separate and distinct from every other tax account held by the
person and identified in a manner prescribed by the commissioner. The tax account shall, for the
duration of the contract, be considered that person's account for all purposes of this chapter. The
workers obtained from the taxpaying employer and any other workers provided by that person
to the taxpaying employer must, under section 268.044, be reported on the wage detail report
under that tax account, and that person shall pay any taxes due at the tax rate computed for that
account under section 268.051, subdivision 2.
(b) Any workers of the taxpaying employer who are not covered by the contract under
paragraph (a) must be reported by the taxpaying employer as a separate unit on the wage detail
report under the tax account assigned under paragraph (a). Taxes and any other amounts due on
the wages reported by the taxpaying employer under this paragraph may be paid directly by the
taxpaying employer.
(c) If the taxpaying employer that contracts with a person under paragraph (a) does not have
a tax account at the time of the execution of the contract, an account must be registered for the
taxpaying employer under section 268.042 and the new employer tax rate under section 268.051,
subdivision 5
, must be assigned. The tax account shall then be assigned to the person as provided
for in paragraph (a).
(d) A person that contracts with a taxpaying employer under paragraph (a) must, within 30
calendar days of the execution or termination of a contract, notify the commissioner by electronic
transmission, in a format prescribed by the commissioner, of that execution or termination. The
taxpaying employer's name, the account number assigned, and any other information required by
the commissioner must be provided by that person.
(e) Any contract subject to paragraph (a) must specifically inform the taxpaying employer
of the assignment of the tax account under this section and the taxpaying employer's obligation
under paragraph (b). If there is a termination of the contract, the tax account shall, as of the date
of termination, immediately be assigned to the taxpaying employer.
    Subd. 2. Nonprofit and government reimbursable accounts assigned. (a) Any person that
contracts with a nonprofit or government employer that is a reimbursing employer to have that
person obtain the nonprofit or government employer's workforce and provide workers to the
nonprofit or government employer for a fee, shall, as of the effective date of the contract, be
assigned for the duration of the contract the nonprofit or government employer's account under
section 268.045. That reimbursable account must be maintained by the person separate and
distinct from every other account held by the person and identified in a manner prescribed by the
commissioner. That reimbursable account shall, for the duration of the contract, be considered
that person's account for all purposes of this chapter. The workers obtained from the nonprofit
or government employer and any other workers provided by that person to the nonprofit or
government employer must, under section 268.044, be reported on the wage detail report under
that reimbursable account, and that person shall pay any reimbursements due.
(b) Any workers of the nonprofit or government employer who are not covered by the
contract under paragraph (a) must be reported by the nonprofit or government employer as a
separate unit on the wage detail report under the reimbursable account assigned under paragraph
(a). Reimbursements and any other amounts due on the wages reported by the nonprofit or
government employer under this paragraph may be paid directly by the nonprofit or government
employer.
(c) If the nonprofit or government employer that contracts with a person under paragraph
(a) does not have an account at the time of the execution of the contract, an account must be
registered for the nonprofit or government employer under section 268.042. The reimbursable
account shall then be assigned to the person as provided for in paragraph (a).
(d) A person that contracts with a nonprofit or government employer under paragraph
(a) must, within 30 calendar days of the execution or termination of a contract, notify the
commissioner of that execution or termination by electronic transmission, in a format prescribed
by the commissioner. The nonprofit or government employer's name, the account number
assigned, and any other information required by the commissioner must be provided by that
person.
(e) Any contract subject to paragraph (a) must specifically inform the nonprofit or
government employer of the assignment of the reimbursable account under this section and the
nonprofit or government employer's obligation under paragraph (b). If there is a termination of the
contract, the reimbursable account shall, as of the date of termination, immediately be assigned to
the nonprofit or government employer.
    Subd. 3. Penalties; application. (a) Any person that violates the requirements of this section
and any taxpaying employer that violates subdivision 1, paragraph (b), or any nonprofit or
government employer that violates subdivision 2, paragraph (b), shall be subject to the penalties
under section 268.184, subdivision 1a. Penalties shall be credited to the administration account to
be used to ensure integrity in the unemployment insurance program.
(b) Section 268.051, subdivision 4, does not apply to contracts under this section. This
section shall not limit or prevent the application of section 268.051, subdivision 4, to any other
transactions or acquisitions involving the taxpaying employer. This section shall not limit or
prevent the application of section 268.051, subdivision 4a.
(c) An assignment of an account upon the execution of a contract under this section
and a termination of a contract with the corresponding assignment of the account shall not be
considered a separation from employment of any worker covered by the contract. Nothing under
this subdivision shall cause the person to be liable for any amounts past due under this chapter
from the taxpaying employer or the nonprofit or government employer.
(d) This section applies to, but is not limited to, persons registered under section 79.255,
but does not apply to persons that obtain an exemption from registration under section 79.255,
subdivision 9
.
History: 2005 c 112 art 1 s 5
268.047 EFFECT ON AN EMPLOYER OF UNEMPLOYMENT BENEFITS PAID.
    Subdivision 1. General rule. Unemployment benefits paid to an applicant, including
extended, additional, and shared work benefits, shall be used in computing the future tax rate of a
taxpaying base period employer or charged to the reimbursable account of a base period nonprofit
or government employer that has elected to be liable for reimbursements except as provided in
subdivisions 2 and 3. The amount of unemployment benefits used in computing the future tax
rate of taxpaying employers or charged to the reimbursable account of a nonprofit or government
employer that has elected to be liable for reimbursements shall be the same percentage of the total
amount of unemployment benefits paid as the percentage of wage credits from the employer is of
the total amount of wage credits from all the applicant's base period employers.
In making computations under this subdivision, the amount of wage credits, if not a whole
dollar, shall be computed to the nearest whole dollar.
    Subd. 2. Exceptions for all employers. Unemployment benefits paid shall not be used in
computing the future tax rate of a taxpaying base period employer or charged to the reimbursable
account of a base period nonprofit or government employer that has elected to be liable for
reimbursements when:
(1) the applicant was discharged from the employment because of aggravated employment
misconduct as determined under section 268.095. This exception shall apply only to
unemployment benefits paid for periods after the applicant's discharge from employment;
(2) an applicant's discharge from that employment occurred because a law required removal
of the applicant from the position the applicant held;
(3) the employer provided regularly scheduled part-time employment to the applicant during
the applicant's base period and continues to provide the applicant with regularly scheduled
part-time employment during the benefit year of at least 90 percent of the part-time employment
provided in the base period, and is an involved employer because of the applicant's loss of other
employment. This exception shall terminate effective the first week that the employer fails to meet
the benefit year employment requirements. This exception shall apply to educational institutions
without consideration of the period between academic years or terms;
(4) the employer is a fire department or firefighting corporation or operator of a life-support
transportation service, and continues to provide employment for the applicant as a volunteer
firefighter or a volunteer ambulance service personnel during the benefit year on the same basis
that employment was provided in the base period. This exception shall terminate effective the first
week that the employer fails to meet the benefit year employment requirements;
(5) the applicant's unemployment from this employer was a direct result of the condemnation
of property by a governmental agency, a fire, flood, or act of nature, where 25 percent or more of
the employees employed at the affected location, including the applicant, became unemployed
as a result. This exception shall not apply where the unemployment was a direct result of the
intentional act of the employer or a person acting on behalf of the employer;
(6) the unemployment benefits were paid by another state as a result of the transferring of
wage credits under a combined wage arrangement provided for in section 268.131;
(7) the applicant stopped working because of a labor dispute at the applicant's primary place
of employment if the employer was not a party to the labor dispute;
(8) the unemployment benefits were determined overpaid unemployment benefits under
section 268.18; or
(9) the trust fund was reimbursed for the unemployment benefits by the federal government.
    Subd. 3. Exceptions for taxpaying employers. Unemployment benefits paid shall not be
used in computing the future tax rate of a taxpaying base period employer when:
(1) the applicant's wage credits from that employer are less than $500;
(2) the applicant quit the employment, unless it was determined under section 268.095, to
have been because of a good reason caused by the employer or because the employer notified the
applicant of discharge within 30 calendar days. This exception shall apply only to unemployment
benefits paid for periods after the applicant's quitting the employment; or
(3) the employer discharged the applicant from employment because of employment
misconduct as determined under section 268.095. This exception shall apply only to
unemployment benefits paid for periods after the applicant's discharge from employment.
    Subd. 4. Limitation on exceptions. Regardless of subdivisions 2 and 3, an exception
under those subdivisions will be limited in accordance with section 268.101, subdivision 2,
paragraph (b).
    Subd. 5. Notice of unemployment benefits paid. (a) The commissioner shall notify each
employer at least quarterly by mail or electronic transmission of the unemployment benefits paid
each applicant that will be used in computing the future tax rate of a taxpaying employer, or that
have been charged to the reimbursable account of a nonprofit or government employer that
has elected to be liable for reimbursements.
(b) A notice under this subdivision shall not be subject to protest or appeal. The commissioner
may at any time upon the commissioner's own motion correct any error that resulted in an
incorrect notice under paragraph (a) and issue a corrected notice.
History: 1997 c 66 s 10,16,79; 1998 c 265 s 10-12; 1999 c 107 s 18-21,66; 2000 c 343 s
4; 2001 c 175 s 11; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 23
268.048 [Expired, 1997 c 80 s 3]
268.05 [Renumbered 268.194]
268.051 EMPLOYERS TAXES.
    Subdivision 1. Payments. (a) Unemployment insurance taxes and any additional
assessments, fees, or surcharges shall accrue and become payable by each employer for each
calendar year on the taxable wages that the employer paid to employees in covered employment,
except for:
(1) nonprofit organizations that elect to make reimbursements as provided in section
268.053; and
(2) the state of Minnesota and political subdivisions that make reimbursements, unless they
elect to pay taxes as provided in section 268.052.
Except as allowed under section 268.0511, each employer shall pay taxes quarterly, at the
employer's assigned tax rate under subdivision 6, on the taxable wages paid to each employee.
The commissioner shall compute the tax due from the wage detail report required under section
268.044 and notify the employer of the tax due. The taxes and any additional assessments, fees, or
surcharges shall be paid to the trust fund and must be received by the department on or before the
last day of the month following the end of the calendar quarter.
(b) The tax amount computed, if not a whole dollar, shall be rounded down to the next
lower whole dollar.
(c) If for any reason the wages on the wage detail report under section 268.044 are adjusted
for any quarter, the commissioner shall recompute the taxes due for that quarter and assess the
employer for any amount due or credit the employer as appropriate.
    Subd. 1a. Payments by electronic payment required. (a) Every employer that reports 500 or
more employees in any calendar quarter on the wage detail report required under section 268.044
shall make any payments due under this chapter and section 116L.20 by electronic payment.
(b) All third-party processors, paying quarterly taxes on behalf of a client company, shall
make any payments due under this chapter and section 116L.20 by electronic payment.
(c) Regardless of paragraph (a) or (b), the commissioner shall have discretion to accept
payment by other means.
    Subd. 2. Computation of tax rates; additional assessments. (a) For each calendar year
the commissioner shall compute the tax rate of each taxpaying employer that qualifies for an
experience rating by adding the base tax rate to the employer's experience rating.
(b) The base tax rate for the calendar year and any additional assessments under this
subdivision shall be determined based upon the amount in the trust fund on March 31 of the prior
year as a percentage of total wages paid in covered employment. The base tax rate shall be:
(1) one-tenth of one percent if the trust fund is equal to or more than 0.75 percent;
(2) two-tenths of one percent if the trust fund is less than 0.75 percent but equal to or more
than 0.65 percent;
(3) three-tenths of one percent if the trust fund is less than 0.65 percent but equal to or
more than 0.55 percent; or
(4) four-tenths of one percent if the trust fund is less than 0.55 percent.
(c) There shall be a "falling trust fund adjustment" to the base tax rate for the calendar year if
the amount in the trust fund on March 31 of the prior year is less than 0.75 percent of total wages
paid in covered employment and:
(1) the amount in the trust fund on March 31 of the prior year is ten percent or more below
the amount in the trust fund on March 31 of the year prior to that; or
(2) the amount in the trust fund on March 31 of the prior year is greater than the amount in
the trust fund on June 30 of that same year.
If a "falling trust fund adjustment" is applicable, then the base tax rate shall be 0.1 percent greater
than otherwise provided for under paragraph (b).
(d) In addition to the base tax rate under paragraph (b), there shall be an additional
assessment for the calendar year on all quarterly unemployment taxes due from every taxpaying
employer if the amount in the trust fund on March 31 of the prior year is less than .55 percent of
total wages paid in covered employment. The assessment shall be as follows:
(1) a five percent assessment if the trust fund is less than 0.55 percent but equal to or more
than 0.45 percent;
(2) a ten percent assessment if the trust fund is less than 0.45 percent but equal to or more
than 0.35 percent; or
(3) a 14 percent assessment if the trust fund is less than 0.35 percent.
(e) For the purposes of this subdivision, the trust fund shall not include any money borrowed
from the federal unemployment trust fund pursuant to section 268.194, subdivision 6.
(f) For the purposes of this subdivision, total wages paid in covered employment shall be
those wages paid to all employees in covered employment during the calendar year prior to the
March 31 date used in paragraph (b).
(g) The commissioner may compute any assessment under this subdivision, and any
assessment under subdivision 8, as a percentage of the employer's experience rating and the base
tax rate, rounded to the nearest hundredth of a percent.
On tax rate notices sent under subdivision 6, any assessments under this subdivision may be
combined with any special assessments for interest on federal loans provided for in subdivision 8
into a single combined assessment.
    Subd. 3. Computation of a taxpaying employer's experience rating. (a) On or before each
December 15, the commissioner shall compute an experience rating for each taxpaying employer
who has been subject to paying unemployment taxes for the 12 calendar months ending on the
prior June 30. The experience rating computed shall be applicable for the following calendar year.
The experience rating shall be the ratio obtained by dividing 125 percent of the total
unemployment benefits required under section 268.047 to be used in computing the employer's
tax rate during the 48 calendar months ending on the prior June 30, by the employer's total taxable
payroll for that same period.
(b) The experience rating shall be computed to the nearest one-hundredth of a percent, to a
maximum of 8.90 percent.
    Subd. 4. Experience rating history transfer. (a) When:
(1) a taxpaying employer acquires all of the organization, trade or business, or workforce
of another taxpaying employer; and
(2) there is 25 percent or more common ownership or there is substantially common
management or control between the predecessor and successor, the experience rating history of the
predecessor employer shall be transferred as of the date of acquisition to the successor employer.
(b) When:
(1) a taxpaying employer acquires a portion, but less than all, of the organization, trade or
business, or workforce of another taxpaying employer; and
(2) there is 25 percent or more common ownership or there is substantially common
management or control between the predecessor and successor, the successor employer shall
acquire, as of the date of acquisition, the experience rating history attributable to the portion it
acquired, and the predecessor employer shall retain the experience rating history attributable to
the portion that it has retained. If the commissioner determines that sufficient information is
not available to substantiate that a distinct severable portion was acquired and to assign the
appropriate distinct severable portion of the experience rating history, the commissioner shall
assign the successor employer that percentage of the predecessor employer's experience rating
history equal to that percentage of the employment positions it has obtained, and the predecessor
employer shall retain that percentage of the experience rating history equal to the percentage
of the employment positions it has retained.
(c) The term "common ownership" for purposes of this subdivision includes ownership by
a spouse, parent, grandparent, child, grandchild, brother, sister, aunt, uncle, niece, nephew, or
first cousin, by birth or by marriage.
(d) Each successor employer that is subject to paragraph (a) or (b) must notify the
commissioner of the acquisition by electronic transmission, in a format prescribed by the
commissioner, within 30 calendar days of the date of acquisition. Any successor employer that
fails to notify the commissioner is subject to the penalties under section 268.184, subdivision 1a,
if the successor's experience rating was lower than the predecessor's experience rating at the time
of the acquisition. Penalties shall be credited to the administration account to be used to ensure
integrity in the unemployment insurance program.
(e) If the successor employer under paragraphs (a) and (b) had an experience rating at the
time of the acquisition, the transferred experience rating history of the predecessor shall be
combined with the successor's experience rating history, as of the date of acquisition, for purposes
of recomputing a tax rate.
(f) If there has been a transfer of an experience rating history under paragraph (a) or (b),
employment with a predecessor employer shall not be considered to have been terminated if
similar employment is offered by the successor employer and accepted by the employee.
(g) The commissioner, upon notification of an employer, or upon the commissioner's own
motion if the employer fails to provide the required notification, shall determine if an employer is
a successor within the meaning of this subdivision. The commissioner shall, after determining the
issue of succession or nonsuccession, recompute the tax rate under subdivision 6 of all employers
affected. The commissioner shall send the recomputed tax rate to all affected employers by
mail or electronic transmission. Any affected employer may protest the recomputed tax rate in
accordance with the procedures in subdivision 6, paragraph (c).
(h) The "experience rating history" for purposes of this subdivision and subdivision 4a means
those factors set out in subdivision 3, paragraph (b), that make up an experience rating.
For purposes of this chapter, an "acquisition" means anything that results in the obtaining
by the successor employer, in any way or manner, of the organization, trade or business, or
workforce of the predecessor employer.
A "distinct severable portion" in paragraph (b) means a location or unit separately identifiable
within the employer's wage detail report under section 268.044.
(i) Regardless of the ownership, management, or control requirements of paragraph (a), if
there is an acquisition or merger of a publicly held corporation by or with another publicly held
corporation the experience rating histories of the corporations shall be combined as of the date of
acquisition or merger for the purpose of recomputing a tax rate.
    Subd. 4a. Actions that avoid taxes. (a) If the commissioner determines that any action was
done, in whole or in part, to avoid:
(1) an experience rating history;
(2) the transfer of an experience rating history; or
(3) the assignment of a tax rate for new employers under subdivision 5, paragraph (a) or
(b), the commissioner, to insure that the trust fund receives all the taxes that would have been
received had the action not occurred, may, effective the date of the action, transfer all or part of
an experience rating history and recompute the tax rate or assign the appropriate new employer
tax rate.
(b) This subdivision shall apply to any action between persons regardless of whether there
is any commonality of ownership, management, or control between the persons. The authority
granted to the commissioner under this subdivision is in addition to any other authority granted
to the commissioner.
    Subd. 5. Tax rate for new employers. (a) Each new taxpaying employer that does not
qualify for an experience rating under subdivision 3, except new employers in a high experience
rating industry, shall be assigned, for a calendar year, a tax rate the higher of (1) one percent, or
(2) the tax rate computed, to the nearest one-hundredth of a percent, by dividing the total amount
of unemployment benefits paid all applicants during the 48 calendar months ending on June 30 of
the prior calendar year by the total taxable wages of all taxpaying employers during the same
period, plus the applicable base tax rate and any additional assessments under subdivision 2,
paragraph (d).
(b) Each new taxpaying employer in a high experience rating industry that does not qualify
for an experience rating under subdivision 3, shall be assigned, for a calendar year, a tax rate of
8.00 percent, plus the applicable base tax rate and any additional assessments under subdivision 2,
paragraph (d).
An employer is considered to be in a high experience rating industry if:
(1) the employer is engaged in residential, commercial, or industrial construction, including
general contractors;
(2) the employer is engaged in sand, gravel, or limestone mining;
(3) the employer is engaged in the manufacturing of concrete, concrete products, or asphalt;
or
(4) the employer is engaged in road building, repair, or resurfacing, including bridge and
tunnels and residential and commercial driveways and parking lots.
(c) The commissioner shall send to the new employer, by mail or electronic transmission,
notice of the tax rate assigned. An employer may protest the assignment of a tax rate in accordance
with the procedures in subdivision 6, paragraph (c).
    Subd. 6. Notice of tax rate. (a) On or before each December 15, the commissioner shall
notify each employer by mail or electronic transmission of the employer's tax rate, along with
any additional assessments, fees, or surcharges, for the following calendar year. The notice shall
contain the base tax rate and the factors used in determining the employer's experience rating.
Unless a protest of the tax rate is made, the computed tax rate shall be final, except for fraud or
recomputation required under subdivision 4 or 4a, and shall be the rate at which taxes shall be
paid. A recomputed tax rate under subdivision 4 or 4a shall be the rate applicable for the quarter
that includes the date of acquisition and any quarter thereafter during the calendar year in which
the acquisition occurred. The tax rate shall not be subject to collateral attack by way of claim for
a credit adjustment or refund, or otherwise.
(b) If the legislature, subsequent to the sending of the tax rate, changes any of the factors
used to determine the rate, a new tax rate based on the new factors shall be computed and sent
to the employer.
(c) A review of an employer's tax rate may be obtained by the employer filing a protest
within 30 calendar days from the date the tax rate notice was sent to the employer. Upon receipt
of the protest, the commissioner shall review the tax rate to determine whether or not there has
been any error in computation or assignment of the tax rate. The commissioner shall either affirm
or make a redetermination of the rate and a notice of the affirmation or redetermination shall be
sent to the employer by mail or electronic transmission. The affirmation or redetermination shall
be final unless the employer files an appeal within 30 calendar days after the date the affirmation
or redetermination was sent. Proceedings on the appeal shall be conducted in accordance with
section 268.105.
(d) The commissioner may at any time upon the commissioner's own motion correct any
error in the computation or the assignment of an employer's tax rate.
    Subd. 7. Tax rate buydown. (a) Any taxpaying employer who has been assigned a tax rate
based upon an experience rating, and has no amounts past due under this chapter, may, upon the
voluntary payment of an amount equivalent to any portion or all of the unemployment benefits
used in computing the experience rating plus a surcharge of 25 percent, obtain a cancellation of
unemployment benefits used equal to the payment made, less the surcharge. Upon the payment,
the commissioner shall compute a new experience rating for the employer, and compute a new
tax rate.
(b) Voluntary payments may be made only by electronic payment and must be received within
120 calendar days from the beginning of the calendar year for which the tax rate is effective.
    Subd. 8. Special assessment for interest on federal loan. (a) If on October 31 of any
year, the commissioner, in consultation with the commissioner of finance, determines that an
interest payment will be due during the following calendar year on any loan from the federal
unemployment trust fund under section 268.194, subdivision 6, a special assessment on taxpaying
employers will be in effect for the following calendar year. The legislature authorizes the
commissioner, in consultation with the commissioner of finance, to determine the appropriate
level of the assessment, from two percent to eight percent of the quarterly unemployment taxes
due, that will be necessary to pay the interest due on the loan.
(b) The special assessment shall be placed into a special account from which the
commissioner shall pay any interest that has accrued on any loan from the federal unemployment
trust fund provided for under section 268.194, subdivision 6. If, at the end of each calendar
quarter, the commissioner, in consultation with the commissioner of finance, determines that the
balance in this special account, including interest earned on the special account, is more than is
necessary to pay the interest which has accrued on any loan as of that date, or will accrue over the
following calendar quarter, the commissioner shall immediately pay to the trust fund the amount
in excess of that necessary to pay the interest on any loan.
    Subd. 9. Assessments, fees, and surcharges; treatment. Any assessment, fee, or surcharge
imposed under the Minnesota Unemployment Insurance Law shall be treated the same as, and
considered as, a tax. Any assessment, fee, or surcharge shall be subject to the same collection
procedures that apply to past due taxes.
History: Ex1936 c 2 s 4; 1937 c 306 s 2; 1939 c 443 s 3; 1941 c 554 s 3; 1943 c 650 s 2;
1945 c 376 s 3; 1947 c 32 s 1-8; 1947 c 432 s 3-5,11; 1947 c 600 s 7; 1949 c 526 s 1; 1949 c 605 s
3-6,17,18; 1951 c 442 s 2; 1953 c 97 s 5,6,8; 1953 c 288 s 1; 1955 c 380 s 2-4,6; 1957 c 25 s 1;
1957 c 873 s 2; 1959 c 702 s 2-4; 1965 c 45 s 40; 1965 c 741 s 6-11; 1967 c 573 s 3; 1967 c 617 s
1; 1967 c 856 s 1; 1969 c 3 s 1; 1969 c 567 s 3; 1969 c 854 s 6; 1971 c 860 s 1; 1971 c 942 s 3-6;
1973 c 254 s 3; 1973 c 599 s 2-4; 1975 c 336 s 6-10; 1977 c 4 s 4,5; 1977 c 297 s 6-11; 1977 c
430 s 25 subd 1; 1977 c 455 s 82; 1978 c 674 s 60; 1979 c 181 s 4-8; 1980 c 508 s 2-7; 1Sp1982 c
1 s 5-12; 1983 c 216 art 1 s 87; 1983 c 247 s 112; 1983 c 372 s 9-15; 1985 c 248 s 70; 1Sp1985 c
14 art 9 s 75; 1986 c 444; 1986 c 451 s 1; 1987 c 242 s 1; 1987 c 362 s 9-12; 1987 c 385 s 10-18;
1989 c 65 s 3-5; 1989 c 209 art 2 s 1; 1992 c 484 s 4-7; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c
54 s 3-7; 1996 c 417 s 5-7,31; 1997 c 66 s 11-15,17,18,20,21,79; 1998 c 265 s 13; 1999 c 107 s
23-28,66; 2000 c 343 s 4; 2001 c 175 s 12-15; 2002 c 380 art 1 s 1; 1Sp2003 c 3 art 1 s 1-6; art
2 s 20; 2004 c 183 s 24-30; 2005 c 112 art 1 s 6-9; art 2 s 11
268.0511 ANNUAL PAYMENT OF SMALL LIABILITIES.
(a) An employer may pay all taxes, surcharges, and assessments due under this chapter and
section 116L.20, except late fees under section 268.044, for any calendar year on an annual
basis if the employer:
(1) has an experience rating of zero for that calendar year;
(2) had total taxable wages paid in the 12-month period ending the prior June 30 of less than
five times the state's taxable wage base; and
(3) has no delinquent amounts due under this chapter or section 116L.20.
(b) All amounts due under this section for any calendar year shall be paid on or before
the following January 31.
History: 1997 c 66 s 80; 1997 c 80 s 2; 2004 c 183 s 31
268.052 PAYMENT TO TRUST FUND BY STATE AND POLITICAL SUBDIVISIONS.
    Subdivision 1. Payments. In lieu of taxes payable on a quarterly basis, the state of Minnesota
or its political subdivisions shall reimburse the trust fund the amount of unemployment benefits
charged to its reimbursable account under section 268.047. Reimbursements in the amount of
unemployment benefits charged to the reimbursable account during a calendar quarter must be
received by the department on or before the last day of the month following the month that the
notice of unemployment benefits paid is sent pursuant to section 268.047, subdivision 5. Past
due reimbursements shall be subject to the same interest charges and collection procedures that
apply to past due taxes.
    Subd. 2. Election by state or political subdivision to be a taxpaying employer. (a) The
state or political subdivision may elect to be a taxpaying employer for any calendar year if a
notice of election is filed within 30 calendar days following January 1 of that calendar year. Upon
election, the state or political subdivision shall be assigned the new employer tax rate under
section 268.051, subdivision 5, for the calendar year of the election and until it qualifies for an
experience rating under section 268.051, subdivision 3.
(b) An election shall be for a minimum period of two calendar years following the effective
date of the election and continue unless a notice terminating the election is filed not later than
30 calendar days before the beginning of the calendar year. The termination shall be effective
at the beginning of the next calendar year. Upon election, the commissioner shall establish a
reimbursable account for the state or political subdivision. A termination of election shall be
allowed only if the state or political subdivision has, since the beginning of the experience rating
period under section 268.051, subdivision 3, paid taxes equal to or more than 125 percent of the
unemployment benefits used in computing the experience rating. In addition, any unemployment
benefits paid after the experience rating period shall be transferred to the new reimbursable
account of the state or political subdivision. If the amount of taxes paid since the beginning of the
experience rating period exceeds 125 percent of the amount of unemployment benefits paid during
the experience rating period, that amount in excess shall be applied against any unemployment
benefits paid after the experience rating period.
(c) The method of payments to the trust fund under subdivisions 3 and 4 shall apply to all
taxes paid by or due from the state or political subdivision that elects to be taxpaying employers
under this subdivision.
(d) A notice of election or a notice terminating election shall be filed by electronic
transmission in a format prescribed by the commissioner.
    Subd. 3. Method of payment by state. To discharge its liability, the state and its wholly
owned instrumentalities shall pay the trust fund as follows:
(1) Every self-sustaining department, institution and wholly owned instrumentality shall pay
the trust fund in accordance with subdivision 1. For the purposes of this clause a "self-sustaining
department, institution or wholly owned instrumentality" is one where the dedicated income and
revenue substantially offsets its cost of operation.
(2) Every partially self-sustaining department, institution and wholly owned instrumentality
shall pay the trust fund that same proportion of the amount that has been charged to its employer
account as the proportion of the total of its income and revenue is to its annual cost of operation.
(3) Every department, institution or wholly owned instrumentality that is not self-sustaining
shall pay the trust fund to the extent funds are available from appropriated funds.
(4) The departments, institutions and wholly owned instrumentalities, including the
University of Minnesota, that have money available shall pay the trust fund in accordance with
subdivision 1. If an applicant was paid during the base period from a special account provided by
law, the payment to the trust fund shall be made from the special account with the approval of the
Department of Administration and the amounts are hereby appropriated.
(5) For those departments, institutions and wholly owned instrumentalities that cannot
pay the trust fund, the commissioner shall certify on November 1 of each calendar year to the
commissioner of finance the unpaid balances. Upon receipt of the certification, the commissioner
of finance shall include the unpaid balances in the biennial budget submitted to the legislature.
    Subd. 4. Method of payment by political subdivision. A political subdivision or
instrumentality thereof is authorized and directed to pay its liabilities by money collected from
taxes or other revenues. Every political subdivision authorized to levy taxes except school
districts may include in its tax levy the amount necessary to pay its liabilities. School districts
may levy according to section 126C.43, subdivision 2. If the taxes authorized to be levied
cause the total amount of taxes levied to exceed any limitation upon the power of a political
subdivision to levy taxes, the political subdivision may levy taxes in excess of the limitations in
the amounts necessary to meet its liability. The expenditures authorized shall not be included in
computing the cost of government as defined in any home rule charter. The governing body of
a municipality, for the purpose of meeting its liabilities, in the event of a deficit, may issue its
obligations payable in not more than two years, in an amount that may cause its indebtedness
to exceed any statutory or charter limitations, without an election, and may levy taxes in the
manner provided in section 475.61.
    Subd. 5. Considered an election. If the state of Minnesota or its political subdivisions
choose not to be a taxpaying employer under subdivision 2, the state or its political subdivision
shall be considered, for purposes of the Minnesota unemployment insurance program, to have
elected to be liable for reimbursements under subdivision 1.
History: Ex1936 c 2 s 4; 1937 c 306 s 2; 1939 c 443 s 3; 1941 c 554 s 3; 1943 c 650 s 2;
1945 c 376 s 3; 1947 c 32 s 1-8; 1947 c 432 s 3-5,11; 1947 c 600 s 7; 1949 c 526 s 1; 1949 c 605 s
3-6,17,18; 1951 c 442 s 2; 1953 c 97 s 5,6,8; 1953 c 288 s 1; 1955 c 380 s 2-4,6; 1957 c 25 s 1;
1957 c 873 s 2; 1959 c 702 s 2-4; 1965 c 45 s 40; 1965 c 741 s 6-11; 1967 c 573 s 3; 1967 c 617
s 1; 1967 c 856 s 1; 1969 c 3 s 1; 1969 c 567 s 3; 1969 c 854 s 6; 1971 c 860 s 1; 1971 c 942
s 3-6; 1973 c 254 s 3; 1973 c 599 s 2-4; 1975 c 336 s 6-10; 1977 c 4 s 4,5; 1977 c 297 s 6-11;
1977 c 430 s 25 subd 1; 1977 c 455 s 82; 1978 c 674 s 60; 1979 c 181 s 4-8; 1980 c 508 s 2-7;
1Sp1982 c 1 s 5-12; 1983 c 216 art 1 s 87; 1983 c 247 s 112; 1983 c 372 s 9-15; 1985 c 248 s 70;
1Sp1985 c 14 art 9 s 75; 1986 c 444; 1986 c 451 s 1; 1987 c 242 s 1; 1987 c 362 s 9-12; 1987 c
385 s 10-18; 1989 c 65 s 3-5; 1989 c 209 art 2 s 1; 1992 c 484 s 4-7; 1994 c 483 s 1; 1994 c
488 s 8; 1995 c 54 s 3-7; 1996 c 417 s 5-7,31; 1997 c 66 s 22-24,27,79,80; 1999 c 107 s 29,66;
2000 c 343 s 4; 2001 c 175 s 16-18; 2002 c 379 art 1 s 61; 1Sp2003 c 3 art 2 s 5,20; 1Sp2003
c 9 art 5 s 27,28; 2004 c 183 s 32,33; 2005 c 112 art 2 s 12
268.0525 INDIAN TRIBES.
(a) An Indian tribe, as defined under United States Code, title 25, section 450b(e) of the
Indian Self-Determination and Education Assistance Act, and any subdivision, subsidiary, or
business enterprise owned by the Indian tribe, shall be treated the same as the state of Minnesota,
or a political subdivision of the state, for all purposes of the Minnesota Unemployment Insurance
Law.
(b) The Indian tribe may make separate elections under section 268.052, subdivision 2, for
itself and each subdivision, subsidiary, or business enterprise wholly owned by the Indian tribe.
(c) If an Indian tribe, subdivision, subsidiary, or business enterprise wholly owned by the
tribe, which has elected to be liable for reimbursements, fails to make the required payments
within 90 days of the notice of delinquency, the commissioner shall terminate the election to make
reimbursements as of the beginning of the next calendar year, unless all past due reimbursements,
and any interest and penalties, have been paid before the beginning of the next calendar year.
An Indian tribe, subdivision, subsidiary, or business enterprise wholly owned by the tribe that
has its election terminated under this paragraph shall become a taxpaying employer and assigned
the new employer tax rate under section 268.051, subdivision 5, until the tribe, subdivision,
subsidiary, or business enterprise wholly owned by the Indian tribe qualifies for an experience
rating under section 268.051, subdivision 3.
History: 2001 c 175 s 19; 1Sp2003 c 3 art 2 s 20
268.053 PAYMENT TO TRUST FUND BY NONPROFIT ORGANIZATIONS.
    Subdivision 1. Election. (a) Any nonprofit organization that has employees in covered
employment shall pay taxes on a quarterly basis pursuant to section 268.051 unless it elects to
make reimbursements to the trust fund the amount of unemployment benefits charged to its
reimbursable account under section 268.047.
The organization may elect to make reimbursements for a period of not less than two
calendar years beginning with the date that the organization was determined to be an employer
with covered employment by filing a notice of election not later than 30 calendar days after the
date of the determination.
(b) Any nonprofit organization that makes an election will continue to be liable for
reimbursements until it files a notice terminating its election not later than 30 calendar days before
the beginning of the calendar year the termination is to be effective.
(c) A nonprofit organization that has been making reimbursements that files a notice of
termination of election shall be assigned the new employer tax rate under section 268.051,
subdivision 5
, for the calendar year of the termination of election and until it qualifies for an
experience rating under section 268.051, subdivision 3.
(d) Any nonprofit organization that has been paying taxes may elect to make reimbursements
by filing no less than 30 calendar days before January 1 of any calendar year a notice of election.
Upon election, the commissioner shall establish a reimbursable account for the nonprofit
organization. An election shall be allowed only if the nonprofit organization has, since the
beginning of the experience rating period under section 268.051, subdivision 3, paid taxes equal
to or more than 125 percent of the unemployment benefits used in computing the experience
rating. In addition, any unemployment benefits paid after the experience rating period shall be
transferred to the new reimbursable account of the nonprofit organization. If the amount of taxes
paid since the beginning of the experience rating period exceeds 125 percent of the amount of
unemployment benefits paid during the experience rating period, that amount in excess shall be
applied against any unemployment benefits paid after the experience rating period. The election
shall not be terminable by the organization for that and the next calendar year.
(e) The commissioner may for good cause extend the period that a notice of election, or a
notice of termination, must be filed and may permit an election to be retroactive.
(f) A notice of election or notice terminating election shall be filed by electronic transmission
in a format prescribed by the commissioner.
    Subd. 2. Determination, protest, and appeal. The commissioner shall notify each nonprofit
organization by mail or electronic transmission of any determination of its status as an employer
with covered employment and of the effective date of any election or termination of election.
The determinations shall be final unless a protest is filed within 30 calendar days after sending
of the determination. Upon receipt of a protest, the commissioner shall review all available
evidence and determine whether an error has been made. The commissioner shall send to the
nonprofit organization, by mail or electronic transmission, an affirmation or redetermination. The
affirmation or redetermination shall be final unless an appeal is filed within 30 calendar days of
sending the affirmation or redetermination. Proceedings on the appeal shall be conducted in
accordance with section 268.105.
    Subd. 3. Payments. (a) Reimbursements, in the amount of unemployment benefits charged
to the reimbursable account, during a calendar quarter, must be received by the department on or
before the last day of the month following the month that the notice of unemployment benefits
paid is sent pursuant to section 268.047, subdivision 5.
(b) Past due reimbursements shall be subject to the same interest charges and collection
procedures that apply to past due taxes.
(c) If any nonprofit organization is delinquent in making reimbursements, the commissioner
may terminate the organization's election to make reimbursements as of the beginning of the next
calendar year, and the termination shall be effective for that and the following calendar year. A
nonprofit organization that has its election terminated under this paragraph shall be assigned the
new employer tax rate under section 268.051, subdivision 5, until the organization qualifies for an
experience rating under section 268.051, subdivision 3.
    Subd. 4. Application. For purposes of this section, a nonprofit organization is an
organization, or group of organizations, described in United States Code, title 26, section
501(c)(3) of the Internal Revenue Code that is exempt from income tax under section 501(a).
    Subd. 5. Compromise. The compromise authority set out in section 268.067 applies to
this section.
History: Ex1936 c 2 s 4; 1937 c 306 s 2; 1939 c 443 s 3; 1941 c 554 s 3; 1943 c 650 s 2;
1945 c 376 s 3; 1947 c 32 s 1-8; 1947 c 432 s 3-5,11; 1947 c 600 s 7; 1949 c 526 s 1; 1949 c 605 s
3-6,17,18; 1951 c 442 s 2; 1953 c 97 s 5,6,8; 1953 c 288 s 1; 1955 c 380 s 2-4,6; 1957 c 25 s 1;
1957 c 873 s 2; 1959 c 702 s 2-4; 1965 c 45 s 40; 1965 c 741 s 6-11; 1967 c 573 s 3; 1967 c 617 s
1; 1967 c 856 s 1; 1969 c 3 s 1; 1969 c 567 s 3; 1969 c 854 s 6; 1971 c 860 s 1; 1971 c 942 s 3-6;
1973 c 254 s 3; 1973 c 599 s 2-4; 1975 c 336 s 6-10; 1977 c 4 s 4,5; 1977 c 297 s 6-11; 1977 c
430 s 25 subd 1; 1977 c 455 s 82; 1978 c 674 s 60; 1979 c 181 s 4-8; 1980 c 508 s 2-7; 1Sp1982 c
1 s 5-12; 1983 c 216 art 1 s 87; 1983 c 247 s 112; 1983 c 372 s 9-15; 1985 c 248 s 70; 1Sp1985 c
14 art 9 s 75; 1986 c 444; 1986 c 451 s 1; 1987 c 242 s 1; 1987 c 362 s 9-12; 1987 c 385 s 10-18;
1989 c 65 s 3-5; 1989 c 209 art 2 s 1; 1992 c 484 s 4-7; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c 54
s 3-7; 1996 c 417 s 5-7,31; 1997 c 66 s 25,79,80; 1999 c 107 s 30; 2000 c 343 s 2-4; 2001 c 175 s
20,21; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 34-36; 2005 c 112 art 2 s 13
268.054 [Repealed, 1998 c 265 s 46]
268.057 COLLECTION OF TAXES.
    Subdivision 1. Amount computed presumed correct. Any amount due from an employer,
as computed by the commissioner, shall be presumed to be correctly determined and assessed, and
the burden shall be upon the employer to show its incorrectness. A statement by the commissioner
of the amount due shall be admissible in evidence in any court or administrative proceeding and
shall be prima facie evidence of the facts in the statement.
    Subd. 2. Priority of payments. (a) Any payment received from a taxpaying employer shall
be applied in the following order:
(1) unemployment insurance taxes; then
(2) special assessment for interest on any federal loan; then
(3) workforce development fee; then
(4) interest on past due taxes; then
(5) penalties, late fees, administrative service fees, and costs.
(b) Paragraph (a) shall be the priority used for all payments received from a taxpaying
employer, regardless of how the employer may designate the payment to be applied, except when:
(1) there is an outstanding lien and the employer designates that the payment made should be
applied to satisfy the lien;
(2) the payment is for back pay withheld from an applicant pursuant to section 268.085,
subdivision 6
, paragraph (b);
(3) the payment is specifically designated by the employer to be applied to an outstanding
overpayment of unemployment benefits of an applicant;
(4) a court or administrative order directs that the payment be applied to a specific obligation;
(5) a preexisting payment plan provides for the application of payment; or
(6) the commissioner, under the compromise authority of section 268.067, agrees to apply
the payment to a different priority.
    Subd. 3. Estimating the tax due. Only if an employer fails to make all necessary records
available for an audit pursuant to section 268.186, paragraph (b), and the commissioner has reason
to believe the employer has not reported all the required wages on the quarterly wage detail
reports under section 268.044, may the commissioner then estimate the amount of tax due and
assess the employer the estimated amount due.
    Subd. 4. Costs. Any person that fails to pay any amount when due under this chapter is
liable for any filing fees, recording fees, sheriff fees, costs incurred by referral to any public or
private collection agency, or litigation costs, including attorney fees, incurred in the collection
of the amounts due.
If any tendered payment of any amount due, is not honored when presented to a financial
institution for payment, a fee of $25 shall be assessed.
Costs and fees collected under this subdivision shall be credited to the administration account
to be used by the commissioner to ensure integrity in the administration of the unemployment
insurance program.
    Subd. 5. Interest on amounts past due. If any amounts due from an employer under this
chapter or section 116L.20, except late fees under section 268.044, are not received on the date
due the unpaid balance shall bear interest at the rate of one and one-half percent per month or
any part thereof. Interest assessed, if not a whole dollar amount, shall be rounded down to the
next lower whole dollar. Interest collected shall be credited to the contingent account. Interest
may be compromised under section 268.067.
    Subd. 6. Interest on judgments. Regardless of section 549.09, if judgment is entered upon
any past due amounts from an employer under this chapter or section 116L.20, the unpaid
judgment shall bear interest at the rate specified in subdivision 5 until the date of payment.
    Subd. 7. Credit adjustments, refunds. (a) If an employer makes an application for a credit
adjustment of any amount paid under this chapter or section 116L.20 within four years of the
date that the payment was due, in a manner and format prescribed by the commissioner, and the
commissioner determines that the payment or any portion was erroneous, the commissioner
shall make an adjustment and issue a credit without interest. If a credit cannot be used, the
commissioner shall refund, without interest, the amount erroneously paid. The commissioner, on
the commissioner's own motion, may make a credit adjustment or refund under this subdivision.
Any refund returned to the commissioner shall be considered unclaimed property under
chapter 345.
(b) If a credit adjustment or refund is denied in whole or in part, a notice of denial shall be
sent to the employer by mail or electronic transmission. Within 30 calendar days after sending of
the notice of denial, the employer may protest.
Upon receipt of a timely protest, the commissioner shall review the denial and either
affirm the denial or redetermine the credit adjustment or refund. The affirmation of denial or
redetermination of the credit adjustment or refund, sent by mail or electronic transmission, shall
be final unless an employer files an appeal within 30 calendar days after sending. Proceedings on
the appeal shall be conducted in accordance with section 268.105.
    Subd. 8.[Repealed, 1999 c 107 s 67]
    Subd. 9.[Repealed, 1999 c 107 s 67]
    Subd. 10. Priorities under legal dissolutions or distributions. In the event of any
distribution of an employer's assets pursuant to an order of any court, including any receivership,
assignment for benefit of creditors, adjudicated insolvency, or similar proceeding, taxes then
or thereafter due shall be paid in full prior to all other claims except claims for wages of not
more than $1,000 per former employee, earned within six months of the commencement of the
proceedings. In the event of an employer's adjudication in bankruptcy under federal law, taxes
then or thereafter due shall be entitled to the priority provided in that law for taxes due any state.
History: Ex1936 c 2 s 14; 1941 c 554 s 13; 1943 c 650 s 9; 1945 c 376 s 13; 1949 c 605 s
12,13; 1951 c 55 s 1; 1953 c 97 s 17; 1969 c 9 s 65; 1969 c 567 s 3; 1969 c 854 s 13; 1973 c 254 s
3; 1973 c 720 s 73 subds 2,3; 1975 c 108 s 1; 1975 c 302 s 3,4; 1975 c 336 s 22,23; 1977 c 430 s
25 subd 1; 1978 c 618 s 2; 1978 c 674 s 60; 1980 c 508 s 11-13; 3Sp1981 c 2 art 1 s 33; 1Sp1982
c 1 s 34,35; 1983 c 372 s 39; 1985 c 248 s 70; 1Sp1985 c 14 art 9 s 75; 1986 c 444; 1987 c 362 s
26; 1987 c 385 s 28-30; 1989 c 65 s 12; 1989 c 209 art 2 s 1; 1993 c 67 s 11; 1994 c 483 s 1;
1995 c 54 s 13-15; 1996 c 417 s 24,31; 1997 c 66 s 66-69,79,80; 1998 c 265 s 14-17,44; 1999 c
107 s 31,32,66; 2000 c 343 s 4; 1Sp2003 c 3 art 2 s 6,20; 2004 c 183 s 37; 2005 c 112 art 2 s 14
268.058 LIEN, LEVY, SETOFF, AND CIVIL ACTION.
    Subdivision 1. Lien. (a) Any amount due under this chapter or section 116L.20, from an
applicant or an employer, shall become a lien upon all the property, within this state, both real
and personal, of the person liable, from the date of assessment. The term "date of assessment"
means the date the obligation was due.
(b) The lien is not enforceable against any purchaser, mortgagee, pledgee, holder of a
Uniform Commercial Code security interest, mechanic's lien, or judgment lien creditor, until a
notice of lien has been filed with the county recorder of the county where the property is situated,
or in the case of personal property belonging to a nonresident person in the Office of the Secretary
of State. When the notice of lien is filed with the county recorder, the fee for filing and indexing
shall be as provided in sections 272.483 and 272.484.
(c) Notices of liens, lien renewals, and lien releases, in a form prescribed by the
commissioner, may be filed with the county recorder or the secretary of state by mail, personal
delivery, or by electronic transmission into the computerized filing system of the secretary of state.
The secretary of state shall, on any notice filed with that office, transmit the notice electronically to
the appropriate county recorder. The filing officer, whether the county recorder or the secretary of
state, shall endorse and index a printout of the notice as if the notice had been mailed or delivered.
(d) County recorders and the secretary of state shall enter information on lien notices,
renewals, and releases into the central database of the secretary of state. For notices filed
electronically with the county recorders, the date and time of receipt of the notice and county
recorder's file number, and for notices filed electronically with the secretary of state, the secretary
of state's recording information, must be entered into the central database before the close of the
working day following the day of the original data entry by the commissioner.
(e) The lien imposed on personal property, even though properly filed, is not enforceable
against a purchaser of tangible personal property purchased at retail or personal property listed as
exempt in sections 550.37, 550.38, and 550.39.
(f) A notice of lien filed has priority over any security interest arising under chapter 336,
article 9, that is perfected prior in time to the lien imposed by this subdivision, but only if:
(1) the perfected security interest secures property not in existence at the time the notice of
lien is filed; and
(2) the property comes into existence after the 45th calendar day following the day the
notice of lien is filed, or after the secured party has actual notice or knowledge of the lien filing,
whichever is earlier.
(g) The lien shall be enforceable from the time the lien arises and for ten years from the date
of filing the notice of lien. A notice of lien may be renewed before expiration for an additional
ten years.
(h) The lien shall be enforceable by levy under subdivision 2 or by judgment lien foreclosure
under chapter 550.
(i) The lien may be imposed upon property defined as homestead property in chapter 510 but
may be enforced only upon the sale, transfer, or conveyance of the homestead property.
(j) The commissioner may sell and assign to a third party the commissioner's right of
redemption in specific real property for liens filed under this subdivision. The assignee shall
be limited to the same rights of redemption as the commissioner, except that in a bankruptcy
proceeding, the assignee does not obtain the commissioner's priority. Any proceeds from the sale
of the right of redemption shall be credited to the contingent account.
    Subd. 2. Levy. (a) If any amount due under this chapter or section 116L.20, from an applicant
or an employer, is not paid when due, the amount may be collected by the commissioner by direct
levy upon all property and rights of property of the person liable for the amount due except that
exempt from execution under section 550.37. The term "levy" includes the power of distraint
and seizure by any means.
(b) In addition to a direct levy, the commissioner may issue a warrant to the sheriff of any
county who shall proceed within 60 calendar days to levy upon the property or rights to property
of the delinquent person within the county, except that exempt under section 550.37. The sheriff
shall sell that property necessary to satisfy the total amount due, together with the commissioner's
and sheriff's costs. The sales shall be governed by the law applicable to sales of like property
on execution of a judgment.
(c) Notice and demand for payment of the total amount due shall be mailed to the delinquent
person at least ten calendar days prior to action being taken under paragraphs (a) and (b).
(d) If the commissioner has reason to believe that collection of the amount due is in jeopardy,
notice and demand for immediate payment may be made. If the total amount due is not paid, the
commissioner may proceed to collect by direct levy or issue a warrant without regard to the ten
calendar day period.
(e) In executing the levy, the commissioner shall have all of the powers provided in chapter
550 or any other law that provides for execution against property in this state. The sale of property
levied upon and the time and manner of redemption shall be as provided in chapter 550. The
seal of the court shall not be required. The levy may be made whether or not the commissioner
has commenced a legal action for collection.
(f) Where any assessment has been made by the commissioner, the property seized for
collection of the total amount due shall not be sold until any determination of liability has become
final. No sale shall be made unless a portion of the amount due remains unpaid for a period of
more than 30 calendar days after the determination of liability becomes final. Seized property
may be sold at any time if:
(1) the delinquent person consents in writing to the sale; or
(2) the commissioner determines that the property is perishable or may become greatly
reduced in price or value by keeping, or that the property cannot be kept without great expense.
(g) Where a levy has been made to collect the amount due and the property seized is
properly included in a formal proceeding commenced under sections 524.3-401 to 524.3-505 and
maintained under full supervision of the court, the property shall not be sold until the probate
proceedings are completed or until the court orders.
(h) The property seized shall be returned if the owner:
(1) gives a surety bond equal to the appraised value of the owner's interest in the property, as
determined by the commissioner, or
(2) deposits with the commissioner security in a form and amount the commissioner
considers necessary to insure payment of the liability.
(i) If a levy or sale would irreparably injure rights in property that the court determines
superior to rights of the state, the court may grant an injunction to prohibit the enforcement
of the levy or to prohibit the sale.
(j) Any person who fails or refuses to surrender without reasonable cause any property or
rights to property subject to levy shall be personally liable in an amount equal to the value of the
property or rights not so surrendered, but not exceeding the amount due.
(k) If the commissioner has seized the property of any individual, that individual may,
upon giving 48 hours notice to the commissioner and to the court, bring a claim for equitable
relief before the district court for the release of the property upon terms and conditions the court
considers equitable.
(l) Any person in control or possession of property or rights to property upon which a levy
has been made who surrenders the property or rights to property, or who pays the amount due
shall be discharged from any obligation or liability to the person liable for the amount due with
respect to the property or rights to property.
(m) The notice of any levy may be served personally or by mail.
(n) The commissioner may release the levy upon all or part of the property or rights to
property levied upon if the commissioner determines that the release will facilitate the collection
of the liability, but the release shall not prevent any subsequent levy. If the commissioner
determines that property has been wrongfully levied upon, the commissioner shall return:
(1) the specific property levied upon, at any time; or
(2) an amount of money equal to the amount of money levied upon, at any time before the
expiration of nine months from the date of levy.
(o) Regardless of section 52.12, a levy upon a person's funds on deposit in a financial
institution located in this state, shall have priority over any unexercised right of setoff of the
financial institution to apply the levied funds toward the balance of an outstanding loan or loans
owed by the person to the financial institution. A claim by the financial institution that it exercised
its right to setoff prior to the levy must be substantiated by evidence of the date of the setoff,
and verified by an affidavit from a corporate officer of the financial institution. For purposes
of determining the priority of any levy under this subdivision, the levy shall be treated as if it
were an execution under chapter 550.
    Subd. 3. Right of setoff. (a) Upon certification by the commissioner to the commissioner of
finance, or to any state agency that disburses its own funds, that a person, applicant, or employer
has a liability under this chapter or section 116L.20, and that the state has purchased personal
services, supplies, contract services, or property from that person, the commissioner of finance
or the state agency shall set off and pay to the commissioner an amount sufficient to satisfy the
unpaid liability from funds appropriated for payment of the obligation of the state otherwise due
the person. No amount shall be set off from any funds exempt under section 550.37 or funds due
an individual who receives assistance under chapter 256.
(b) All funds, whether general or dedicated, shall be subject to setoff.
Regardless of any law to the contrary, the commissioner shall have first priority to setoff
from any funds otherwise due from the department to a delinquent person.
    Subd. 4. Collection by civil action. (a) Any amount due under this chapter or section
116L.20, from an applicant or employer, may be collected by civil action in the name of the state
of Minnesota. Civil actions brought under this subdivision shall be heard as provided under
section 16D.14. In any action, judgment shall be entered in default for the relief demanded in the
complaint without proof, together with costs and disbursements, upon the filing of an affidavit
of default.
(b) Any person that is not a resident of this state and any resident person removed from this
state, shall be considered to appoint the secretary of state as its agent for the acceptance of process
in any civil action. The commissioner shall file process with the secretary of state, together with a
payment of a fee of $15 and that service shall be considered sufficient service and shall have the
same force and validity as if served personally within this state. Notice of the service of process,
together with a copy of the process, shall be sent by certified mail to the person's last known
address. An affidavit of compliance with this subdivision, and a copy of the notice of service shall
be appended to the original of the process and filed in the court.
(c) No court filing fees, docketing fees, or release of judgment fees may be assessed against
the state for actions pursuant to this subdivision.
    Subd. 5. Injunction forbidden. No injunction or other legal action to prevent the
determination, assessment, or collection of any amounts due under this chapter or section
116L.20, from an applicant or employer, shall be allowed.
History: 1Sp1982 c 1 s 36; 1983 c 372 s 40-44; 1985 c 281 s 1; 1Sp1985 c 14 art 9 s 75;
1986 c 444; 1Sp1986 c 3 art 1 s 82; 1987 c 385 s 31-34; 1989 c 209 art 2 s 1; 1991 c 291 art 18 s
1; 1992 c 484 s 14; 1993 c 67 s 12; 1993 c 137 s 8; 1994 c 483 s 1; 1994 c 488 s 7; 1995 c 54 s
16,17; 1996 c 417 s 25,31; 1997 c 66 s 67,79,80; 1998 c 265 s 44; 1999 c 107 s 33,66; 2000 c 343
s 4; 2001 c 195 art 2 s 10; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 38
268.059 GARNISHMENT FOR DELINQUENT TAXES AND UNEMPLOYMENT
BENEFIT OVERPAYMENTS.
    Subdivision 1. Notice. The commissioner may give notice to any employer that an employee
owes any amounts due under this chapter or section 116L.20, and that the obligation should be
withheld from the employee's wages. The commissioner may proceed only if the amount due is
uncontested or if the time for any appeal has expired. The commissioner shall not proceed until 30
calendar days after sending to the debtor employee, by mail or electronic transmission, a notice of
intent to garnish wages and exemption notice. That notice shall list:
(1) the amount due from the debtor;
(2) demand for immediate payment; and
(3) the intention to serve a garnishment notice on the debtor's employer.
The notice shall expire 180 calendar days after it has been sent to the debtor provided that
the notice may be renewed by sending a new notice that is in accordance with this section.
The renewed notice shall have the effect of reinstating the priority of the original notice. The
exemption notice shall be in substantially the same form as in section 571.72. The notice shall
inform the debtor of the right to claim exemptions contained in section 550.37, subdivision 14. If
no claim of exemption is received by the commissioner within 30 calendar days after sending
of the notice, the commissioner may proceed with the garnishment. The notice to the debtor's
employer may be served by mail or electronic transmission and shall be in substantially the same
form as in section 571.75.
    Subd. 2. Employer action. (a) Upon receipt of the garnishment notice, the employer shall
withhold from the earnings due or to become due to the employee, the amount shown on the
notice plus accrued interest, subject to section 571.922. The employer shall continue to withhold
each pay period the amount shown on the notice plus accrued interest until the garnishment
notice is released by the commissioner. Upon receipt of notice by the employer, the claim of the
commissioner shall have priority over any subsequent garnishments or wage assignments. The
commissioner may arrange between the employer and employee for withholding a portion of the
total amount due the employee each pay period, until the total amount shown on the notice plus
accrued interest has been withheld.
The "earnings due" any employee is as defined in section 571.921.
(b) The maximum garnishment allowed for any one pay period shall be decreased by any
amounts payable pursuant to any other garnishment action served prior to the garnishment notice,
and any amounts covered by any irrevocable and previously effective assignment of wages; the
employer shall give notice to the commissioner of the amounts and the facts relating to the
assignment within ten days after the service of the garnishment notice on the form provided
by the commissioner.
(c) Within ten calendar days after the expiration of the pay period, the employer shall remit
to the commissioner, on a form and in the manner prescribed by the commissioner, the amount
withheld during each pay period.
    Subd. 3. Discharge or discipline prohibited. (a) If the employee ceases to be employed by
the employer before the full amount set forth on the garnishment notice plus accrued interest has
been withheld, the employer shall immediately notify the commissioner in writing or by electronic
transmission, as prescribed by the commissioner, of the termination date of the employee and
the total amount withheld. No employer may discharge or discipline any employee because
the commissioner has proceeded under this section. If an employer discharges an employee in
violation of this section, the employee shall have the same remedy as provided in section 571.927,
subdivision 2
.
(b) This section shall apply if the employer is the state of Minnesota or any political
subdivision.
(c) The commissioner shall refund to the employee any excess amounts withheld from
the employee.
(d) An employer that fails or refuses to comply with this section shall be jointly and severally
liable for the total amount due from the employee. Any amount due from the employer under
this paragraph may be collected in the same manner as any other amounts due from an employer
under this chapter.
History: 1996 c 417 s 28; 1997 c 66 s 70,79; 1998 c 265 s 18; 2000 c 343 s 4; 2000 c 499 s
1; 2001 c 175 s 22; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 39,40
    Subdivision 1.[Renumbered 268.051, subdivision 1]
    Subd. 2.[Repealed, 1997 c 66 s 81]
    Subd. 3.[Repealed, 1969 c 854 s 14]
    Subd. 3a.[Renumbered 268.051, subd 5]
    Subd. 4.[Repealed, 1997 c 66 s 81]
    Subd. 5.[Repealed, 1997 c 66 s 81]
    Subd. 6.[Renumbered 268.051, subd 3]
    Subd. 7.[Repealed, 1949 c 605 s 15]
    Subd. 8.[Renumbered 268.051, subd 2]
    Subd. 8a.[Renumbered 268.051, subd 8]
    Subd. 9.[Repealed, 1949 c 605 s 15]
    Subd. 10.[Repealed, 1949 c 605 s 15]
    Subd. 11.[Repealed, 1953 c 97 s 7]
    Subd. 12.[Repealed, 1953 c 97 s 7]
    Subd. 13.[Repealed, 1953 c 97 s 7]
    Subd. 14.[Repealed, 1953 c 97 s 7]
    Subd. 15.[Repealed, 1953 c 97 s 7]
    Subd. 16.[Repealed, 1953 c 97 s 7]
    Subd. 17.[Repealed, 1949 c 605 s 15]
    Subd. 18.[Renumbered 268.047, subd 5]
    Subd. 19.[Renumbered 268.051, subd 6]
    Subd. 20.[Renumbered 268.051, subd 6, paras (c) and (d)]
    Subd. 21.[Renumbered 268.045]
    Subd. 22.[Renumbered 268.051, subd 4]
    Subd. 23.[Repealed, 1955 c 380 s 5]
    Subd. 24.[Renumbered 268.051, subd 7]
    Subd. 25.[Renumbered 268.052, subdivision 1]
    Subd. 26.[Renumbered 268.052, subd 3]
    Subd. 27.[Renumbered 268.052, subd 4]
    Subd. 28.[Renumbered 268.053]
    Subd. 29.[Renumbered 268.045, para (d)]
    Subd. 30.[Repealed, 1997 c 66 s 81]
    Subd. 31.[Renumbered 268.052, subd 2]
    Subd. 32.[Repealed, 1983 c 372 s 48]
    Subd. 33.[Repealed, 1997 c 66 s 81]
    Subd. 34.[Renumbered 268.054]
268.061 [Repealed, 1988 c 689 art 2 s 269]
268.062 [Renumbered 268.068]
268.0625 REVOCATIONS OF BUSINESS LICENSES.
    Subdivision 1. Notice of debt to licensing authority. The state of Minnesota or a political
subdivision may not issue, transfer, or renew, and must revoke a license for the conduct of
any profession, trade, or business, if the commissioner notifies the licensing authority that the
licensee, applicant, or employer owes any amount due under this chapter or section 116L.20, of
$500 or more. A licensing authority that has received such a notice may issue, transfer, renew, or
not revoke the license only if the licensing authority has received a copy of the debt clearance
certificate issued by the commissioner.
    Subd. 2. Debt clearance certificate. The commissioner may issue a debt clearance
certificate only if:
(1) the licensee has fully paid any amounts due under this chapter or section 116L.20; or
(2) the licensee has entered into an agreement to pay the total amount due and is current
with all the terms of that agreement.
    Subd. 3. Definition. For the purposes of this section, "licensee" means:
(1) an individual if the license is issued to or in the name of an individual, or the corporation,
limited liability company, or partnership if the license is issued to or in the name of a corporation,
limited liability company, or partnership; or
(2) an officer of a corporation, manager of a limited liability company, or a member of a
partnership, or an individual who is liable for amounts due under this chapter or section 116L.20,
either for the entity that the license is at issue or for another entity that the liability was incurred,
or personally as a licensee. "Licensee" includes both the transferor and the transferee of the
license and any holder of a license.
    Subd. 4. Notice and right to hearing. At least 30 calendar days before the commissioner
notifies a licensing authority, a notice of action under this section shall be sent to the licensee by
mail or electronic transmission. If the licensee disputes the action, the licensee must appeal within
30 calendar days after the sending of the notice to the licensee. The only issue on any appeal is
whether the commissioner has complied with the requirements of this section. Proceedings on the
appeal shall be conducted in accordance with section 268.105.
    Subd. 5. Licensing authority; duties. Upon request, the licensing authority shall provide the
commissioner with a list of all licensees, including the name, address, business name and address,
Social Security number, and business identification number. The commissioner may request a
list of the licensees no more than once each calendar year. Regardless of section 268.19, the
commissioner may release information necessary to accomplish this section.
History: 1987 c 385 s 37; 1994 c 488 s 8; 1995 c 54 s 20; 1996 c 417 s 26,27; 1997 c 66 s
79,80; 1999 c 107 s 34; 2000 c 343 s 4; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 41
268.063 PERSONAL LIABILITY.
(a) Any officer, director, or employee of a corporation or any manager, governor, member, or
employee of a limited liability company who
(1) either individually or jointly with others, have or should have had control of, supervision
over, or responsibility for paying the amounts due under this chapter or section 116L.20, and
(2) knowingly fails to pay the amounts due, shall be personally liable for the amount due in
the event the employer does not pay.
For purposes of this section, "knowingly" means that the facts demonstrate that the
responsible individual used or allowed the use of corporate or company assets to pay other
creditors knowing that the amounts due under this chapter were unpaid. An evil motive or intent
to defraud is not necessary.
(b) Any partner of a limited liability partnership, or professional limited liability partnership,
shall be jointly and severally liable for any amount due under this chapter or section 116L.20 in
the event the employer does not pay.
(c) Any personal representative of the estate of a decedent or fiduciary who voluntarily
distributes the assets without reserving a sufficient amount to pay the amount due shall be
personally liable for the deficiency.
(d) The personal liability of any individual shall survive dissolution, reorganization,
receivership, or assignment for the benefit of creditors. For the purposes of this section, all wages
paid by the employer shall be considered earned from the individual determined to be personally
liable.
(e) The commissioner shall make a determination as to personal liability. The determination
shall be final unless the individual found to be personally liable, within 30 calendar days after
sending, by mail or electronic transmission, a notice of determination, files a protest. Upon receipt
of the protest, the commissioner shall reexamine the personal liability determination and either
affirm or redetermine the assessment of personal liability and a notice of the affirmation or
redetermination shall be sent to the individual by mail or electronic transmission. The affirmation
or redetermination shall become final unless an appeal is filed within 30 calendar days after the
date of sending. Proceedings on the appeal shall be conducted in accordance with section 268.105.
History: 1Sp1982 c 1 s 36; 1983 c 372 s 40-44; 1985 c 281 s 1; 1Sp1985 c 14 art 9 s 75; 1986
c 444; 1Sp1986 c 3 art 1 s 82; 1987 c 385 s 31-34; 1989 c 209 art 2 s 1; 1991 c 291 art 18 s 1;
1992 c 484 s 14; 1993 c 67 s 12; 1993 c 137 s 8; 1994 c 483 s 1; 1994 c 488 s 7; 1995 c 54 s 16,17;
1996 c 417 s 25,31; 1997 c 66 s 79; 1998 c 265 s 19; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 42
268.064 LIABILITY FOR DEBTS UPON ACQUISITION.
    Subdivision 1. Acquisition of organization, trade, business, or assets. Any person who
acquires all or part of the organization, trade, business or assets from an employer, is jointly and
severally liable, in an amount not to exceed the reasonable value of that part of the organization,
trade, business or assets acquired, for any amounts due and unpaid by the employer. The amount
of liability shall, in addition, be a lien against the property or assets acquired and shall be prior
to all other unrecorded liens. This section does not apply to sales in the normal course of the
employer's business.
    Subd. 2. Reasonable value. The commissioner, upon the commissioner's own motion or
upon application of the acquiring person, shall determine the reasonable value of the organization,
trade, business or assets acquired based on available information. The determination shall be
final unless the acquiring person, within 30 calendar days after being sent the determination by
mail or electronic transmission, files an appeal. Proceedings on the appeal shall be conducted in
accordance with section 268.105.
    Subd. 3. Statement of amount due. Prior to the date of acquisition, the commissioner shall
furnish the acquiring person with a statement of the amounts due and unpaid under this chapter or
section 116L.20 upon the request of the potential acquiring person and the release of the obligor.
No release is required after the date of acquisition.
    Subd. 4.[Repealed by amendment, 1999 c 107 s 35]
History: 1987 c 385 s 35; 1989 c 65 s 13; 1995 c 54 s 18; 1997 c 66 s 79,80; 1998 c 265 s
20,44; 1999 c 107 s 35; 2004 c 183 s 43,44
268.065 LIABILITY OF AMOUNTS DUE FROM SUBCONTRACTORS AND
EMPLOYEE LEASING FIRMS.
    Subdivision 1. Subcontractors. A contractor who contracts with any subcontractor shall
guarantee the payment of all amounts that are due or become due from the subcontractor with
respect to taxable wages paid on the contract by:
(1) withholding sufficient money on the contract; or
(2) requiring the subcontractor to provide a sufficient bond guaranteeing the payment of
all amounts that may become due.
The contractor may make a request for verification that the subcontractor has paid the taxes
due 60 calendar days after the due date for filing the wage detail report that includes the final
wages paid for employment performed under the contract. If the subcontractor has paid the
amounts due for the period covered by the contract, the commissioner may release the contractor
from its liability.
The words "contractor" and "subcontractor" include individuals, partnerships, firms, or
corporations, or other association of persons engaged in the construction industry.
    Subd. 2. Employee leasing company, professional employer organization, or similar
person. (a) A person whose work force consists of 50 percent or more of workers provided by
an employee leasing company, professional employer organization, or similar person for a fee,
is jointly and severally liable for the unpaid amounts that are due under this chapter or section
116L.20 on the wages paid on the contract with the employee leasing company, professional
employer organization, or similar person.
(b) This subdivision applies to, but is not limited to, persons registered under section 79.255,
but does not apply to agreements with persons that obtain an exemption from registration under
section 79.255, subdivision 9.
    Subd. 3. Determination of liability. The commissioner shall make a determination as to
the liability under this section. The determination shall be final unless the contractor or person
found to be liable files an appeal within 30 calendar days after being sent the determination by
mail or electronic transmission. Proceedings on the appeal shall be conducted in accordance
with section 268.105.
History: 1987 c 385 s 36; 1989 c 65 s 14; 1995 c 54 s 19; 1997 C 66 S 79,80; 1998 c 265 s
44; 1999 c 107 s 36; 2004 c 183 s 45,46; 2005 c 112 art 1 s 10
268.066 CANCELLATION OF AMOUNTS DUE FROM AN EMPLOYER.
(a) The commissioner shall cancel as uncollectible any amounts due from an employer under
this chapter or section 116L.20, which remain unpaid six years after the amounts have been first
determined due, except where the delinquent amounts are secured by a notice of lien, a judgment,
are in the process of garnishment, or are under a payment plan.
(b) The commissioner may cancel at any time as uncollectible any amount due, or any
portion of an amount due, from an employer under this chapter or section 116L.20, that (1) are
uncollectible due to death or bankruptcy, (2) the Minnesota Collection Enterprise under section
16D.04 was unable to collect, or (3) the commissioner determines that it is not in the public
interest to pursue collection of the amount due.
History: 1987 c 385 s 39; 1996 c 305 art 1 s 58; 1997 c 66 s 79; 1998 c 265 s 21; 1Sp2003 c
3 art 2 s 20; 2004 c 183 s 47
268.067 COMPROMISE.
(a) The commissioner may compromise in whole or in part any action, determination, or
decision that affects only an employer and not an applicant, and that has occurred during the prior
24 months. This paragraph may apply if it is determined by a court of law, or a confession of
judgment, that an applicant, while employed, wrongfully took from the employer $500 or more in
money or property.
(b) The commissioner may at any time compromise any amount due from an employer
under this chapter or section 116L.20.
(c) Any compromise involving an amount over $2,500 shall be authorized by an attorney
who is an employee of the department designated by the commissioner for that purpose.
(d) Any compromise must be in the best interest of the state of Minnesota.
History: Ex1936 c 2 s 14; 1941 c 554 s 13; 1943 c 650 s 9; 1945 c 376 s 13; 1949 c 605 s
12,13; 1951 c 55 s 1; 1953 c 97 s 17; 1969 c 9 s 65; 1969 c 567 s 3; 1969 c 854 s 13; 1973 c 254
s 3; 1973 c 720 s 73 subds 2,3; 1975 c 108 s 1; 1975 c 302 s 3,4; 1975 c 336 s 22,23; 1977 c
430 s 25 subd 1; 1978 c 618 s 2; 1978 c 674 s 60; 1980 c 508 s 11-13; 3Sp1981 c 2 art 1 s 33;
1Sp1982 c 1 s 34,35; 1983 c 372 s 39; 1985 c 248 s 70; 1Sp1985 c 14 art 9 s 75; 1986 c 444;
1987 c 362 s 26; 1987 c 385 s 28-30; 1989 c 65 s 12; 1989 c 209 art 2 s 1; 1993 c 67 s 11; 1994 c
483 s 1; 1995 c 54 s 13-15; 1996 c 417 s 24,31; 1997 c 66 s 79; 1998 c 265 s 22; 1999 c 107 s
37,66; 1Sp2003 c 3 art 2 s 7; 2004 c 183 s 48
268.0675 NO ELECTION OF REMEDY.
Use of any remedy under this chapter for the collection of any amount due from an employer
or an applicant shall not constitute an election of remedy to the exclusion of any other available
remedy.
History: 1999 c 107 s 38; 2000 c 343 s 4; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 49
268.068 NOTICE TO WORKERS.
Each employer shall post and maintain printed statements of an individual's right to apply
for unemployment benefits in places readily accessible to workers in the employer's service. The
printed statements shall be supplied by the commissioner at no cost to an employer.
History: 1996 c 417 s 8; 1997 c 66 s 79; 1999 c 107 s 39; 2000 c 343 s 4
268.069 PAYMENT OF UNEMPLOYMENT BENEFITS.
    Subdivision 1. Requirements. The commissioner shall pay unemployment benefits from the
trust fund to an applicant who has met each of the following requirements:
(1) the applicant has filed an application for unemployment benefits and established a benefit
account in accordance with section 268.07;
(2) the applicant is not subject to a disqualification from unemployment benefits under
section 268.095 because of a quit or discharge;
(3) the applicant has met all of the ongoing eligibility requirements under sections 268.085
and 268.086;
(4) the applicant does not have an outstanding overpayment of unemployment benefits,
including any penalties or interest; and
(5) the applicant is not ineligible for unemployment benefits under section 268.182 because
of a false representation or concealment of facts.
    Subd. 2. Unemployment benefits paid from state funds. Unemployment benefits are paid
from state funds and shall not be considered paid from any special insurance plan, nor as paid by
an employer. An application for unemployment benefits shall not be considered a claim against an
employer but shall be considered a request for unemployment benefits from the trust fund. The
commissioner has the responsibility for the proper payment of unemployment benefits regardless
of the level of interest or participation by an applicant or an employer in any determination or
appeal. An applicant's entitlement to unemployment benefits shall be determined based upon that
information available without regard to any common law burden of proof, and any agreement
between an applicant and an employer shall not be binding on the commissioner in determining
an applicant's entitlement. There shall be no presumption of entitlement or nonentitlement
to unemployment benefits.
    Subd. 3. Common law. There shall be no equitable or common law denial or allowance
of unemployment benefits.
History: 1997 c 66 s 28; 1998 c 265 s 45; 1999 c 107 s 40,66; 2000 c 343 s 4; 1Sp2003 c
3 art 2 s 20; 2005 c 112 art 2 s 15
268.07 BENEFIT ACCOUNT.
    Subdivision 1. Application for unemployment benefits; determination of benefit
account. (a) An application for unemployment benefits may be filed in person, by mail, or by
electronic transmission as the commissioner shall require. The applicant must be unemployed at
the time the application is filed and must provide all requested information in the manner required.
If the applicant is not unemployed at the time of the application or fails to provide all requested
information, the communication shall not be considered an application for unemployment benefits.
(b) The commissioner shall examine each application for unemployment benefits to
determine the base period and the benefit year, and based upon all the covered employment in the
base period the commissioner shall determine the weekly unemployment benefit amount available,
if any, and the maximum amount of unemployment benefits available, if any. The determination
shall be known as the determination of benefit account. A determination of benefit account shall
be sent to the applicant and all base period employers, by mail or electronic transmission.
(c) If a base period employer did not provide wage information for the applicant as
provided for in section 268.044, or provided erroneous information, the commissioner may
accept an applicant certification as to wage credits, based upon the applicant's records, and issue
a determination of benefit account.
(d) The commissioner may, at any time within 24 months from the establishment of a benefit
account, reconsider any determination of benefit account and make an amended determination
if the commissioner finds that the determination was incorrect for any reason. An amended
determination shall be promptly sent to the applicant and all base period employers, by mail
or electronic transmission.
If an amended determination of benefit account reduces the weekly unemployment benefit
amount or maximum amount of unemployment benefits available, any unemployment benefits
that have been paid greater than the applicant was entitled is considered an overpayment of
unemployment benefits under section 268.18, subdivision 1.
    Subd. 2. Benefit account requirements and weekly unemployment benefit amount and
maximum amount of unemployment benefits. (a) To establish a benefit account, an applicant
must have:
(1) high quarter wage credits of at least $1,000; and
(2) wage credits, in other than the high quarter, of at least $250.
(b) If an applicant has established a benefit account, the weekly unemployment benefit
amount available during the benefit year shall be the higher of:
(1) 50 percent of the applicant's average weekly wage during the base period, to a maximum
of 66-2/3 percent of the state's average weekly wage; or
(2) 50 percent of the applicant's average weekly wage during the high quarter, to a maximum
of 45 percent of the state's average weekly wage.
The applicant's average weekly wage under clause (1) shall be computed by dividing the
total wage credits by 52. The applicant's average weekly wage under clause (2) shall be computed
by dividing the high quarter wage credits by 13.
(c) The state's maximum weekly unemployment benefit amount and an applicant's weekly
unemployment benefit amount and maximum amount of unemployment benefits available shall
be rounded down to the next lower whole dollar. The state's maximum weekly benefit amount,
computed in accordance with section 268.035, subdivision 23, shall apply to a benefit account
established effective on or after the first Sunday in August. Once established, an applicant's
weekly unemployment benefit amount shall not be affected by the first Sunday in August change
in the state's maximum weekly unemployment benefit amount.
(d) The maximum amount of unemployment benefits available on any benefit account shall
be the lower of:
(1) 33-1/3 percent of the applicant's total wage credits; or
(2) 26 times the applicant's weekly unemployment benefit amount.
    Subd. 2a.[Repealed by amendment, 1996 c 417 s 9]
    Subd. 3. Second benefit account requirements. To establish a second benefit account
following the expiration of a benefit year on a prior benefit account, an applicant must have
sufficient wage credits to establish a benefit account under subdivision 2 and must have performed
services in covered employment after the effective date of the prior benefit account. The wages
paid for that employment must equal not less than eight times the weekly unemployment benefit
amount of the prior benefit account. The purpose of this subdivision is to prevent an applicant
from establishing more than one benefit account as a result of one loss of employment.
    Subd. 3a. Right of appeal. (a) A determination or amended determination of benefit account
shall be final unless an applicant or base period employer within 30 calendar days after the
sending of the determination or amended determination files an appeal. Every determination or
amended determination of benefit account shall contain a prominent statement indicating in clear
language the consequences of not appealing. Proceedings on the appeal shall be conducted in
accordance with section 268.105.
(b) Any applicant or base period employer may appeal from a determination or amended
determination of benefit account on the issue of whether services performed constitute
employment and covered employment. Proceedings on the appeal shall be conducted in
accordance with section 268.105.
    Subd. 3b. Limitations. (a) A benefit account shall be established effective the Sunday
of the calendar week that the application for unemployment benefits was filed. Upon specific
request of an applicant, an application for unemployment benefits may be backdated one calendar
week prior to the Sunday of the week the application was actually filed. An application shall be
backdated only if the applicant was unemployed throughout the period of the backdating. If an
individual attempted to file an application for unemployment benefits, but was prevented from
filing an application by the department, the benefit account shall be effective the Sunday of the
calendar week the individual first attempted to file an application.
(b) A benefit account, once established, may later be withdrawn only if:
(1) a new application for unemployment benefits is filed and a new benefit account is
established at the time of the withdrawal; and
(2) the applicant has not served a waiting week under section 268.085, subdivision 1,
clause (5).
A determination or amended determination pursuant to section 268.101, that was issued
before the withdrawal of the benefit account, shall remain in effect and shall not be voided by
the withdrawal of the benefit account. A determination of disqualification requiring subsequent
earnings to satisfy the disqualification under section 268.095, subdivision 10, shall apply to the
weekly unemployment benefit amount on the new benefit account.
(c) An application for unemployment benefits shall not be allowed prior to the Sunday
following the expiration of the benefit year on a prior benefit account. Except as allowed under
paragraph (b), a applicant may establish only one benefit account each 52 calendar weeks.
    Subd. 4.MS 1949 [Repealed, 1951 c 442 s 3]
    Subd. 4.MS 1980 [Repealed, 1Sp1982 c 1 s 43]
    Subd. 5.[Repealed, 1975 c 336 s 25]
    Subd. 6.[Repealed, 1947 c 32 s 9]
History: (4337-25) Ex1936 c 2 s 5; 1937 c 306 s 3; 1939 c 443 s 4; 1941 c 554 s 4; 1943 c
650 s 3; 1945 c 376 s 4; 1947 c 432 s 6; 1949 c 605 s 7,8; 1951 c 442 s 3; 1953 c 587 s 1; 1955 c
816 s 1; 1957 c 780 s 1; 1965 c 741 s 12,13; 1967 c 573 s 4; 1969 c 854 s 7; 1971 c 408 s 1;
1971 c 942 s 7,8; Ex1971 c 10 s 1; 1973 c 599 s 5; 1975 c 104 s 1; 1975 c 336 s 11; 1977 c 4 s
6; 1977 c 297 s 12; 1979 c 284 s 1; 1Sp1982 c 1 s 13-15; 1983 c 372 s 17,18; 1985 c 248 s 70;
1986 c 444; 1987 c 242 s 2; 1987 c 362 s 13-15; 1987 c 385 s 19; 1989 c 65 s 6,7; 1989 c 209 art
2 s 1; 1990 c 516 s 3; 1992 c 484 s 8; 1996 c 417 s 9,31; 1997 c 66 s 29-32,79; 1998 c 265 s
23; 1998 c 408 s 3; 1999 c 107 s 41,66; 2000 c 343 s 4; 2001 c 175 s 23-26; 1Sp2003 c 3 art
1 s 7; art 2 s 8,20; 2004 c 183 s 50-52; 2005 c 112 art 2 s 16
268.071 [Renumbered 268.115]
268.072 [Renumbered 268.155]
    Subdivision 1.[Renumbered 268.125, subdivision 1]
    Subd. 2.[Renumbered 268.125, subd 2]
    Subd. 3.[Renumbered 268.125, subd 3]
    Subd. 4.[Renumbered 268.125, subd 4]
    Subd. 5.[Renumbered 268.125, subd 5]
    Subd. 6.[Repealed, 1994 c 503 s 7]
    Subd. 7.[Repealed, 1997 c 66 s 81]
268.074 [Renumbered 268.135]
268.075 [Renumbered 268.145]
    Subdivision 1.[Renumbered 268.085, subdivision 1]
    Subd. 1a.[Renumbered 268.087]
    Subd. 2.[Renumbered 268.085, subd 2]
    Subd. 2a.[Renumbered 268.085, subd 13]
    Subd. 3.[Renumbered 268.085, subd 3]
    Subd. 3a.[Renumbered 268.085, subd 5]
    Subd. 3b.[Renumbered 268.085, subd 6]
    Subd. 4.[Renumbered 268.085, subd 4]
    Subd. 5.[Repealed, 1977 c 297 s 22]
    Subd. 5a.[Repealed, 1998 c 265 s 46]
    Subd. 6.[Renumbered 268.085, subd 7]
    Subd. 7.[Renumbered 268.085, subd 11]
    Subd. 8.[Renumbered 268.085, subd 12]
    Subd. 9.[Renumbered 268.085, subd 8]
    Subd. 10.[Renumbered 268.085, subd 10]
    Subd. 11.[Renumbered 268.085, subd 9]
268.081 [Repealed, 1993 c 4 s 34]
268.084 PERSONAL IDENTIFICATION NUMBER; PRESUMPTION.
(a) Each applicant shall be issued a personal identification number (PIN) for the purpose
of filing continued biweekly requests for unemployment benefits, accessing information, and
engaging in other transactions with the department.
(b) If a PIN assigned to an applicant is used in the filing of a continued biweekly request
for unemployment benefits under section 268.086 or any other type of transaction, the applicant
shall be presumed to have been the individual using that PIN and presumed to have received any
unemployment benefit payment issued. This presumption may be rebutted by a preponderance
of the evidence showing that the applicant assigned the PIN was not the individual who used
that PIN in the transaction.
(c) The commissioner shall notify each applicant of this section.
History: 1Sp2003 c 3 art 2 s 9
268.085 ELIGIBILITY REQUIREMENTS.
    Subdivision 1. Eligibility conditions. An applicant shall be eligible to receive unemployment
benefits for any week if:
(1) the applicant has an active benefit account and has filed a continued biweekly request for
unemployment benefits for that week pursuant to section 268.086;
(2) the week for which unemployment benefits are requested is in the applicant's benefit year;
(3) the applicant was unemployed as defined in section 268.035, subdivision 26;
(4) the applicant was able to work and was available for suitable employment, and was
actively seeking suitable employment. The applicant's weekly unemployment benefit amount
shall be reduced one-fifth for each day the applicant is unable to work or is unavailable for
suitable employment. If the computation of the reduced unemployment benefits is not a whole
dollar, it shall be rounded down to the next lower whole dollar.
This clause shall not apply to an applicant who is in reemployment assistance training, or each
day the applicant is on jury duty or serving as an election judge;
(5) the applicant has served a waiting period of one week that the applicant is otherwise
entitled to some amount of unemployment benefits. This clause shall not apply if the applicant
would have been entitled to federal disaster unemployment assistance because of a disaster in
Minnesota, but for the applicant's establishment of a benefit account under section 268.07; and
(6) the applicant has been participating in reemployment assistance services, such as job
search and resume writing classes, if the applicant has been determined in need of reemployment
assistance services by the commissioner, unless there is good cause for the applicant's failure to
participate.
    Subd. 2. Not eligible. An applicant shall not be eligible to receive unemployment benefits
for any week:
(1) that occurs before the effective date of a benefit account;
(2) that occurs in a period when the applicant is a student in attendance at, or on vacation
from a secondary school including the period between academic years or terms;
(3) that the applicant is incarcerated or performing court ordered community service. The
applicant's weekly unemployment benefit amount shall be reduced by one-fifth for each day the
applicant is incarcerated or performing court ordered community service. If the computation of
the reduced unemployment benefits is not a whole dollar, it shall be rounded down to the next
lower whole dollar;
(4) that the applicant fails or refuses to provide information on an issue of eligibility required
under section 268.101 or an issue of disqualification required under section 268.101;
(5) that the applicant is performing services 32 hours or more, in employment, covered
employment, noncovered employment, volunteer work, or self-employment regardless of the
amount of any earnings; or
(6) with respect to which the applicant is receiving, has received, or has filed an application
for unemployment benefits under any federal law or the law of any other state. If the appropriate
agency finally determines that the applicant is not entitled to the unemployment benefits, this
clause shall not apply.
    Subd. 3. Payments that delay unemployment benefits. (a) An applicant shall not be
eligible to receive unemployment benefits for any week with respect to which the applicant is
receiving, has received, or has filed for payment, equal to or in excess of the applicant's weekly
unemployment benefit amount, in the form of:
(1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause shall not
apply to vacation pay paid upon a permanent separation from employment;
(2) severance pay, bonus pay, sick pay, and any other money payments, except earnings
under subdivision 5, and back pay under subdivision 6, paid by an employer because of, upon,
or after separation from employment, but only if the money payment is considered wages at the
time of payment under section 268.035, subdivision 29, or United States Code, title 26, section
3121, clause (2), of the Federal Insurance Contribution Act;
(3) pension, retirement, or annuity payments from any plan contributed to by a base period
employer including the United States government, except Social Security benefits which are
provided for in subdivision 4. The base period employer contributed to the plan if the contribution
is excluded from the definition of wages under section 268.035, subdivision 29, clause (1), or
United States Code, title 26, section 3121, clause (2), of the Federal Insurance Contribution Act.
An applicant shall not be considered to have received the lump sum payment if the applicant
immediately deposits that payment in a qualified pension plan or account; or
(4) holiday pay.
(b) This subdivision shall apply to all the weeks of payment and shall be applied to the
period immediately following the last day of employment. The number of weeks of payment shall
be determined as follows:
(1) if the payments are made periodically, the total of the payments to be received shall be
divided by the applicant's last level of regular weekly pay from the employer; or
(2) if the payment is made in a lump sum, that sum shall be divided by the applicant's last
level of regular weekly pay from the employer.
(c) If the payment is less than the applicant's weekly unemployment benefit amount,
unemployment benefits shall be reduced by the amount of the payment. If the computation of
reduced unemployment benefits is not a whole dollar, it shall be rounded down to the next
lower whole dollar.
    Subd. 3a. Workers' compensation and disability insurance offset. (a) An applicant is not
eligible to receive unemployment benefits for any week in which the applicant is receiving or
has received compensation for loss of wages equal to or in excess of the applicant's weekly
unemployment benefit amount under:
(1) the workers' compensation law of this state;
(2) the workers' compensation law of any other state or similar federal law; or
(3) any insurance or trust fund paid in whole or in part by an employer.
(b) This subdivision shall not apply to an applicant who has a claim pending for loss
of wages under paragraph (a); however, before unemployment benefits may be paid when a
claim is pending, the issue of the applicant being able to work, as required under subdivision
1, clause (2), shall be determined under section 268.101, subdivision 3. If the applicant later
receives compensation as a result of the pending claim, the applicant is subject to the provisions
of paragraph (a) and the unemployment benefits paid shall be subject to recoupment by the
commissioner to the extent that the compensation constitutes overpaid unemployment benefits.
(c) If the amount of compensation described under paragraph (a) for any week is less than
the applicant's weekly unemployment benefit amount, unemployment benefits requested for that
week shall be reduced by the amount of that compensation payment.
    Subd. 4. Social Security benefits. (a) Any applicant aged 62 or over shall be required to
state when filing an application for unemployment benefits and when filing continued biweekly
requests for unemployment benefits whether the applicant is receiving, has filed for, or intends to
file for, primary Social Security old age benefits for any week during the benefit year.
There shall be deducted from an applicant's weekly unemployment benefit amount 50
percent of the weekly equivalent of the primary Social Security old age benefit the applicant has
received, has filed for, or intends to file for, with respect to that week.
(b) An applicant who is receiving, has received, or has filed for primary Social Security
disability benefits
for any week during the benefit year shall be determined unable to work and unavailable for
suitable employment for that week, unless:
(1) the Social Security Administration approved the collecting of primary Social Security
disability benefits each month the applicant was employed during the base period; or
(2) the applicant provides a statement from an appropriate health care professional who is
aware of the applicant's Social Security disability claim and the basis for that claim, certifying
that the applicant is able to work and available for suitable employment.
If an applicant meets the requirements of clause (1) or (2), then there shall be deducted from
the applicant's weekly unemployment benefit amount 50 percent of the weekly equivalent of the
primary Social Security disability benefits the applicant is receiving, has received, or has filed for,
with respect to that week; provided, however, that if the Social Security Administration determines
that an individual is not entitled to receive primary Social Security disability benefits for any week
the applicant has applied for those benefits, the 50 percent deduction shall not apply to that week.
(c) Information from the Social Security Administration shall be considered conclusive,
absent specific evidence showing that the information was erroneous.
(d) If the computation of the reduced unemployment benefits is not a whole dollar, it shall be
rounded down to the next lower whole dollar.
(e) This subdivision does not apply to Social Security survivor benefits.
    Subd. 5. Deductible earnings. (a) If the applicant has earnings with respect to any week,
from employment, covered employment, noncovered employment, self-employment, or volunteer
work, equal to or in excess of the applicant's weekly unemployment benefit amount, the applicant
shall be ineligible for unemployment benefits for that week.
(b) If the applicant has earnings, with respect to any week, that is less than the applicant's
weekly unemployment benefit amount, from employment, covered employment, noncovered
employment, self-employment, or volunteer work, that amount over the following shall be
deducted from the weekly unemployment benefit amount:
(1) 25 percent of earnings or $50, whichever is higher; and
(2) $200 for earnings from service in the National Guard or a United States military reserve
unit.
The resulting unemployment benefit, if not a whole dollar, shall be rounded down to the next
lower whole dollar.
(c) No deduction shall be made from an applicant's weekly unemployment benefit amount for
earnings from direct service as a volunteer firefighter or volunteer ambulance service personnel.
This exception to paragraphs (a) and (b) does not apply to on-call or standby pay provided to a
volunteer firefighter or volunteer ambulance service personnel. No deduction shall be made for
jury duty pay or for pay as an election judge.
(d) The applicant may report deductible earnings on continued biweekly requests for
unemployment benefits at the next lower whole dollar amount.
(e) Deductible earnings shall not include any money considered a deductible payment
under subdivision 3, but shall include all other money considered wages and any other money
considered earned income under state and federal law for income tax purposes.
    Subd. 6. Receipt of back pay. (a) Back pay received by an applicant with respect to any
week occurring in the 104 weeks prior to the payment of the back pay shall be deducted from
unemployment benefits paid for that week.
If the back pay is not paid with respect to a specific period, the back pay shall be applied to
the period immediately following the last day of employment.
(b) If the back pay is reduced by the amount of unemployment benefits that have been
paid, the amount of back pay withheld shall be:
(1) paid by the employer to the trust fund within 30 calendar days and subject to the same
collection procedures that apply to past due taxes;
(2) applied to unemployment benefit overpayments resulting from the payment of the
back pay; and
(3) credited to the maximum amount of unemployment benefits available to the applicant in
a benefit year that includes the weeks for which back pay was deducted.
(c) Unemployment benefits paid the applicant shall be removed from the computation of
the tax rate for taxpaying employers and removed from the reimbursable account for nonprofit
and government employers that have elected to be liable for reimbursements in the calendar
quarter the trust fund receives payment.
(d) Payments to the trust fund under this subdivision shall be considered as made by the
applicant.
    Subd. 7. School employees. (a) No wage credits in any amount from any employment with
any educational institution or institutions earned in any capacity may be used for unemployment
benefit purposes for any week during the period between two successive academic years or
terms if:
(1) the applicant had employment for any educational institution or institutions in the prior
academic year or term; and
(2) there is a reasonable assurance that the applicant will have employment for any
educational institution or institutions in the following academic year or term, unless that
subsequent employment is substantially less favorable than the employment of the prior academic
year or term.
(b) Paragraph (a) shall not apply to an applicant who, at the end of the prior academic year or
term, had an agreement for a definite period of employment between academic years or terms
in other than an instructional, research, or principal administrative capacity and the educational
institution or institutions failed to provide that employment.
(c) If unemployment benefits are denied to any applicant under paragraph (a) who was
employed in the prior academic year or term in other than an instructional, research, or principal
administrative capacity and who was not offered an opportunity to perform the employment in
the following academic year or term, the applicant shall be entitled to retroactive unemployment
benefits for each week during the period between academic years or terms that the applicant filed
a timely continued biweekly request for unemployment benefits, but unemployment benefits
were denied solely because of paragraph (a).
(d) An educational assistant shall not be considered to be in an instructional, research, or
principal administrative capacity.
(e) Paragraph (a) shall apply to any vacation period or holiday recess if the applicant was
employed immediately before the vacation period or holiday recess, and there is a reasonable
assurance that the applicant will be employed immediately following the vacation period or
holiday recess.
(f) This subdivision shall apply to employment with an educational service agency if the
applicant performed the services at an educational institution or institutions. "Educational service
agency" means a governmental agency or entity established and operated exclusively for the
purpose of providing services to one or more educational institutions. This subdivision shall also
apply to employment with Minnesota or a political subdivision, or a nonprofit organization, if the
services are provided to or on behalf of an educational institution or institutions.
(g) Paragraphs (a) and (e) shall apply beginning the Sunday of the week that there is a
reasonable assurance of employment.
(h) Employment with multiple education institutions shall be aggregated for purposes of
application of this subdivision.
(i) If all of the applicant's employment with any educational institution or institutions
during the prior academic year or term consisted of on-call employment, and the applicant has a
reasonable assurance of any on-call employment with any educational institution or institutions
for the following academic year or term, it shall not be considered substantially less favorable
employment.
(j) Paragraph (a) shall also apply to the period between two regular but not successive terms.
(k) A "reasonable assurance" may be written, oral, implied, or established by custom
or practice.
(l) An "educational institution" is an educational entity operated by Minnesota or a political
subdivision or an instrumentality thereof, or an educational organization described in United
States Code, title 26, section 501(c)(3) of the federal Internal Revenue Code, and exempt from
income tax under section 501(a).
    Subd. 8. Services for school contractors. (a) Wage credits from an employer are subject
to subdivision 7, if:
(1) the employment was provided pursuant to a contract between the employer and an
elementary or secondary school; and
(2) the contract was for services that the elementary or secondary school could have had
performed by its employees.
(b) Wage credits from an employer are not subject to subdivision 7 if:
(1) those wage credits were earned by an employee of a private employer performing work
pursuant to a contract between the employer and an elementary or secondary school; and
(2) the employment was related to food services provided to the school by the employer.
    Subd. 9. Business owners. Wage credits from an employer may not be used for
unemployment benefit purposes by any applicant who:
(1) individually, jointly, or in combination with the applicant's spouse, parent, or child owns
or controls directly or indirectly 25 percent or more interest in the employer, or is the spouse,
parent, or minor child of any individual who owns or controls directly or indirectly 25 percent or
more interest in the employer; and
(2) is not permanently separated from employment.
This subdivision is effective when the applicant has been paid four times the applicant's
weekly unemployment benefit amount in the current benefit year.
    Subd. 10. Recreational or tourist industry employment. (a) If an applicant has wage
credits from recreational or tourist industry employment, unemployment benefits shall be
available only if the applicant can establish a benefit account under section 268.07, subdivision 2,
excluding the wage credits from recreational or tourist industry employment. This subdivision
applies only to employment that is available with the employer for 15 consecutive weeks or less
each calendar year.
(b) Wage credits from recreational or tourist industry employment may not be used for
unemployment benefit purposes during weeks outside the normal employment season.
    Subd. 11. Athletes and coaches. Unemployment benefits shall not be paid to an applicant
on the basis of any wage credits from employment that consists of coaching or participating in
sports or athletic events or training or preparing to participate for any week during the period
between two successive sport seasons, or similar periods, if:
(1) the applicant was so employed in the prior season or similar period, and
(2) there is a reasonable assurance that the applicant will be so employed in the following
season or similar period.
    Subd. 12. Aliens. (a) An alien shall be ineligible for unemployment benefits for any week
the alien is not authorized to work in the United States under federal law. Information from the
Bureau of Citizenship and Immigration Services shall be considered conclusive, absent specific
evidence that the information was erroneous. Pursuant to the existing agreement between the
United States and Canada, this paragraph shall not apply to an applicant who is a Canadian citizen
and has returned to and is living in Canada each week unemployment benefits are requested.
(b) Unemployment benefits shall not be paid on the basis of wage credits earned by an alien
unless the alien (1) was lawfully admitted for permanent residence at the time of the employment,
(2) was lawfully present for the purposes of the employment, or (3) was permanently residing in
the United States under color of law at the time of the employment.
(c) Any information required of applicants applying for unemployment benefits to determine
eligibility because of their alien status shall be required from all applicants.
    Subd. 13. Suspension from employment. (a) An applicant who has been suspended from
employment without pay for 30 calendar days or less, as a result of employment misconduct as
defined under section 268.095, subdivision 6, shall be ineligible for unemployment benefits
beginning the Sunday of the week that the applicant was suspended and continuing for the
duration of the suspension.
(b) A suspension from employment without pay for more than 30 calendar days shall be
considered a discharge from employment under section 268.095, subdivision 5.
(c) A suspension from employment with pay, regardless of duration, shall not be considered
a separation from employment and the applicant shall be ineligible for unemployment benefits
for the duration of the suspension with pay.
    Subd. 13a. Leave of absence. (a) An applicant on a voluntary leave of absence shall be
ineligible for unemployment benefits for the duration of the leave of absence. An applicant on an
involuntary leave of absence shall not be ineligible under this subdivision.
A leave of absence is voluntary when work that the applicant can then perform is available
with the applicant's employer but the applicant chooses not to work. A medical leave of absence
shall not be presumed to be voluntary.
(b) A period of vacation requested by the applicant, paid or unpaid, shall be considered a
voluntary leave of absence. A vacation period assigned by an employer under: (1) a uniform
vacation shutdown; (2) a collective bargaining agreement; or (3) an established employer policy,
shall be considered an involuntary leave of absence.
(c) A voluntary leave of absence shall not be considered a quit and an involuntary leave of
absence shall not be considered a discharge from employment for purposes of section 268.095.
(d) An applicant who is on a paid leave of absence, whether the leave of absence is voluntary
or involuntary, shall be ineligible for unemployment benefits for the duration of the leave.
(e) This subdivision shall apply to a leave of absence from a base period employer, an
employer during the period between the end of the base period and the effective date of the benefit
account, or an employer during the benefit year.
    Subd. 13b. Labor dispute. (a) An applicant who has stopped working because of a labor
dispute at the establishment where the applicant is employed shall be ineligible for unemployment
benefits:
(1) until the end of the calendar week that the labor dispute was in active progress if the
applicant is participating in or directly interested in the labor dispute; or
(2) until the end of the calendar week that the labor dispute began if the applicant is not
participating in or directly interested in the labor dispute.
Participation includes any failure or refusal by an applicant, voluntarily or involuntarily, to
accept and perform available and customary work at the establishment.
(b) An applicant who has stopped working because of a jurisdictional controversy between
two or more labor organizations at the establishment where the applicant is employed shall be
ineligible for unemployment benefits until the end of the calendar week that the jurisdictional
controversy was in progress.
(c) An applicant shall not be ineligible for unemployment benefits under this subdivision if:
(1) the applicant stops working because of an employer's intentional failure to observe the
terms of the safety and health section of a union contract or failure to comply with an official
citation for a violation of federal or state laws involving occupational safety and health;
(2) the applicant stops working because of a lockout; or
(3) the applicant is discharged prior to the beginning of a labor dispute.
(d) A quit from employment by the applicant during the time that the labor dispute is in
active progress at the establishment shall not terminate the applicant's participation in or direct
interest in the labor dispute for purposes of this subdivision.
(e) For the purpose of this subdivision, the term "labor dispute" shall have the same definition
as provided in section 179.01, subdivision 7.
    Subd. 13c. Offers of suitable employment. (a) An applicant shall be ineligible for all
unemployment benefits for eight calendar weeks if the applicant, without good cause:
(1) failed to apply for available, suitable employment of which the applicant was advised by
the commissioner or an employer;
(2) failed to accept suitable employment when offered; or
(3) avoided an offer of suitable employment.
(b) "Good cause" is a reason that would cause a reasonable individual who wants suitable
employment to fail to apply for, accept, or avoid suitable employment. Good cause includes:
(1) the applicant is employed in other suitable employment;
(2) the applicant is in reemployment assistance training;
(3) the applicant formerly worked for the employer and the loss of employment occurred
prior to the commencement of a labor dispute, was permanent or for an indefinite period, and the
applicant failed to apply for or accept the employment because a labor dispute was in progress at
the establishment; or
(4) the applicant formerly worked for the employer and quit that employment because of a
good reason caused by the employer.
(c) This subdivision only applies to offers of suitable employment with a new or a former
employer and does not apply to any type of job transfers, position reassignments, or changes in
job duties or responsibilities during the course of employment with an employer.
(d) The period of ineligibility under this subdivision and section 268.095 shall begin the
Sunday of the week the applicant failed to apply for, accept, or avoided suitable employment
without good cause.
(e) This subdivision and section 268.095 shall apply to offers of suitable employment that
occur prior to the effective date of the benefit account and that occur during the benefit year.
(f) This subdivision and section 268.095 shall only apply to offers of suitable employment
that are considered covered employment under section 268.035, subdivision 12.
    Subd. 14. Able to work defined. "Able to work" means an applicant has the physical and
mental ability to perform (1) the usual duties of the applicant's usual occupation or (2) the usual
duties of work that is gainful employment engaged in by others as a means of livelihood.
    Subd. 15. Available for suitable employment defined. (a) "Available for suitable
employment" means an applicant is ready and willing to accept suitable employment in the
labor market area. The attachment to the work force must be genuine. An applicant may restrict
availability to suitable employment, but there must be no other restrictions, either self-imposed or
created by circumstances, temporary or permanent, that prevent accepting suitable employment.
(b) To be considered "available for suitable employment," a student must be willing to
quit school to accept suitable employment.
(c) An applicant who is absent from the labor market area for personal reasons, other than to
search for work, is not "available for suitable employment."
(d) An applicant who has restrictions on the hours of the day or days of the week that the
applicant can or will work, that are not normal for the applicant's usual occupation or other
suitable employment, is not "available for suitable employment." An applicant must be available
for daytime employment, if suitable employment is performed during the daytime, even though
the applicant previously worked the night shift.
(e) An applicant must have transportation throughout the labor market area to be considered
"available for suitable employment."
    Subd. 16. Actively seeking suitable employment defined. (a) "Actively seeking suitable
employment" means those reasonable, diligent efforts an individual in similar circumstances
would make if genuinely interested in obtaining suitable employment under the existing conditions
in the labor market area. Limiting the search to positions that are not available or are above the
applicant's training, experience, and qualifications is not "actively seeking suitable employment."
(b) To be considered "actively seeking suitable employment" an applicant shall, when
reasonable, contact those employers from whom the applicant was laid off due to lack of work
and request suitable employment.
(c) If reasonable prospects of suitable employment in the applicant's usual or customary
occupation do not exist, the applicant must actively seek other suitable employment to be
considered "actively seeking suitable employment." This applies to an applicant who is seasonally
unemployed.
(d) An applicant who is seeking employment only through a union is not actively seeking
suitable employment unless the applicant is in an occupation where it is required by union rule
that all the hiring in that locality is done through the union. The applicant must be a union member
in good standing, registered with the union for employment, and in compliance with other union
rules to be considered "actively seeking suitable employment."
History: (4337-26) Ex1936 c 2 s 6,7; 1937 c 43 s 2; 1937 c 306 s 4; 1937 c 401 s 1; 1939 c
443 s 5,6; 1941 c 554 s 5,6; 1943 c 650 s 4,5; 1945 c 376 s 5,6; 1947 c 432 s 7; 1949 c 605 s 9;
1953 c 97 s 9; 1953 c 699 s 10; 1965 c 741 s 14-17; 1967 c 342 s 1; 1967 c 573 s 5; 1969 c 6
s 34; 1969 c 42 s 1; 1971 c 942 s 9-11; 1973 c 23 s 1; 1973 c 599 s 6-9; 1974 c 477 s 1; 1975
c 104 s 2; 1975 c 336 s 13-16; 1975 c 359 s 23; 1976 c 163 s 59; 1976 c 271 s 78; 1977 c 4 s
7,8; 1977 c 242 s 1; 1977 c 297 s 15-19; 1978 c 612 s 1; 1978 c 618 s 1; 1979 c 24 s 1; 1979 c
181 s 9-13,19; 1980 c 508 s 8,9; 1982 c 619 s 1; 1Sp1982 c 1 s 23-28; 1983 c 290 s 168; 1983
c 372 s 20-24,26,27; 1985 c 248 s 44; 1986 c 444; 1987 c 362 s 18-20; 1987 c 384 art 1 s 55;
1987 c 385 s 20-24; 1989 c 65 s 8; 1989 c 209 art 2 s 1; 1989 c 282 art 2 s 169; 1990 c 516 s 4;
1991 c 265 art 11 s 22; 1992 c 484 s 10-12; 1993 c 67 s 3-7; 1994 c 488 s 2-4,8; 1995 c 54 s
8,9; 1995 c 229 art 3 s 15; 1995 c 231 art 1 s 32; 1996 c 417 s 18-20,31; 1997 c 66 s 36-54,79;
1998 c 265 s 24-29,44,45; 1999 c 107 s 42,44,66; 2000 c 343 s 4; 2000 c 478 art 2 s 7; 2000
c 488 art 2 s 17; 2001 c 175 s 27-35,38-41,52; 1Sp2003 c 3 art 1 s 8; art 2 s 11-14,20; 2004 c
183 s 53-65,86; 2005 c 112 art 2 s 17-21,27,41; 2005 c 115 s 1
268.086 CONTINUED BIWEEKLY REQUEST FOR UNEMPLOYMENT BENEFITS
ON AN ACTIVE BENEFIT ACCOUNT.
    Subdivision 1. Active benefit account. (a) A benefit account shall be considered active only
when an applicant files continued biweekly requests for unemployment benefits in the manner and
within the time periods prescribed. A benefit account shall be considered inactive if an applicant
stops filing a continued biweekly request or fails to file a continued biweekly request within the
time period required. The benefit account shall be considered inactive as of the Sunday following
the last week or biweekly period for which a continued biweekly request has been timely filed.
(b) A benefit account that is inactive shall be reactivated the Sunday of the week that
the applicant makes a contact with the department to do so, in the manner prescribed by the
commissioner for reactivating that applicant's benefit account. Upon specific request of an
applicant, a benefit account may be reactivated effective up to two weeks prior to the week the
applicant made contact with the department to reactivate.
    Subd. 2. Continued biweekly request for unemployment benefits defined. A continued
biweekly request for unemployment benefits is a certification by an applicant, done on a
biweekly basis, that the applicant is unemployed and meets the ongoing eligibility requirements
for unemployment benefits under section 268.085 for a specific week or two-week period.
A continued biweekly request shall include information on possible issues of eligibility and
disqualification in accordance with section 268.101, subdivision 1, paragraph (c).
    Subd. 3. Methods for filing continued biweekly requests for unemployment benefits.
(a) The commissioner shall designate to each applicant one of the following methods for filing a
continued biweekly request:
(1) by electronic transmission under subdivision 5;
(2) by mail under subdivision 6; or
(3) by in-person interview under subdivision 7.
(b) The method designated by the commissioner shall be the only method allowed for filing a
continued biweekly request by that applicant. An applicant may ask that one of the other allowed
methods be designated and the commissioner shall consider inconvenience to the applicant as well
as administrative capacity in determining whether to allow an applicant to change the designated
method for filing a continued biweekly request for unemployment benefits.
    Subd. 4.[Repealed, 2005 c 112 art 2 s 42]
    Subd. 5. Continued biweekly request for unemployment benefits by electronic
transmission. (a) A continued biweekly request for unemployment benefits by electronic
transmission shall be filed to that electronic mail address or Internet address prescribed by
the commissioner for that applicant. In order to constitute a continued biweekly request, all
information asked for, including information authenticating that the applicant is sending the
transmission, must be provided in the format required. If all of the information asked for is not
provided, the communication shall not constitute a continued biweekly request for unemployment
benefits.
The electronic transmission communication must be filed on the date required for the
applicant for filing a continued biweekly request by electronic transmission.
(b) If the electronic transmission continued biweekly request is not filed on the date required,
a continued biweekly request by electronic transmission shall be accepted if the applicant files
the continued biweekly request by electronic transmission within 14 days following the week in
which the date required occurred. If the continued biweekly request by electronic transmission is
not filed within 14 days following the week in which the date required occurred, the electronic
continued biweekly request shall not be accepted and the applicant shall be ineligible for
unemployment benefits for the period covered by the continued biweekly request and the benefit
account shall be considered inactive, unless the applicant shows good cause for failing to file the
continued biweekly request by electronic transmission within the time period required.
    Subd. 6. Continued biweekly request for unemployment benefits by mail. (a) A
continued biweekly request for unemployment benefits by mail shall be on a form prescribed
by the commissioner. The form, in order to constitute a continued biweekly request, must be
totally completed and signed by the applicant.
The form must be filed on the date required for the applicant for filing a continued biweekly
request by mail, in an envelope with postage prepaid thereon, and sent to the address required by
the commissioner for that applicant.
(b) If the mail continued biweekly request for unemployment benefits is not filed on the date
required, a continued biweekly request shall be accepted if the form is filed by mail within 14 days
following the week in which the date required occurred. If the form is not filed within 14 days
following the week in which the date required occurred, the form shall not be accepted and the
applicant shall be ineligible for unemployment benefits for the period covered by the continued
biweekly request for unemployment benefits and the benefit account shall be considered inactive,
unless the applicant shows good cause for failing to file the form by mail within the time period
required.
(c) If the applicant has been designated to file a continued biweekly request for
unemployment benefits by mail, an applicant may submit the form by facsimile transmission on
the day otherwise required for mailing, or within 14 days following the week in which the date
required occurred. A form submitted by facsimile transmission shall be sent only to the telephone
number assigned for that purpose.
(d) An applicant who has been designated to file a continued biweekly request by mail may
personally deliver a continued biweekly request form only to the location to which the form
was otherwise required to be mailed.
    Subd. 7. In-person continued biweekly request for unemployment benefits. The
commissioner may require any applicant who has been designated to make a continued biweekly
request for unemployment benefits by telephone, by electronic transmission, or by mail to appear
for a personal interview at a place, time, and date designated, during which a written continued
biweekly request for unemployment benefits form shall be completed and submitted by the
applicant.
An applicant shall be ineligible for unemployment benefits for the week or biweekly period
covered by a continued biweekly request and the benefit account shall be considered inactive if
the applicant fails, without good cause, to comply with the requirement that the applicant appear
for a personal interview and at that time complete and submit a written continued biweekly
request form.
    Subd. 8. Good cause. A continued biweekly request for unemployment benefits that is not
filed within the time periods required by this section shall be accepted only for those weeks that
the applicant has "good cause" for not filing within the time periods required.
    Subd. 9. Good cause defined. "Good cause" for purposes of this section is a compelling
substantial reason that would have prevented a reasonable person acting with due diligence from
filing a continued biweekly request for unemployment benefits within the time periods required.
"Good cause" shall not include forgetfulness, loss of the continued biweekly request form,
having returned to work, or inability to file a continued biweekly request for unemployment
benefits by the method designated if the applicant was aware of the inability and did not make
diligent effort to have the method of filing a continued biweekly request changed by the
commissioner. "Good cause" shall not include having previously made an attempt to file a
continued biweekly request for unemployment benefits but where the communication was not
considered a continued biweekly request because the applicant failed to submit all required
information.
History: 1999 c 107 s 43,66; 2000 c 343 s 4; 2001 c 175 s 36,37; 1Sp2003 c 3 art 2
s 10,20; 2005 c 112 art 2 s 22,23
268.087 UNEMPLOYMENT BENEFITS DUE DECEASED PERSONS.
If unemployment benefits are due and payable at the time of an applicant's death, those
benefits may, upon application, be paid to the personal representative of the estate of the deceased.
In the event that no personal representative is appointed, the unemployment benefits may, upon
application be paid in the following order: (1) the surviving spouse, (2) the surviving child or
children, or (3) the surviving parent or parents.
An individual seeking payment shall complete an application prescribed by the commissioner
and the payment of unemployment benefits shall discharge the obligations to the applicant and no
other individual shall claim or assert any right to those unemployment benefits.
History: (4337-26) Ex1936 c 2 s 6; 1937 c 43 s 2; 1937 c 306 s 4; 1939 c 443 s 5; 1941 c
554 s 5; 1943 c 650 s 4; 1945 c 376 s 5; 1949 c 605 s 9; 1953 c 97 s 9; 1953 c 699 s 10; 1965 c
741 s 14-16; 1969 c 6 s 34; 1971 c 942 s 9,10; 1973 c 599 s 6-8; 1975 c 104 s 2; 1975 c 336 s
13-15; 1975 c 359 s 23; 1976 c 163 s 59; 1976 c 271 s 78; 1977 c 4 s 7; 1977 c 297 s 15-18; 1978
c 612 s 1; 1979 c 24 s 1; 1979 c 181 s 9,10,19; 1980 c 508 s 8; 1Sp1982 c 1 s 23-25; 1983 c 290 s
168; 1983 c 372 s 20-24; 1985 c 248 s 44; 1986 c 444; 1987 c 362 s 18; 1987 c 384 art 1 s 55;
1987 c 385 s 20-22; 1989 c 209 art 2 s 1; 1989 c 282 art 2 s 169; 1990 c 516 s 4; 1991 c 265 art
11 s 22; 1992 c 484 s 10; 1993 c 67 s 3,4; 1994 c 488 s 2,3,8; 1995 c 54 s 8,9; 1995 c 231 art 1 s
32; 1996 c 417 s 18,31; 1997 c 66 s 36-42; 1998 c 265 s 24,45; 1999 c 107 s 66; 2000 c 343 s 4
    Subdivision 1.[Repealed, 1997 c 66 s 81]
    Subd. 1a.[Renumbered 268.095, subdivision 1]
    Subd. 2.[Repealed, 1997 c 66 s 81]
    Subd. 2a.[Renumbered 268.095, subd 2]
    Subd. 3.[Renumbered subd 18]
    Subd. 4.[Repealed, 1997 c 66 s 81]
    Subd. 5.[Repealed, 1997 c 66 s 81]
    Subd. 6.[Repealed, 1997 c 66 s 81]
    Subd. 7.[Repealed, 1997 c 66 s 81]
    Subd. 8.[Repealed, 1997 c 66 s 81]
    Subd. 9.[Renumbered 268.095, subd 3]
    Subd. 10.[Renumbered 268.095, subd 4]
    Subd. 11.[Renumbered 268.095, subd 5]
    Subd. 12.[Renumbered 268.095, subd 6]
    Subd. 13.[Renumbered 268.095, subd 7]
    Subd. 14.[Renumbered 268.095, subd 8]
    Subd. 15.[Renumbered 268.095, subd 9]
    Subd. 16.[Renumbered 268.095, subd 10]
    Subd. 17.[Renumbered 268.095, subd 11]
    Subd. 18.[Renumbered 268.095, subd 12]
268.095 DISQUALIFICATION BECAUSE OF A QUIT OR DISCHARGE.
    Subdivision 1. Quit. An applicant who quit employment shall be disqualified from all
unemployment benefits according to subdivision 10 except when:
(1) the applicant quit the employment because of a good reason caused by the employer
as defined in subdivision 3;
(2) the applicant quit the employment to accept other covered employment that provided
substantially better terms and conditions of employment, but the applicant did not work
long enough at the second employment to have sufficient subsequent earnings to satisfy the
disqualification that would otherwise be imposed under subdivision 10 for quitting the first
employment;
(3) the applicant quit the employment within 30 calendar days of beginning the employment
because the employment was unsuitable for the applicant;
(4) the employment was unsuitable for the applicant and the applicant quit to enter
reemployment assistance training;
(5) the employment was part time and the applicant also had full-time employment
in the base period, from which full-time employment the applicant separated because of
nondisqualifying reasons, and the wage credits from the full-time employment are sufficient to
meet the minimum requirements to establish a benefit account under section 268.07;
(6) the applicant quit because the employer notified the applicant that the applicant was going
to be laid off due to lack of work within 30 calendar days. An applicant who quit employment
within 30 calendar days of a notified date of layoff due to lack of work shall be disqualified from
unemployment benefits through the end of the week that includes the scheduled date of layoff;
(7) the applicant quit the employment because the applicant's serious illness or injury made it
medically necessary that the applicant quit, provided that the applicant inform the employer of
the serious illness or injury and request accommodation and no reasonable accommodation is
made available.
If the applicant's serious illness is chemical dependency, this exception shall not apply if
the applicant was previously diagnosed as chemically dependent or had treatment for chemical
dependency, and since that diagnosis or treatment has failed to make consistent efforts to control
the chemical dependency; or
(8) domestic abuse of the applicant or the applicant's minor child, necessitated the applicant's
quitting the employment. Domestic abuse shall be shown by one or more of the following:
(i) a district court order for protection or other documentation of equitable relief issued
by a court;
(ii) a police record documenting the domestic abuse;
(iii) documentation that the perpetrator of the domestic abuse has been convicted of the
offense of domestic abuse;
(iv) medical documentation of domestic abuse; or
(v) written statement that the applicant or the applicant's minor child is a victim of domestic
abuse, provided by a social worker, member of the clergy, shelter worker, attorney at law, or other
professional who has assisted the applicant in dealing with the domestic abuse.
Domestic abuse for purposes of this clause shall be defined under section 518B.01.
    Subd. 2. Quit defined. (a) A quit from employment occurs when the decision to end the
employment was, at the time the employment ended, the employee's.
(b) An employee who has been notified that the employee will be discharged in the future,
who chooses to end the employment while employment in any capacity is still available, shall
be considered to have quit the employment.
(c) An employee who seeks to withdraw a previously submitted notice of quitting shall be
considered to have quit the employment if the employer does not agree that the notice may
be withdrawn.
(d) An applicant who, within five calendar days after completion of a suitable temporary
job assignment from a staffing service employer, (1) fails without good cause to affirmatively
request an additional job assignment, or (2) refuses without good cause an additional suitable job
assignment offered, shall be considered to have quit employment.
This paragraph shall apply only if, at the time of beginning of employment with the staffing
service employer, the applicant signed and was provided a copy of a separate document written in
clear and concise language that informed the applicant of this paragraph and that unemployment
benefits may be affected.
For purposes of this paragraph, "good cause" shall be a reason that is significant and would
compel an average, reasonable worker, who would otherwise want an additional temporary job
assignment with the staffing service employer, (1) to fail to contact the staffing service employer,
or (2) to refuse an offered assignment.
For purposes of this paragraph, a "staffing service employer" is an employer whose business
involves employing individuals directly for the purpose of furnishing temporary job assignment
workers to clients of the staffing service.
    Subd. 3. Good reason caused by the employer defined. (a) A good reason caused by the
employer for quitting is a reason:
(1) that is directly related to the employment and for which the employer is responsible;
(2) that is adverse to the worker; and
(3) that would compel an average, reasonable worker to quit and become unemployed rather
than remaining in the employment.
(b) The analysis required in paragraph (a) must be applied to the specific facts of each case.
(c) If an applicant was subjected to adverse working conditions by the employer, the
applicant must complain to the employer and give the employer a reasonable opportunity to
correct the adverse working conditions before that may be considered a good reason caused by
the employer for quitting.
(d) A reason for quitting employment shall not be considered a good reason caused by the
employer for quitting if the reason for quitting occurred because of the applicant's employment
misconduct.
(e) Notification of discharge in the future, including a layoff due to lack of work, shall not be
considered a good reason caused by the employer for quitting.
(f) An applicant has a good reason caused by the employer for quitting if it results from
sexual harassment of which the employer was aware, or should have been aware, and the
employer failed to take timely and appropriate action. Sexual harassment means unwelcome
sexual advances, requests for sexual favors, sexually motivated physical contact or other conduct
or communication of a sexual nature when:
(1) the applicant's submission to the conduct or communication is made a term or condition
of the employment;
(2) the applicant's submission to or rejection of the conduct or communication is the basis for
decisions affecting employment; or
(3) the conduct or communication has the purpose or effect of substantially interfering
with an applicant's work performance or creating an intimidating, hostile, or offensive working
environment.
(g) The definition of a good reason caused by the employer for quitting employment provided
by this subdivision shall be exclusive and no other definition shall apply.
    Subd. 4. Discharge. An applicant who was discharged from employment by an employer
shall be disqualified from all unemployment benefits according to subdivision 10 only if:
(1) the applicant was discharged because of employment misconduct as defined in
subdivision 6; or
(2) the applicant was discharged because of aggravated employment misconduct as defined
in subdivision 6a.
    Subd. 4a.[Renumbered subd 6a]
    Subd. 5. Discharge defined. (a) A discharge from employment occurs when any words or
actions by an employer would lead a reasonable employee to believe that the employer will no
longer allow the employee to work for the employer in any capacity. A layoff due to lack of work
shall be considered a discharge. A suspension from employment without pay of more than 30
calendar days shall be considered a discharge.
(b) An employee who gives notice of intention to quit the employment and is not allowed by
the employer to work the entire notice period shall be considered discharged from the employment
as of the date the employer will no longer allow the employee to work. If the discharge occurs
within 30 calendar days prior to the intended date of quitting, then, as of the intended date of
quitting, the separation from employment shall be considered a quit from employment subject to
subdivision 1.
    Subd. 6. Employment misconduct defined. (a) Employment misconduct means any
intentional, negligent, or indifferent conduct, on the job or off the job (1) that displays clearly a
serious violation of the standards of behavior the employer has the right to reasonably expect of
the employee, or (2) that displays clearly a substantial lack of concern for the employment.
Inefficiency, inadvertence, simple unsatisfactory conduct, a single incident that does not have
a significant adverse impact on the employer, conduct an average reasonable employee would
have engaged in under the circumstances, poor performance because of inability or incapacity,
good faith errors in judgment if judgment was required, or absence because of illness or injury
with proper notice to the employer, are not employment misconduct.
(b) Conduct that was a direct result of the applicant's chemical dependency is not
employment misconduct unless the applicant was previously diagnosed chemically dependent or
had treatment for chemical dependency, and since that diagnosis or treatment has failed to make
consistent efforts to control the chemical dependency.
(c) Conduct that was a result of the applicant, or the applicant's minor child, being a victim
of domestic abuse as defined under section 518B.01, is not employment misconduct. Domestic
abuse shall be shown as provided for in section 268.095, subdivision 1, clause (8).
(d) A driving offense in violation of sections 169A.20, 169A.31, or 169A.50 to 169A.53 that
interferes with or adversely affects the employment is employment misconduct.
(e) The definition of employment misconduct provided by this subdivision shall be exclusive
and no other definition shall apply.
    Subd. 6a. Aggravated employment misconduct defined. (a) For the purpose of this section,
"aggravated employment misconduct" means:
(1) the commission of any act, on the job or off the job, that would amount to a gross
misdemeanor or felony if the act substantially interfered with the employment or had a significant
adverse effect on the employment; or
(2) for an employee of a facility as defined in section 626.5572, aggravated employment
misconduct includes an act of patient or resident abuse, financial exploitation, or recurring or
serious neglect, as defined in section 626.5572 and applicable rules.
(b) If an applicant is convicted of a gross misdemeanor or felony for the same act for which
the applicant was discharged, it is aggravated employment misconduct if the act substantially
interfered with the employment or had a significant adverse effect on the employment.
(c) The definition of aggravated employment misconduct provided by this subdivision shall
be exclusive and no other definition shall apply.
    Subd. 7. Act or omissions after separation. An applicant shall not be disqualified from
unemployment benefits under section 268.085, subdivision 13c, and this section for any acts or
omissions occurring after the applicant's separation from employment with the employer. A layoff
due to lack of work is considered a separation from employment.
    Subd. 8.[Renumbered 268.085, subd 13c]
    Subd. 9.[Renumbered 268.035, subd 23a]
    Subd. 10. Disqualification duration. (a) A disqualification from the payment of all
unemployment benefits under subdivisions 1 and 4 shall be for the duration of the applicant's
unemployment and until the end of the calendar week that the applicant had total earnings in
subsequent covered employment of eight times the applicant's weekly unemployment benefit
amount.
(b) Any disqualification imposed under subdivisions 1 and 4 shall begin on the Sunday of the
week that the applicant became separated from employment.
(c) In addition to paragraph (a), if the applicant was discharged from employment because of
aggravated employment misconduct, wage credits from that employment shall be canceled.
    Subd. 11. Application. (a) Section 268.085, subdivision 13c, and this section shall apply to
all covered employment, full time or part time, temporary or of limited duration, permanent or of
indefinite duration, that occurred in Minnesota during the base period, the period between the
end of the base period and the effective date of the benefit account, or the benefit year, except
as provided for in subdivision 1, clause (5).
(b) Paragraph (a) shall also apply to employment covered under an unemployment insurance
program of any other state or established by an act of Congress.
    Subd. 12.[Renumbered 268.085, subd 13b]
History: (4337-27) Ex1936 c 2 s 7; 1937 c 401 s 1; 1939 c 443 s 6; 1941 c 554 s 6; 1943 c
650 s 5; 1945 c 376 s 6; 1947 c 432 s 7; 1965 c 741 s 17; 1967 c 342 s 1; 1967 c 573 s 5; 1969 c
42 s 1; 1971 c 942 s 11; 1973 c 23 s 1; 1973 c 599 s 9; 1974 c 477 s 1; 1975 c 336 s 16; 1977 c 4 s
8; 1977 c 242 s 1; 1977 c 297 s 19; 1978 c 618 s 1; 1979 c 181 s 11-13; 1980 c 508 s 9; 1982 c
619 s 1; 1Sp1982 c 1 s 26-28; 1983 c 372 s 26,27; 1986 c 444; 1987 c 362 s 19,20; 1987 c 385 s
23,24; 1989 c 65 s 8; 1989 c 209 art 2 s 1; 1992 c 484 s 11,12; 1993 c 67 s 5-7; 1994 c 488 s 4,8;
1995 c 229 art 3 s 15; 1996 c 417 s 19,20,31; 1997 c 66 s 43-54,79; 1998 c 265 s 25-29,44,45;
1999 c 107 s 44,66; 2000 c 343 s 4; 2000 c 478 art 2 s 7; 2001 c 175 s 38-41,52; 1Sp2003 c 3 art
2 s 11-14,20; 2004 c 183 s 62-65,86; 2005 c 112 art 2 s 24-29
268.10 [Repealed, 1996 c 417 s 32]
268.101 DETERMINATIONS ON ISSUES OF DISQUALIFICATION AND ELIGIBILITY.
    Subdivision 1. Notification. (a) In an application for unemployment benefits, each applicant
shall report the name and the reason for no longer working for the applicant's most recent
employer, as well as the names of all employers and the reasons for no longer working for all
employers during the six calendar months prior to the date of the application. If the reason
reported for no longer working for any of those employers is other than a layoff due to lack of
work, that shall raise an issue of disqualification that the department shall determine. An applicant
shall report any offers of employment refused during the eight calendar weeks prior to the date of
the application for unemployment benefits and the name of the employer that made the offer. An
applicant's failure to report the name of an employer, or giving an incorrect reason for no longer
working for an employer, or failing to disclose an offer of employment that was refused, shall be
considered a violation of section 268.182, subdivision 2.
In an application, the applicant shall also provide all information necessary to determine the
applicant's eligibility for unemployment benefits under section 268.085. If the applicant fails or
refuses to provide information necessary to determine the applicant's eligibility for unemployment
benefits under section 268.085, the applicant shall be ineligible for unemployment benefits under
section 268.085, subdivision 2, until the applicant provides this required information.
(b) Upon establishment of a benefit account, the commissioner shall notify, by mail or
electronic transmission, all employers the applicant was required to report on the application and
all base period employers and determined successors to those employers under section 268.051,
subdivision 4
, in order to provide the employer an opportunity to raise, in a manner prescribed by
the commissioner, any issue of disqualification or any issue of eligibility. An employer shall be
informed of the effect that failure to raise an issue of disqualification within ten calendar days
after sending of the notice, as provided for under subdivision 2, paragraph (b), may have on
the employer under section 268.047.
(c) Each applicant shall report any employment, loss of employment, and offers of
employment refused, during those weeks the applicant filed continued biweekly requests for
unemployment benefits pursuant to section 268.086. Each applicant who stops filing continued
biweekly requests during the benefit year and later begins filing continued biweekly requests
during that same benefit year shall report the name of any employer the applicant worked for
during the period between the filing of continued biweekly requests and the reason the applicant
stopped working for the employer. The applicant shall report any offers of employment refused
during the period between the filing of continued biweekly requests for unemployment benefits.
Those employers from which the applicant has reported a loss of employment pursuant to this
paragraph shall be notified by mail or electronic transmission and provided an opportunity to
raise, in a manner prescribed by the commissioner, any issue of disqualification or any issue of
eligibility. An employer shall be informed of the effect that failure to raise an issue may have on
the employer under section 268.047.
(d) The purpose for requiring the applicant to report the name of employers and the reason for
no longer working for those employers, or offers of employment refused, under paragraphs (a) and
(c) is for the commissioner to obtain information from an applicant raising all issues that may have
the potential of disqualifying the applicant from unemployment benefits under section 268.095, or
the applicant being ineligible for unemployment benefits under section 268.085, subdivision 13c.
If the reason given by the applicant for no longer working for an employer is other than a layoff
due to lack of work, that shall raise an issue of disqualification and the applicant shall be required,
as part of the determination process under subdivision 2, paragraph (a), to state all the facts about
the cause for no longer working for the employer, if known. If the applicant fails or refuses to
provide any required information, the applicant shall be ineligible for unemployment benefits
under section 268.085, subdivision 2, until the applicant provides this required information.
    Subd. 2. Disqualification determination. (a) The commissioner shall determine any
issue of disqualification raised by information required from an applicant under subdivision 1,
paragraph (a) or (c), and send to the applicant and employer, by mail or electronic transmission,
a determination of disqualification or a determination of nondisqualification, as is appropriate.
The determination shall state the effect on the employer under section 268.047. A determination
shall be made pursuant to this paragraph even if a notified employer has not raised the issue of
disqualification.
(b) The commissioner shall determine any issue of disqualification raised by an employer
and send to the applicant and that employer, by mail or electronic transmission, a determination of
disqualification or a determination of nondisqualification as is appropriate. The determination
shall state the effect on the employer under section 268.047.
If a base period employer:
(1) was not the applicant's most recent employer prior to the application for unemployment
benefits;
(2) did not employ the applicant during the six calendar months prior to the application for
unemployment benefits; and
(3) did not raise an issue of disqualification within ten calendar days of notification under
subdivision 1, paragraph (b);
then any exception under section 268.047, subdivisions 2 and 3, shall begin the Sunday two weeks
following the week that the issue of disqualification was raised by the employer.
(c) If any time within 24 months from the establishment of a benefit account the
commissioner finds that an applicant failed to report any employment, or loss of employment
that was required to be provided by the applicant under this section, the commissioner shall
determine any issue of disqualification on that loss of employment and send to the applicant and
involved employer, by mail or electronic transmission, a determination of disqualification or a
determination of nondisqualification, as is appropriate. The determination shall state the effect on
the employer under section 268.047.
This paragraph shall not prevent the imposition of any penalty under section 268.18,
subdivision 2
, or 268.182.
(d) An issue of disqualification shall be determined based upon that information required
of an applicant, any information that may be obtained from an applicant or employer, and
information from any other source, without regard to any common law burden of proof.
(e) A determination of disqualification or a determination of nondisqualification shall be
final unless an appeal is filed by the applicant or notified employer within 30 calendar days after
sending. The determination shall contain a prominent statement indicating the consequences of
not appealing. Proceedings on the appeal shall be conducted in accordance with section 268.105.
(f) An issue of disqualification for purposes of this section shall include any reason for
no longer working for an employer other than a layoff due to lack of work, any question of a
disqualification from unemployment benefits under section 268.095, any question of an exception
to disqualification under section 268.095, any question of effect on an employer under section
268.047, and any question of an otherwise imposed disqualification that an applicant has satisfied
under section 268.095, subdivision 10.
(g) Regardless of the requirements of this subdivision, the commissioner is not required to
send to an applicant a determination where the applicant has satisfied any otherwise potential
disqualification under section 268.095, subdivision 10.
    Subd. 3. Eligibility determination. (a) The commissioner shall determine any issue of
eligibility raised by an employer, and send to the applicant and that employer, by mail or electronic
transmission, a determination of eligibility or a determination of ineligibility, as is appropriate.
(b) The commissioner shall determine any issue of eligibility raised by information obtained
from an applicant and send to the applicant, by mail or electronic transmission, a determination of
eligibility or a determination of ineligibility, as is appropriate. A determination shall be made
pursuant to this paragraph even if a notified employer has not raised the issue of eligibility.
(c) If any time within 24 months from the establishment of a benefit account the
commissioner finds the applicant failed to provide, on an application for unemployment benefits
or on a continued biweekly request for unemployment benefits, requested information on an
issue of eligibility, the commissioner shall determine the issue of eligibility and send to the
applicant, by mail or electronic transmission, a determination of eligibility or a determination of
ineligibility, as is appropriate.
This paragraph shall not prevent the imposition of a penalty under section 268.18,
subdivision 2
, or 268.182.
(d) A determination of eligibility or determination of ineligibility shall be final unless an
appeal is filed by the applicant or notified employer within 30 calendar days after sending. The
determination shall contain a prominent statement indicating the consequences of not appealing.
Proceedings on the appeal shall be conducted in accordance with section 268.105.
(e) An issue of eligibility for purposes of this section shall include any question regarding
the denial or allowing of unemployment benefits under sections 268.085, 268.086, 268.115,
268.125, 268.135, and 268.155.
(f) Only if an employer raised the issue of eligibility shall the employer be: (1) sent the
determination of eligibility or a determination of ineligibility, or (2) considered an involved
employer for purposes of an appeal under section 268.105.
    Subd. 3a. Direct hearing. Regardless of any provision of the Minnesota Unemployment
Insurance Law, the commissioner or an unemployment law judge may, prior to a determination
being made under this chapter, refer any issue of disqualification, any issue of eligibility, or any
other issue under this chapter, directly for hearing in accordance with section 268.105, subdivision
1
. The status of the issue shall be the same as if a determination had been made and an appeal filed.
    Subd. 4. Amended determination. Unless an appeal has been filed, the commissioner,
on the commissioner's own motion, may reconsider a determination of disqualification or
nondisqualification or a determination of eligibility or ineligibility that has not become final and
issue an amended determination. Any amended determination shall be sent to the applicant and
any involved employer by mail or electronic transmission. Any amended determination shall be
final unless an appeal is filed by the applicant or notified employer within 30 calendar days after
sending. Proceedings on the appeal shall be conducted in accordance with section 268.105.
    Subd. 5. Unemployment benefit payment. If a determination or amended determination
allows unemployment benefits to an applicant, the unemployment benefits shall be paid regardless
of any appeal period or any appeal having been filed.
    Subd. 6. Overpayment. A determination or amended determination that holds an applicant
disqualified or ineligible for unemployment benefits for periods an applicant has been paid
benefits is considered an overpayment of those unemployment benefits under section 268.18,
subdivision 1
.
    Subd. 7.[Renumbered 268.19, subd 2]
History: 1996 c 417 s 21; 1997 c 66 s 55-58,79; 1998 c 265 s 30; 1999 c 107 s 45,66;
2000 c 343 s 4; 2001 c 175 s 42,43,52; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 66-69; 2005 c
112 art 2 s 30-32,41
268.103 APPEALS BY ELECTRONIC TRANSMISSION.
    Subdivision 1. In commissioner's discretion. The commissioner shall have the discretion to
allow an appeal to be filed by electronic transmission. If the commissioner allows an appeal to
be filed by electronic transmission, that shall be clearly set out on the determination or decision
subject to appeal.
The commissioner may restrict the manner, format, and conditions under which an appeal
by electronic transmission may be filed. Any restrictions as to days, hours, telephone number,
electronic address, or other conditions, shall be clearly set out on the determination or decision
subject to appeal.
All information requested by the commissioner when an appeal is filed by electronic
transmission must be supplied or the communication shall not constitute an appeal.
    Subd. 2. Applicant's appeal by mail. (a) The commissioner must allow an applicant to file
an appeal by mail even if an appeal by electronic transmission is allowed.
(b) A written statement delivered or mailed to the department that could reasonably be
interpreted to mean that an involved applicant is in disagreement with a specific determination or
decision shall be considered an appeal. No specific words need be used for the written statement
to be considered an appeal.
    Subd. 3.[Repealed by amendment, Laws 2004 c 183 s 70]
    Subd. 4. Protests by electronic transmission. This section shall apply to the filing of
protests to those determinations and notices that require a protest and affirmation procedure
prior to an appeal.
History: 1997 c 66 s 59; 1999 c 107 s 46; 2004 c 183 s 70; 2005 c 112 art 2 s 33
268.105 APPEALS.
    Subdivision 1. Evidentiary hearing by an unemployment law judge. (a) Upon a timely
appeal having been filed, the department shall send, by mail or electronic transmission, a notice of
appeal to all involved parties that an appeal has been filed, that a de novo due process evidentiary
hearing will be scheduled, and that the parties have certain rights and responsibilities regarding the
hearing. The department shall set a time and place for a de novo due process evidentiary hearing
and send notice to any involved applicant and any involved employer, by mail or electronic
transmission, not less than ten calendar days prior to the date of the hearing.
(b) The evidentiary hearing shall be conducted by an unemployment law judge without
regard to any common law burden of proof as an evidence gathering inquiry and not an adversarial
proceeding. The unemployment law judge shall ensure that all relevant facts are clearly and
fully developed. The department shall adopt rules on evidentiary hearings. The rules need not
conform to common law or statutory rules of evidence and other technical rules of procedure.
The department shall have discretion regarding the method by which the evidentiary hearing is
conducted. A report of any employee of the department, except a determination, made in the
regular course of the employee's duties, shall be competent evidence of the facts contained in it.
(c) After the conclusion of the hearing, upon the evidence obtained, the unemployment law
judge shall make findings of fact and decision and send those, by mail or electronic transmission,
to all involved parties. When the credibility of an involved party or witness testifying in an
evidentiary hearing has a significant effect on the outcome of a decision, the unemployment law
judge must set out the reason for crediting or discrediting that testimony. The unemployment law
judge's decision is final unless a request for reconsideration is filed pursuant to subdivision 2.
(d) Only employees of the department who are attorneys shall serve as unemployment law
judges. The commissioner may transfer to another unemployment law judge any proceedings
pending before an unemployment law judge.
    Subd. 2. Request for reconsideration. (a) Any involved applicant, involved employer, or
the commissioner may, within 30 calendar days of the sending of the unemployment law judge's
decision under subdivision 1, file a request for reconsideration asking the unemployment law
judge to reconsider that decision. Section 268.103 shall apply to a request for reconsideration. If a
request for reconsideration is timely filed, the unemployment law judge shall issue an order:
(1) modifying the findings of fact and decision issued under subdivision 1;
(2) setting aside the findings of fact and decision issued under subdivision 1 and directing
that an additional evidentiary hearing be conducted under subdivision 1; or
(3) affirming the findings of fact and decision issued under subdivision 1.
(b) Upon a timely request for reconsideration having been filed, the department shall send a
notice, by mail or electronic transmission, to all involved parties that a request for reconsideration
has been filed. The notice shall inform the involved parties:
(1) of the opportunity to provide comment on the request for reconsideration, and the right
under subdivision 5 to obtain a copy of any recorded testimony and exhibits offered or received
into evidence at the evidentiary hearing;
(2) that providing specific comments as to a perceived factual or legal error in the decision,
or a perceived error in procedure during the evidentiary hearing, will assist the unemployment
law judge in deciding the request for reconsideration;
(3) of the right to obtain any comments and submissions provided by the other involved party
regarding the request for reconsideration; and
(4) of the provisions of paragraph (c) regarding additional evidence.
This paragraph shall not apply if paragraph (d) is applicable.
(c) In deciding a request for reconsideration, the unemployment law judge shall not, except
for purposes of determining whether to order an additional evidentiary hearing, consider any
evidence that was not submitted at the evidentiary hearing conducted under subdivision 1.
The unemployment law judge must order an additional evidentiary hearing if an involved
party shows that evidence which was not submitted at the evidentiary hearing: (1) would likely
change the outcome of the decision and there was good cause for not having previously submitted
that evidence; or (2) would show that the evidence that was submitted at the evidentiary hearing
was likely false and that the likely false evidence had an effect on the outcome of the decision.
(d) If the involved applicant or involved employer who filed the request for reconsideration
failed to participate in the evidentiary hearing conducted under subdivision 1, an order setting
aside the findings of fact and decision and directing that an additional evidentiary hearing be
conducted must be issued if the party who failed to participate had good cause for failing to do so.
In the notice of the request for reconsideration, the party who failed to participate shall be informed
of the requirement, and provided the opportunity, to show good cause for failing to participate. If
the unemployment law judge determines that good cause for failure to participate has not been
shown, the unemployment law judge must state that in the order issued under paragraph (a).
Submission of a written statement at the evidentiary hearing under subdivision 1 shall not
constitute participation for purposes of this paragraph.
All involved parties must be informed of this paragraph with the notice of appeal and notice
of hearing provided for in subdivision 1.
"Good cause" for purposes of this paragraph is a reason that would have prevented a
reasonable person acting with due diligence from participating at the evidentiary hearing.
(e) A request for reconsideration shall be decided by the unemployment law judge who
issued the findings of fact and decision under subdivision 1 unless that unemployment law judge:
(1) is no longer employed by the department; (2) is on an extended or indefinite leave; (3) has
been disqualified from the proceedings on the judge's own motion; or (4) has been removed from
the proceedings as provided for under subdivision 1 or applicable rule.
(f) The unemployment law judge shall send to any involved applicant or involved employer,
by mail or electronic transmission, the order issued under this subdivision. An order modifying
the previously issued findings of fact and decision or an order affirming the previously issued
findings of fact and decision shall be the final department decision on the matter and shall be final
and binding on the involved applicant and involved employer unless judicial review is sought
under subdivision 7.
    Subd. 2a.[Repealed by amendment, 2005 c 112 art 2 s 34]
    Subd. 3. Withdrawal of appeal. (a) Any appeal that is pending before an unemployment
law judge may be withdrawn by the appealing person, or an authorized representative of that
person, upon filing of a notice of withdrawal.
(b) The appeal shall, by order, be dismissed if a notice of withdrawal is filed, unless an
unemployment law judge directs that further adjudication is required for a proper result.
(c) A notice of withdrawal may be filed by mail or by electronic transmission.
    Subd. 3a. Decisions. (a) If an unemployment law judge's decision or order allows
unemployment benefits to an applicant, the unemployment benefits shall be paid regardless of any
request for reconsideration or any appeal to the Minnesota Court of Appeals having been filed.
(b) If an unemployment law judge's decision or order modifies or reverses a determination, or
prior decision of the unemployment law judge, allowing unemployment benefits to an applicant,
any benefits paid pursuant to the determination, or prior decision of the unemployment law
judge, is considered an overpayment of those unemployment benefits under section 268.18,
subdivision 1
.
(c) If an unemployment law judge's order under subdivision 2 allows unemployment benefits
to an applicant under section 268.095 because of a quit or discharge and the unemployment
law judge's decision is reversed by the Minnesota Court of Appeals or the Supreme Court of
Minnesota, any unemployment benefits paid the applicant shall not be considered an overpayment
of those unemployment benefits under section 268.18, subdivision 1.
(d) If an unemployment law judge, pursuant to subdivision 2, orders the taking of additional
evidence, the unemployment law judge's prior decision shall continue to be enforced until new
findings of fact and decision are made by the unemployment law judge.
    Subd. 4. Testimonial powers. An unemployment law judge may administer oaths and
affirmations, take depositions, and issue subpoenas to compel the attendance of witnesses and
the production of documents and other personal property considered necessary as evidence in
connection with the subject matter of an evidentiary hearing. The subpoenas shall be enforceable
through the district court in the district that the subpoena is issued. Witnesses subpoenaed, other
than an involved applicant or involved employer or officers and employees of an involved
employer, shall be paid by the department the same witness fees as in a civil action in district court.
    Subd. 5. Use of evidence; data privacy. (a) All testimony at any evidentiary hearing
conducted pursuant to subdivision 1 shall be recorded. A copy of any recorded testimony and
exhibits offered or received into evidence at the hearing shall, upon request, be furnished to a
party at no cost during the time period for filing a request for reconsideration or while a request
for reconsideration is pending.
(b) Regardless of any provision of law to the contrary, if recorded testimony and exhibits
received into evidence at the evidentiary hearing are not requested during the time period for filing
a request for reconsideration, or while a request for reconsideration is pending, that testimony and
other evidence shall later be made available only pursuant to a district court order. A subpoena
shall not be considered a district court order.
(c) Testimony obtained under subdivision 1, may not be used or considered for any purpose,
including impeachment, in any civil, administrative, or contractual proceeding, except by a
local, state, or federal human rights agency with enforcement powers, unless the proceeding is
initiated by the department.
    Subd. 5a. No collateral estoppel. No findings of fact or decision or order issued by an
unemployment law judge may be held conclusive or binding or used as evidence in any separate
or subsequent action in any other forum, be it contractual, administrative, or judicial, except
proceedings provided for under this chapter, regardless of whether the action involves the same
or related parties or involves the same facts.
    Subd. 6. Representation; fees. (a) In any proceeding under subdivision 1 or 2, an applicant
or involved employer may be represented by any agent.
(b) Except for services provided by an attorney-at-law, an applicant shall not be charged
fees, costs, or disbursements of any kind in a proceeding before an unemployment law judge, the
Minnesota Court of Appeals, or the Supreme Court of Minnesota.
    Subd. 7. Judicial review. (a) The Minnesota Court of Appeals shall, by writ of certiorari to
the department, review the unemployment law judge's decision, provided a petition for the writ is
filed with the court and a copy is served upon the unemployment law judge or the commissioner
and any other involved party within 30 calendar days of the sending of the unemployment law
judge's order under subdivision 2.
(b) Any employer petitioning for a writ of certiorari shall pay to the court the required filing
fee and upon the service of the writ shall furnish a cost bond to the department in accordance
with the Rules of Civil Appellate Procedure. If the employer requests a written transcript of the
testimony received at the evidentiary hearing conducted pursuant to subdivision 1, the employer
shall pay to the department the cost of preparing the transcript. That money shall be credited to
the administration account.
(c) Upon issuance by the Minnesota Court of Appeals of a writ of certiorari as a result of an
applicant's petition, the department shall furnish to the applicant at no cost a written transcript of
any testimony received at the evidentiary hearing conducted pursuant to subdivision 1, and, if
requested, a copy of all exhibits entered into evidence. No filing fee or cost bond shall be required
of an applicant petitioning the Minnesota Court of Appeals for a writ of certiorari.
(d) The Minnesota Court of Appeals may affirm the decision of the unemployment law
judge or remand the case for further proceedings; or it may reverse or modify the decision if the
substantial rights of the petitioner may have been prejudiced because the findings, inferences,
conclusion, or decision are:
(1) in violation of constitutional provisions;
(2) in excess of the statutory authority or jurisdiction of the department;
(3) made upon unlawful procedure;
(4) affected by other error of law;
(5) unsupported by substantial evidence in view of the entire record as submitted; or
(6) arbitrary or capricious.
(e) The department shall be considered the primary responding party to any judicial action
involving an unemployment law judge's decision. The department may be represented by an
attorney who is an employee of the department.
History: 1995 c 54 s 11; 1996 c 417 s 22,31; 1997 c 66 s 60; 1998 c 265 s 31,44; 1999 c
107 s 47,66; 2000 c 343 s 4; 2001 c 175 s 44; 1Sp2003 c 3 art 2 s 15; 2004 c 183 s 71; 2005 c
112 art 2 s 34
268.11 [Renumbered 268.042]
268.115 MS 1974 [Expired]
268.115 EXTENDED UNEMPLOYMENT BENEFITS.
    Subdivision 1. Definitions. The terms used in this section shall have the following meaning:
(1) "Extended unemployment benefit period" means a period that lasts for a minimum
of 13 weeks and that:
(i) Begins with the third week after there is a state "on" indicator; and
(ii) Ends with the third week after there is a state "off" indicator.
No extended unemployment benefit period may begin before the 14th week following the
end of a prior extended unemployment benefit period.
(2) There is a "state 'on' indicator" for a week if:
(i) for that week and the prior 12 weeks, the rate of insured unemployment:
(a) equaled or exceeded 120 percent of the average of the rates for the corresponding
13-week period ending in each of the prior two calendar years, and was five percent or more; or
(b) equaled or exceeded six percent; or
(ii) The United States Secretary of Labor determines that the average rate of seasonally
adjusted total unemployment in Minnesota for the most recent three months for which data is
published equals or exceeds 6.5 percent and this rate equals or exceeds 110 percent of the rate of
the corresponding three-month period in either of the prior two calendar years.
(3) There is a "state 'off' indicator" for a week if:
(i) under clause (2)(i), for that week and the prior 12 weeks, the requirements for a "state
'on' indicator" are not satisfied; or
(ii) under clause (2)(ii) the requirements for a "state 'on' indicator" are not satisfied.
(4) "Rate of insured unemployment," means the percentage derived by dividing the average
weekly number of applicants filing continued biweekly requests for regular unemployment
benefits in the most recent 13-week period by the average monthly covered employment for the
first four of the last six completed calendar quarters before the end of that 13-week period.
(5) "Regular unemployment benefits" means unemployment benefits available to an applicant
other than extended unemployment benefits and additional unemployment benefits.
(6) "Eligibility period" for an applicant means the period consisting of the weeks remaining
in the applicant's benefit year within the extended unemployment benefit period and, if the
benefit year ends within the extended unemployment benefit period, any weeks in the extended
unemployment benefit period.
(7) "Exhaustee" means an applicant who, in the eligibility period:
(a) the benefit year having not expired has received the maximum amount of regular
unemployment benefits that were available under section 268.07;
(b) the benefit year having expired, has insufficient wage credits to establish a new benefit
account; and
(c) has no right to any type of unemployment benefits under the law of any other state or
under federal laws and is not receiving unemployment benefits under the law of Canada.
    Subd. 2.[Repealed by amendment, 1999 c 107 s 48]
    Subd. 3. Requirements for extended unemployment benefits. If an extended
unemployment benefit period is in effect, an applicant shall be paid extended unemployment
benefits from the trust fund for any week in the applicant's eligibility period if the applicant:
(1) is an "exhaustee";
(2) has satisfied the same requirements as those for regular unemployment benefits under
section 268.069;
(3) has wage credits of not less than 40 times the weekly unemployment benefit amount; and
(4) is not subject to a denial of extended unemployment benefits under subdivision 9.
    Subd. 4. Weekly extended unemployment benefit amount. The weekly extended
unemployment benefit amount shall be the same as the weekly unemployment benefit amount
of regular unemployment benefits.
    Subd. 5. Maximum amount of extended unemployment benefits. The maximum amount
of extended unemployment benefits available to an applicant shall be 50 percent of the maximum
amount of regular unemployment benefits available in the benefit year, rounded down to the next
lower whole dollar. If the total rate of unemployment computed under subdivision 1, clause
(2)(ii), equaled or exceeded eight percent, the maximum amount of extended unemployment
benefits available shall be 80 percent of the maximum amount of regular unemployment benefits
available in the benefit year.
    Subd. 6. Public announcement. Whenever an extended unemployment benefit period is
to begin as a result of a state "on" indicator, or an extended unemployment benefit period is
to end as a result of a state "off" indicator the commissioner shall make an appropriate public
announcement.
    Subd. 7. Federal law. This section is enacted to conform to the requirements of United
States Code, title 26, section 3304, the Federal-State Extended Unemployment Compensation
Act of 1970 as amended and the applicable federal regulations.
    Subd. 8. Interstate applicants. An applicant residing in a state other than Minnesota shall
be eligible for only the first two weeks of extended unemployment benefits if the applicant's
benefit account was established pursuant to the interstate benefit payment plan and no extended
unemployment benefit period is in effect for the week in that state.
    Subd. 9. Denial provisions. (a) An applicant shall be denied extended unemployment
benefits for any week in the applicant's eligibility period if during that week the applicant failed to
accept any offer of suitable employment, failed to apply for any suitable employment that the
applicant was referred to by the commissioner, or failed to actively seek suitable employment.
The denial shall continue until the applicant has been employed in covered employment in
each of four subsequent weeks, whether or not consecutive, and had earnings from that covered
employment of not less than four times the applicant's weekly unemployment benefit amount.
(b) For the purpose of this subdivision "suitable employment" means any employment that
is within the applicant's capabilities and that has a gross average weekly wage that exceeds the
applicant's weekly unemployment benefit amount. The employment must pay wages not less than
the higher of the federal minimum wage without regard to any exemption, or the applicable
state minimum wage.
(c) No applicant shall be denied extended unemployment benefits for failure to accept an
offer of or apply for any suitable employment if:
(1) the position was not offered to the applicant in writing;
(2) the position was not listed with the job service; or
(3) the applicant furnishes satisfactory evidence that prospects for obtaining employment in
the applicant's customary occupation within a reasonably short period are good. If the evidence is
satisfactory, the determination of whether any employment is suitable shall be made in accordance
with the definition of suitable employment in section 268.035, subdivision 23a.
(d) For the purpose of this subdivision an applicant is "actively seeking suitable employment"
only if the applicant has engaged in a systematic and sustained effort to obtain employment, and
the applicant furnishes tangible evidence of that effort.
    Subd. 10. Job service referral. The job service shall refer any applicant who is filing
continued biweekly requests for extended unemployment benefits to any employment that is
suitable under subdivision 9.
History: 1971 c 61 s 1; 1974 c 355 s 58; 1975 c 1 s 1; 1975 c 336 s 12; 1977 c 297 s 13,14;
1Sp1982 c 1 s 16-21; 1983 c 372 s 19; 1985 c 248 s 70; 1986 c 444; 1987 c 362 s 16; 1992 c 484
s 9; 1993 c 13 art 1 s 33; 1997 c 66 s 33-35,79,80; 1998 c 265 s 44,45; 1999 c 107 s 48,66; 2000
c 343 s 4; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 72
    Subdivision 1.[Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
    Subd. 1a.[Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
    Subd. 2.[Repealed, 1997 c 66 s 81]
    Subd. 3.[Repealed, 1983 c 268 s 2]
    Subd. 4.[Repealed, 1997 c 66 s 81]
    Subd. 5.[Repealed, 1997 c 66 s 81]
    Subd. 6.[Repealed, 1989 c 343 s 7]
    Subd. 7.[Repealed, 1997 c 66 s 81]
    Subd. 8.[Renumbered 268.186]
    Subd. 9.[Repealed, 1995 c 54 s 29]
    Subd. 9a.[Renumbered 268.188]
    Subd. 10.[Repealed, 1995 c 54 s 29]
    Subd. 11.[Repealed, 1997 c 66 s 81]
    Subd. 12.[Renumbered 268.19]
    Subd. 13.[Repealed, 1995 c 54 s 29]
    Subd. 14.[Repealed, 1949 c 605 s 15]
268.121 [Renumbered 268.044]
268.125 ADDITIONAL UNEMPLOYMENT BENEFITS.
    Subdivision 1. Additional unemployment benefits; when available. Additional
unemployment benefits are available if:
(1) at a facility that had 100 or more employees, the employer reduced operations, resulting
within a one-month period in the layoff of 50 percent or more of the facility's work force,
including reductions caused as a result of a major natural disaster declared by the president;
(2) the employer has no expressed plan to resume operations that would lead to the
reemployment of those employees in the immediate future; and
(3) the seasonally adjusted unemployment rate in the county that the facility is located was
ten percent or more during the month of the reduction or any of the three months before or after
the month of the reduction.
    Subd. 2. Payment of unemployment benefits. Additional unemployment benefits are
payable from the trust fund.
    Subd. 3. Eligibility conditions. An applicant is eligible to receive additional unemployment
benefits for any week during the applicant's benefit year if:
(1) the applicant was laid off from employment as a result of a reduction under subdivision 1
or was laid off due to lack of work from that employer during the three-month period before, or
the three-month period after, the month of the reduction under subdivision 1;
(2) the applicant meets the eligibility requirements under section 268.085;
(3) the applicant is not subject to a disqualification under section 268.095; for the purpose
of this subdivision, the disqualifying conditions in section 268.095, and the requalifying
requirements, apply to the receipt of additional unemployment benefits;
(4) the applicant has exhausted regular unemployment benefits under section 268.07, is not
entitled to receive extended unemployment benefits under section 268.115, and is not entitled to
receive unemployment benefits under any other state or federal law for that week;
(5) a majority of the applicant's wage credits were from the employer that had a reduction
in operations under subdivision 1.
    Subd. 4. Weekly unemployment benefit amount. An applicant's weekly additional
unemployment benefit amount shall be the same as the applicant's weekly unemployment benefit
amount during the current benefit year under section 268.07.
    Subd. 5. Maximum amount of unemployment benefits. The maximum amount of
additional unemployment benefits available in the applicant's benefit year shall be one-half of the
applicant's maximum amount of regular unemployment benefits available under section 268.07,
subdivision 2
, rounded down to the next lower whole dollar. Extended unemployment benefits paid
and unemployment benefits paid under any federal law other than regular unemployment benefits
shall be deducted from the maximum amount of additional unemployment benefits available.
History: 1987 c 362 s 17; 1994 c 488 s 8; 1994 c 503 s 1-3; 1996 c 417 s 13-15; 1997 c 66 s
79; 2Sp1997 c 2 s 18,19; 1998 c 265 s 32; 1999 c 107 s 49-51,66; 2000 c 343 s 4; 1Sp2003 c 3
art 2 s 20; 2004 c 183 s 73
    Subdivision 1.(a) [Renumbered 268.042, subd 4]
(b) [Renumbered 268.131, subdivision 1, para (a)]
(c) [Renumbered 268.131, subdivision 1, para (b)]
    Subd. 2.[Renumbered 268.194, subd 3a]
    Subd. 3.[Repealed, 1998 c 265 s 46]
    Subd. 4.[Renumbered 268.131, subd 2]
    Subd. 5.[Repealed, 1998 c 265 s 46]
268.131 RECIPROCAL UNEMPLOYMENT BENEFIT ARRANGEMENTS.
    Subdivision 1. Cooperation with other state and federal government. (a) The
commissioner shall participate in reciprocal arrangements with other states and the federal
government, or both, for the payment of unemployment benefits on the basis of combining an
applicant's wages and employment covered under this law with wages and employment covered
under the unemployment insurance programs of other states or the federal government that
include provisions for applying the base period of a single state law to an account involving the
combining of an applicant's wages and employment and avoiding the duplicate use of wages by
reason of such combining. No reciprocal arrangement shall be entered into unless it contains
provisions for reimbursements to the trust fund, by the other state or the federal government, for
unemployment benefits paid from the trust fund to applicants based upon wages and employment
covered under the laws of the other state or the federal government.
(b) On any reciprocal arrangement, the wages paid an applicant from employment covered
under an unemployment insurance program of another state or of the federal government, shall be
considered wages from covered employment for the purpose of determining the applicant's rights
to unemployment benefits under the Minnesota Unemployment Insurance Law.
    Subd. 2. Cooperation with foreign governments. The commissioner is authorized to enter
into or cooperate in arrangements whereby facilities and services provided under the Minnesota
Unemployment Insurance Law and facilities and services provided under the unemployment
insurance program of any foreign government, may be used for the taking of applications for
unemployment benefits and continued biweekly requests and the payment of unemployment
benefits under this law or under a similar law of a foreign government.
History: (4337-31) Ex1936 c 2 s 11; 1937 c 306 s 8; 1939 c 443 s 9; 1941 c 554 s 10; 1943 c
650 s 8; 1945 c 376 s 10; 1947 c 432 s 8-10; 1965 c 45 s 45; 1969 c 9 s 64; 1971 c 942 s 13;
1979 c 181 s 16; 1986 c 444; 1989 c 209 art 2 s 1; 1996 c 417 s 31; 1997 c 66 s 79; 1998 c 265 s
33-35,45; 1999 c 107 s 66; 2000 c 343 s 4; 2001 c 175 s 45,52; 1Sp2003 c 3 art 2 s 20
268.135 SHARED WORK PLAN.
    Subdivision 1. Definitions. For purposes of this section:
(1) "Affected employee" means an employee who was continuously employed as a member
of the affected group, for at least six months, on a full-time basis, prior to submission of the
shared work plan.
(2) "Affected group" means five or more employees designated by the employer to
participate in a shared work plan.
(3) "Shared work plan" or "plan" means an employer's plan, submitted in a manner and
format prescribed by the commissioner, under which a group of employees whose normal weekly
hours of work are reduced, in order to prevent employees from being laid off due to lack of work.
(4) "Normal weekly hours of work" means the number of hours in a week that the employee
normally would work for the shared work employer or 40 hours, whichever is less.
    Subd. 2. Participation. (a) An employer wishing to participate in the shared work benefit
program shall submit a shared work plan to the commissioner in a manner and format prescribed
for approval. The commissioner may approve a shared work plan only if it:
(1) specifies the employees in the affected group;
(2) applies to only one affected group;
(3) includes a certified statement by the employer that each employee specified in the
affected group is an affected employee;
(4) includes a certified statement by the employer that for the duration of the plan the
reduction in normal weekly hours of work of the employees in the affected group is instead of
layoffs that otherwise would result in at least as large a reduction in the total normal weekly
hours of work;
(5) specifies an expiration date that is no more than one year from the date the employer
submits the plan for approval;
(6) specifies that fringe benefits, such as health and retirement, available to the employees in
the affected group are not reduced beyond the percentage of reduction in hours of work; and
(7) is approved in writing by the collective bargaining agent for each collective bargaining
agreement that covers any employee in the affected group.
(b) The commissioner shall set the beginning and ending dates of an approved shared work
plan.
(c) The commissioner shall send to the employer a determination, by mail or electronic
transmission, approving or disapproving the plan within 15 calendar days of its receipt.
Determinations are final.
(d) Disapproval of a plan may be reconsidered at the discretion of the commissioner.
Approval of a shared work plan may be revoked if the approval was based, in whole or in part,
upon information that was false or misleading.
    Subd. 3. Eligibility. (a) Regardless of any other provision, an applicant is eligible to receive
shared work benefits with respect to any week if:
(1) during the week the applicant is employed as a member of an affected group in a plan
that was approved prior to the week and is in effect for the week; and
(2) during the week the normal weekly hours of work were reduced, in accordance with the
plan, at least 20 percent but not more than 40 percent, with a corresponding reduction in wages.
(b) Shared work benefits shall not be paid to an applicant beyond one benefit year.
(c) The total amount of regular unemployment benefits and shared work benefits paid to
an applicant in a benefit year shall not exceed the maximum amount of regular unemployment
benefits available.
(d) An otherwise eligible applicant shall not be denied shared work benefits because of
the application of any provision relating to availability for employment, active search for
employment, or refusal to apply for or accept suitable employment from other than the applicant's
shared work employer.
    Subd. 4. Weekly benefit amount. (a) An applicant who is eligible for shared work benefits
shall be paid an amount equal to the regular weekly unemployment benefit amount multiplied
by the nearest full percentage of reduction of the applicant's regular weekly hours of work as
set in the plan. The benefit payment, if not a whole dollar shall be rounded down to the next
lower whole dollar.
(b) The deductible earnings provisions of section 268.085, subdivision 5, shall not apply to
earnings from the shared work employer of an applicant eligible for shared work benefits unless
the resulting amount would be less than the regular weekly unemployment benefit amount the
applicant would otherwise be eligible for without regard to shared work benefits.
(c) An applicant shall not be eligible for shared work benefits for any week that employment
is performed for the shared work employer in excess of the reduced hours set forth in the plan.
History: 1994 c 503 s 4; 1996 c 417 s 16; 1997 c 66 s 79,80; 1998 c 265 s 45; 1999 c 107 s
52,66; 2000 c 343 s 4; 2004 c 183 s 74-76
    Subdivision 1.[Renumbered 268.198, subdivision 1]
    Subd. 2.[Renumbered 268.198, subd 2]
    Subd. 3.[Repealed, 1997 c 66 s 81]
    Subd. 4.[Repealed, 1997 c 66 s 81]
    Subd. 5.[Renumbered 268.198, subd 3]
    Subd. 6.[Expired]
268.145 INCOME TAX WITHHOLDING.
    Subdivision 1. Notification. (a) Upon filing an application for unemployment benefits,
the applicant shall be informed that:
(1) unemployment benefits are subject to federal and state income tax;
(2) there are requirements for filing estimated tax payments;
(3) the applicant may elect to have federal income tax withheld from unemployment benefits;
(4) if the applicant elects to have federal income tax withheld, the applicant may, in addition,
elect to have Minnesota state income tax withheld; and
(5) at any time during the benefit year the applicant may change a prior election.
(b) If an applicant elects to have federal income tax withheld, the commissioner shall
deduct ten percent for federal income tax, rounded down to the next lower whole dollar. If an
applicant also elects to have Minnesota state income tax withheld, the commissioner shall make
an additional five percent deduction for state income tax, rounded down to the next lower whole
dollar. Any amounts deducted or offset pursuant to sections 268.155, 268.18, and 268.184 have
priority over any amounts deducted under this section. Federal income tax withholding has
priority over state income tax withholding.
(c) An election to have income tax withheld shall not be retroactive and shall only apply to
unemployment benefits paid after the election.
    Subd. 2. Transfer of funds. The amount of any unemployment benefits deducted under this
section shall remain in the trust fund until transferred to the federal Internal Revenue Service, or
the Department of Revenue, as an income tax payment on behalf of the applicant.
    Subd. 3. Correction of errors. Any error that resulted in underwithholding or
overwithholding under this section shall not be corrected retroactively.
    Subd. 4. Federal requirement. The commissioner shall follow all federal requirements for
the deduction and withholding of income tax from unemployment benefits.
    Subd. 5. Effect of payments. Any amount deducted under this section shall be considered as
unemployment benefits paid to the applicant.
History: 1996 c 417 s 17; 1997 c 66 s 79; 1998 c 254 art 1 s 73; 1999 c 107 s 53,66; 2000 c
343 s 4; 1Sp2001 c 4 art 2 s 23; 1Sp2003 c 3 art 2 s 20; 2004 c 183 s 77; 2005 c 112 art 2 s 35
    Subdivision 1.[Renumbered 268.196, subdivision 1]
    Subd. 2.[Renumbered 268.196, subd 2]
    Subd. 3.[Renumbered 268.196, subd 3]
    Subd. 4.[Repealed, 2Sp1981 c 1 s 8]
268.155 CHILD SUPPORT DEDUCTED FROM UNEMPLOYMENT BENEFITS.
    Subdivision 1. Definitions. As used in this section:
(1) "Child support obligations" means obligations that are being enforced by a child support
agency pursuant to a plan described in United States Code, title 42, section 454, of the Social
Security Act that has been approved by the secretary of health and human services under part D
of title IV of the Social Security Act. This shall not include any type of spousal maintenance or
foster care payments; and
(2) "Child support agency" means the public agency responsible for child support
enforcement.
    Subd. 2. Notice upon application. In an application for unemployment benefits, the
applicant shall disclose if child support obligations are owed and, if so, in what state and county.
If child support obligations are owed, the commissioner shall, if the applicant establishes a benefit
account, notify the child support agency.
    Subd. 3. Withholding of unemployment benefits. The commissioner shall deduct and
withhold from any unemployment benefits payable to an applicant who owes child support
obligations:
(1) the amount required pursuant to a proper order of a court or administrative agency; or
(2) if clause (1) is not applicable, the amount determined pursuant to an agreement under
United States Code, title 42, section 454 (20) (B) (i), of the Social Security Act; or
(3) if clause (1) or (2) is not applicable, the amount specified by the applicant.
    Subd. 4. Payment. Any amount deducted and withheld shall be paid to the child support
agency, but shall for all purposes be treated as if it were paid to the applicant as unemployment
benefits and paid by the applicant to the child support agency in satisfaction of the applicant's
child support obligations.
    Subd. 5. Payment of costs. The child support agency shall pay the costs incurred by the
commissioner in the implementation and administration of this section and sections 518A.50 and
518A.53.
    Subd. 6.[Renumbered subd 5]
History: 1Sp1982 c 1 s 22; 1986 c 444; 1987 c 384 art 2 s 67; 1994 c 488 s 8; 1996 c 417
s 10-12; 1997 c 66 s 79,80; 1997 c 203 art 6 s 92; 1999 c 107 s 54,66; 2000 c 343 s 4; 2005 c
164 s 29; 1Sp2005 c 7 s 28
    Subdivision 1.[Renumbered 268.057, subd 5]
    Subd. 1a.[Renumbered 268.057, subd 6]
    Subd. 2.[Renumbered 268.057, subdivision 1]
    Subd. 3.[Repealed, 1Sp1982 c 1 s 43]
    Subd. 3a.[Renumbered 268.057, subd 4]
    Subd. 4.[Renumbered 268.067]
    Subd. 5.[Renumbered 268.057, subd 10]
    Subd. 6.[Renumbered 268.057, subd 7]
    Subd. 7.[Renumbered 268.057, subd 8]
    Subd. 8.[Repealed, 1997 c 66 s 81]
    Subd. 9.[Renumbered 268.057, subd 9]
    Subdivision 1.[Renumbered 268.058, subdivision 1]
    Subd. 1a.[Renumbered 268.058, subd 2]
    Subd. 2.[Renumbered 268.058, subd 6]
    Subd. 3.[Repealed, 1997 c 66 s 81]
    Subd. 4.[Renumbered 268.058, subd 5]
    Subd. 5.[Renumbered 268.058, subd 4]
    Subd. 6.[Renumbered 268.057, subd 2]
    Subd. 7.[Renumbered 268.057, subd 3]
    Subd. 8.[Renumbered 268.058, subd 3]
    Subd. 9.[Renumbered 268.063]
268.162 [Renumbered 268.064]
268.163 [Renumbered 268.065]
268.164 [Renumbered 268.0625]
268.165 [Repealed, 1997 c 66 s 81]
268.166 [Renumbered 268.066]
268.167 [Renumbered 268.059]
268.17 [Renumbered 268.192]
268.18 UNEMPLOYMENT BENEFIT OVERPAYMENTS.
    Subdivision 1. Nonfraud overpayment. (a) Any applicant who (1) by reason of the
applicant's own mistake, or (2) because of an error by any employee of the department, or
(3) because of a determination or amended determination issued pursuant to section 268.07
or 268.101, or (4) because of an appeal decision under section 268.105, has received any
unemployment benefits that the applicant was not entitled to, shall promptly repay the
unemployment benefits to the trust fund. The commissioner shall, as soon as the overpayment
is discovered, determine the amount due and notify the applicant to repay the unemployment
benefits.
(b) Unless the applicant files an appeal within 30 calendar days after the sending of
the determination of overpayment to the applicant by mail or electronic transmission, the
determination shall become final. Proceedings on the appeal shall be conducted in accordance
with section 268.105. An applicant may not collaterally attack, by way of an appeal to an
overpayment determination, any prior determination issued pursuant to section 268.07 or 268.101,
or decision issued pursuant to section 268.105, that has become final.
(c) If the applicant fails to repay the unemployment benefits determined overpaid under this
subdivision, the commissioner may offset from any future unemployment benefits otherwise
payable the amount of the overpayment. Except when the overpayment resulted because the
applicant failed to report deductible earnings or deductible or benefit delaying payments, no
single offset shall exceed 50 percent of the amount of the payment from which the offset is made.
The overpayment may also be collected by the same methods as delinquent payments from an
employer. A determination of overpayment shall state the methods of collection the commissioner
may use to recover the overpayment.
(d) If an applicant has been overpaid unemployment benefits under the law of another state,
due to a reason other than fraud, and that state certifies that the applicant is liable under its law to
repay the unemployment benefits and requests the commissioner to recover the overpayment, the
commissioner may offset from future unemployment benefits otherwise payable the amount of
overpayment, except that no single offset shall exceed 50 percent of the amount of the payment
from which the offset is made.
(e) If under paragraph (c) or (d) the reduced unemployment benefits as a result of a 50 percent
offset is not a whole dollar amount, it shall be rounded down to the next lower whole dollar.
(f) Unemployment benefits paid for weeks more than three years prior to the date of a
determination of overpayment issued under this subdivision shall not be considered overpaid
unemployment benefits.
    Subd. 2. Overpayment due to fraud. (a) Any applicant who receives unemployment
benefits by knowingly misrepresenting, misstating, or failing to disclose any material fact, or who
makes a false statement or representation without a good faith belief as to the correctness of the
statement or representation, has committed fraud. After the discovery of facts indicating fraud, the
commissioner shall make a determination that the applicant obtained unemployment benefits by
fraud and that the applicant must promptly repay the unemployment benefits to the trust fund. In
addition, the commissioner shall assess a penalty equal to 25 percent of the amount fraudulently
obtained. If the applicant had a prior overpayment due to fraud, the commissioner shall, on the
present overpayment, assess a penalty equal to 50 percent of the amount fraudulently obtained.
This penalty is in addition to penalties under section 268.182.
(b) Unless the applicant files an appeal within 30 calendar days after the sending of the
determination of overpayment by fraud to the applicant by mail or electronic transmission, the
determination shall become final. Proceedings on the appeal shall be conducted in accordance
with section 268.105.
(c) If the applicant fails to repay the unemployment benefits, penalty, and interest assessed,
the commissioner shall offset from future unemployment benefits otherwise payable the total
amount due. The total due may also be collected by the same methods as delinquent payments
from an employer. A determination of overpayment by fraud shall state the methods of collection
the commissioner may use to recover the overpayment. Money received in repayment of
fraudulently obtained unemployment benefits, penalties, and interest shall first be applied to
the unemployment benefits overpaid, then to the penalty amount due, then to any interest due.
Payments made toward the penalty shall be credited to the contingent account.
(d) If an applicant has been overpaid unemployment benefits under the law of another state
because of fraud and that state certifies that the applicant is liable to repay the unemployment
benefits and requests the commissioner to recover the overpayment, the commissioner may offset
from future unemployment benefits otherwise payable the amount of overpayment.
(e) Unemployment benefits paid for weeks more than four years prior to the date of a
determination of overpayment by fraud issued under this subdivision shall not be considered
overpaid unemployment benefits.
    Subd. 2a.[Renumbered subd 3a]
    Subd. 2b. Interest. (a) On any unemployment benefits fraudulently obtained, and any
penalty amounts assessed under subdivision 2, the commissioner may assess interest at the rate
of 1-1/2 percent per month on any amount that remains unpaid 30 calendar days after the date
of the determination of overpayment by fraud. A determination of overpayment by fraud shall
state that interest shall be assessed.
(b) If this subdivision became effective after the date of the determination, or the
determination did not state that interest shall be assessed, interest shall be assessed beginning 30
calendar days after notification, by mail or electronic transmission, to the applicant.
(c) Interest payments under this section shall be credited to the administration account.
    Subd. 3.[Renumbered 268.182]
    Subd. 3a. Offset of federal unemployment benefits. The commissioner is authorized
to enter into reciprocal agreements with the United States Secretary of Labor, whereby,
overpayments of unemployment benefits as determined under federal law, may be recovered by
offset from unemployment benefits otherwise payable and unemployment benefit overpayments
under subdivisions 1 and 2 may be recovered by offset from unemployment benefits otherwise
payable under a federal program.
    Subd. 4. Cancellation of overpayments. (a) If unemployment benefits determined overpaid
under subdivision 1 are not repaid or offset from subsequent unemployment benefits as provided
for in subdivision 1 within six years after the date of the determination of overpayment, the
commissioner shall cancel the overpayment balance, and no administrative or legal proceedings
shall be used to enforce collection of those amounts.
(b) If unemployment benefits determined overpaid under subdivision 2 including penalties
and interest are not repaid or offset from subsequent unemployment benefits as provided for in
subdivision 2 within ten years after the date of the determination of overpayment by fraud, the
commissioner shall cancel the overpayment balance and any penalties and interest due, and no
administrative or legal proceeding shall be used to enforce collection of those amounts.
(c) The commissioner may cancel at any time any overpayment, including penalties and
interest, that the commissioner determines is uncollectible due to death or bankruptcy.
    Subd. 4a. Court fees. (a) If the commissioner is required to pay any court fees in an attempt
to enforce collection of overpaid unemployment benefits, penalties, or interest, the commissioner
may add the amount of the court fees to the total amount due.
(b) If an applicant who has been determined overpaid unemployment benefits because of
fraud seeks to have any portion of the debt discharged under the federal bankruptcy code, and
the commissioner files an objection in bankruptcy court to the discharge, the commissioner
may add the commissioner's cost of any court fees to the debt if the bankruptcy court does not
discharge the debt.
    Subd. 5.[Repealed, 1997 c 66 s 81]
    Subd. 5. Remedies. (a) Any method undertaken to recover an overpayment of unemployment
benefits, including any penalties and interest, shall not be considered an election of a method of
recovery.
(b) Intervention or lack thereof, in whole or in part, in a workers' compensation matter
under section 176.361 shall not be considered an election of a remedy and shall not prevent
the commissioner from determining any unemployment benefits overpaid under subdivision 1
or 2 or taking action under section 268.182.
    Subd. 6.[Renumbered 268.184]
    Subd. 6. Collection of overpayments. (a) The commissioner may not compromise the
amount that has been determined overpaid under this section including penalties and interest.
(b) The commissioner shall have discretion regarding the recovery of any overpayment
under subdivision 1. Regardless of any law to the contrary, the commissioner shall not be required
to refer any amount determined overpaid under subdivision 1 to a public or private collection
agency, including agencies of this state.
(c) Amounts determined overpaid under subdivision 1 shall not be considered a "debt" to the
state of Minnesota for purposes of any reporting requirements to the commissioner of finance.
(d) A pending appeal under section 268.105 shall not suspend the assessment of interest,
penalties, or collection of an overpayment under this section.
(e) Section 16A.626 applies to the repayment by an applicant of any overpayment, penalty,
or interest under this section.
History: (4337-36) Ex1936 c 2 s 16; 1941 c 554 s 15; 1951 c 442 s 11; 1953 c 97 s 18; 1969
c 567 s 3; 1973 c 254 s 3; 1975 c 336 s 24; 1977 c 4 s 10; 1977 c 430 s 25 subd 1; 1979 c 181
s 17,18; 1Sp1982 c 1 s 37-40; 1983 c 216 art 1 s 42,87; 1983 c 372 s 45,46; 1985 c 248 s 70;
1Sp1985 c 14 art 9 s 75; 1986 c 444; 1987 c 385 s 40-45; 1988 c 712 s 3; 1989 c 209 art 2 s 1;
1990 c 566 s 8; 1992 c 484 s 15; 1994 c 483 s 1; 1995 c 54 s 21-24; 1996 c 417 s 29,31; 1997 c
66 s 71-73,79; 1998 c 265 s 36,45; 1999 c 107 s 55,66; 2000 c 343 s 4; 2001 c 175 s 46; 1Sp2003
c 3 art 2 s 16,17,20; 2004 c 183 s 78-81; 2004 c 206 s 52; 2005 c 112 art 2 s 36-38
268.182 APPLICANT'S FALSE REPRESENTATIONS; CONCEALMENT OF FACTS;
PENALTY.
    Subdivision 1. Criminal penalties. Whoever obtains, or attempts to obtain, or aids or
abets any individual to obtain by means of an intentional false statement or representation, by
intentional concealment of a material fact, or by impersonation or other fraudulent means,
unemployment benefits that the individual is not entitled or unemployment benefits greater
than the individual is entitled under this chapter, or under the law of any state or of the federal
government, either personally or for any other individual, is guilty of theft and shall be sentenced
pursuant to section 609.52.
    Subd. 2. Administrative penalties. Any applicant who knowingly makes a false statement or
representation, who knowingly fails to disclose a material fact, or who makes a false statement or
representation without a good faith belief as to the correctness of the statement or representation,
in order to obtain or in an attempt to obtain unemployment benefits may be assessed, in addition
to any other penalties, an administrative penalty of being ineligible for unemployment benefits
for 13 to 104 weeks. A determination of ineligibility setting out the weeks the applicant shall
be ineligible shall be sent to the applicant by mail or electronic transmission. Unless an appeal
is filed within 30 calendar days of sending, the determination shall be final. Proceeding on the
appeal shall be conducted in accordance with section 268.105.
History: Ex1936 c 2 s 16; 1941 c 554 s 15; 1951 c 442 s 11; 1953 c 97 s 18; 1969 c 567 s 3;
1973 c 254 s 3; 1975 c 336 s 24; 1977 c 4 s 10; 1977 c 430 s 25 subd 1; 1979 c 181 s 17,18;
1Sp1982 c 1 s 37-40; 1983 c 216 art 1 s 42,87; 1983 c 372 s 45,46; 1985 c 248 s 70; 1Sp1985
c 14 art 9 s 75; 1986 c 444; 1987 c 385 s 40-45; 1988 c 712 s 3; 1989 c 209 art 2 s 1; 1990 c
566 s 8; 1992 c 484 s 15; 1994 c 483 s 1; 1995 c 54 s 21-24; 1996 c 417 s 29,31; 1997 c 66 s
74,79; 1998 c 265 s 37; 1999 c 107 s 56,66; 2000 c 343 s 4; 2004 c 183 s 82; 2004 c 206 s
52; 2005 c 112 art 2 s 39
268.184 EMPLOYER MISCONDUCT; PENALTY.
    Subdivision 1. Administrative penalties. (a) If the commissioner finds that any employer
or any employee, officer, or agent of any employer, is in collusion with any applicant for the
purpose of assisting the applicant to receive unemployment benefits fraudulently, the employer
shall be penalized $500 or the amount of unemployment benefits determined to be overpaid,
whichever is greater.
(b) If the commissioner finds that any employer or any employee, officer, or agent of an
employer has made (1) a false statement or representation knowing it to be false, including
reporting employees on a wage detail report under section 268.044 knowing the employees
actually are employed by a different employer, or (2) has made a false statement or representation
without a good faith belief as to correctness of the statement or representation, or (3) who
knowingly fails to disclose a material fact, to prevent or reduce the payment of unemployment
benefits to any applicant or to reduce or avoid any payment required from an employer under this
chapter or section 116L.20, the employer shall be penalized $500, or 50 percent of the reduced
unemployment benefits or payment required, whichever is greater.
(c) If the commissioner finds that an employer failed or refused to honor a subpoena issued
under section 268.105, subdivision 4, or section 268.188, the employer shall be penalized $500
and any costs of enforcing the subpoena, including attorney fees.
(d) Penalties under this subdivision shall be in addition to any other penalties and subject
to the same collection procedures that apply to past due taxes. Penalties shall be paid to the
department within 30 calendar days of assessment and credited to the contingent account.
(e) The assessment of the penalty shall be final unless the employer files an appeal within
30 calendar days after the sending of notice of the penalty to the employer by mail or electronic
transmission. Proceedings on the appeal shall be conducted in accordance with section 268.105.
    Subd. 1a. Notification and misreporting penalties. (a) If the commissioner finds that any
employer or agent of an employer failed to meet the notification requirements of section 268.051,
subdivision 4
, the employer shall be assessed a penalty of $5,000 or two percent of the first
full quarterly payroll acquired, whichever is higher. Payroll is wages paid as defined in section
268.035, subdivision 30. The penalty under this paragraph shall be canceled if the commissioner
determines that the failure occurred because of ignorance or inadvertence.
(b) If the commissioner finds that any individual advised an employer to violate the
employer's notification requirements under section 268.051, subdivision 4, the individual, and
that individual's employer, shall each be assessed the penalty in paragraph (a).
(c) If the commissioner finds that any person or agent of a person violated the reporting
requirements of section 268.0435 or 268.046, the person shall be assessed a penalty of $5,000
or two percent of the quarterly payroll reported in violation of section 268.0435 or 268.046,
whichever is higher. Payroll is wages paid as defined in section 268.035, subdivision 30.
(d) Penalties under this subdivision shall be in addition to any other penalties and subject to
the same collection procedures that apply to past due amounts from an employer. Penalties must
be paid within 30 calendar days after sending of the notice of penalty.
(e) The assessment of a penalty shall be final unless the person assessed files an appeal within
30 calendar days after sending of the notice of the penalty by mail or electronic transmission.
Proceedings on the appeal shall be conducted in accordance with section 268.105.
    Subd. 2. Criminal penalties. Any employer or any officer or agent of an employer or any
other individual who:
(1) makes a false statement or representation knowing it to be false;
(2) knowingly fails to disclose a material fact, including notification required under section
268.051, subdivision 4; or
(3) knowingly advises or assists an employer in violating clause (1) or (2), to avoid or reduce
any payment required from an employer under this chapter or section 116L.20, or to prevent or
reduce the payment of unemployment benefits to any applicant, is guilty of a gross misdemeanor
unless the underpayment exceeds $500, in that case the individual is guilty of a felony.
History: Ex1936 c 2 s 16; 1941 c 554 s 15; 1951 c 442 s 11; 1953 c 97 s 18; 1969 c 567 s 3;
1973 c 254 s 3; 1975 c 336 s 24; 1977 c 4 s 10; 1977 c 430 s 25 subd 1; 1979 c 181 s 17,18;
1Sp1982 c 1 s 37-40; 1983 c 216 art 1 s 42,87; 1983 c 372 s 45,46; 1985 c 248 s 70; 1Sp1985
c 14 art 9 s 75; 1986 c 444; 1987 c 385 s 40-45; 1988 c 712 s 3; 1989 c 209 art 2 s 1; 1990 c
566 s 8; 1992 c 484 s 15; 1994 c 483 s 1; 1995 c 54 s 21-24; 1996 c 417 s 29,31; 1997 c 66 s
76,79; 1998 c 265 s 38; 1999 c 107 s 56,66; 2000 c 343 s 4; 2001 c 175 s 47; 2004 c 183 s
83; 2005 c 112 art 1 s 11-13
268.186 RECORDS; AUDITS.
(a) Each employer shall keep true and accurate records for the periods of time and containing
the information the commissioner may require. For the purpose of administering this chapter,
the commissioner has the power to audit, examine, or cause to be supplied or copied, any
books, correspondence, papers, records, or memoranda that are relevant, whether the books,
correspondence, papers, records, or memoranda are the property of or in the possession of the
employer or any other person at any reasonable time and as often as may be necessary.
(b) Any employer that refuses to allow an audit of its records by the department, or that fails
to make all necessary records available for audit in Minnesota upon request of the commissioner,
may be assessed an administrative penalty of $500. The penalty collected shall be credited to the
administration account to be used by the commissioner to ensure integrity in the administration of
the unemployment insurance program.
(c) The commissioner may make summaries, compilations, photographs, duplications,
or reproductions of any records, or reports that the commissioner considers advisable for the
preservation of the information contained therein. Any summaries, compilations, photographs,
duplications, or reproductions shall be admissible in any proceeding under this chapter.
The commissioner may duplicate records, reports, summaries, compilations, instructions,
determinations, or any other written or recorded matter pertaining to the administration of this
chapter.
(d) Regardless of any law to the contrary, the commissioner may provide for the destruction
of any records, reports, or reproductions thereof, or other papers that are no longer necessary for
the administration of this chapter, including any required audit. In addition, the commissioner
may provide for the destruction or disposition of any record, report, or other paper from which
the information has been electronically captured and stored, or that has been photographed,
duplicated, or reproduced.
History: Ex1936 c 2 s 10; 1937 c 306 s 7; 1939 c 441 s 42; 1939 c 443 s 8,10; 1941 c 554 s
9; 1943 c 650 s 7; 1945 c 376 s 9; 1947 c 600 s 3-6; 1949 c 605 s 15; 1949 c 739 s 8; 1951 c 442
s 6-10; 1951 c 713 s 29; 1953 c 97 s 15; 1953 c 603 s 1; 1953 c 612 s 1; 1955 c 847 s 22; 1957 c
883 s 7; 1965 c 45 s 42-44; 1965 c 741 s 18; 1967 c 770 s 1; 1969 c 9 s 63; 1969 c 310 s 2; 1969
c 567 s 1,3; 1969 c 854 s 11,12; 1969 c 1129 art 8 s 7; 1971 c 942 s 12; 1973 c 254 s 1,3; 1973 c
492 s 14; 1974 c 241 s 1; 1975 c 315 s 19; 1975 c 336 s 20,21; 1977 c 172 s 2; 1977 c 237 s 1;
1977 c 297 s 20; 1977 c 305 s 31; 1977 c 430 s 25 subd 1; 1978 c 674 s 60; 1979 c 181 s 15; 1980
c 615 s 37; 1981 c 311 s 39; 1982 c 424 s 130; 1982 c 545 s 23,24; 1Sp1982 c 1 s 31,32; 1983
c 216 art 1 s 87; 1983 c 247 s 114; 1983 c 260 s 58; 1983 c 312 art 8 s 2; 1983 c 372 s 37,38;
1984 c 544 s 89; 1985 c 248 s 70; 1Sp1985 c 14 art 9 s 75; 1986 c 444; 1987 c 165 s 1; 1987 c
312 art 1 s 26 subd 2; 1987 c 362 s 23; 1987 c 385 s 25; 1989 c 65 s 11; 1989 c 209 art 2 s 1;
1990 c 516 s 6,7; 1991 c 202 s 16; 1993 c 67 s 10; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c 54 s
12; 1996 c 417 s 23,31; 1996 c 440 art 1 s 47; 1997 c 66 s 62,79; 1998 c 265 s 44; 1999 c 107 s
57,66; 2000 c 343 s 4; 1Sp2003 c 1 art 2 s 77; 2004 c 183 s 84
268.188 SUBPOENAS; OATHS.
(a) The commissioner shall have power to administer oaths and affirmations, take
depositions, certify to official acts, and issue subpoenas to compel the attendance of individuals
and the production of documents and other personal property necessary in connection with the
administration of the Minnesota unemployment insurance program.
(b) Individuals subpoenaed, other than applicants or officers and employees of an employer
that is the subject of the inquiry, shall be allowed fees the same as witness fees in civil actions in
district court. The fees need not be paid in advance.
(c) The subpoena shall be enforceable through the district court in the district that the
subpoena is issued.
History: Ex1936 c 2 s 10; 1937 c 306 s 7; 1939 c 441 s 42; 1939 c 443 s 8,10; 1941 c 554 s
9; 1943 c 650 s 7; 1945 c 376 s 9; 1947 c 600 s 3-6; 1949 c 605 s 15; 1949 c 739 s 8; 1951 c 442
s 6-10; 1951 c 713 s 29; 1953 c 97 s 15; 1953 c 603 s 1; 1953 c 612 s 1; 1955 c 847 s 22; 1957 c
883 s 7; 1965 c 45 s 42-44; 1965 c 741 s 18; 1967 c 770 s 1; 1969 c 9 s 63; 1969 c 310 s 2; 1969
c 567 s 1,3; 1969 c 854 s 11,12; 1969 c 1129 art 8 s 7; 1971 c 942 s 12; 1973 c 254 s 1,3; 1973 c
492 s 14; 1974 c 241 s 1; 1975 c 315 s 19; 1975 c 336 s 20,21; 1977 c 172 s 2; 1977 c 237 s 1;
1977 c 297 s 20; 1977 c 305 s 31; 1977 c 430 s 25 subd 1; 1978 c 674 s 60; 1979 c 181 s 15; 1980
c 615 s 37; 1981 c 311 s 39; 1982 c 424 s 130; 1982 c 545 s 23,24; 1Sp1982 c 1 s 31,32; 1983
c 216 art 1 s 87; 1983 c 247 s 114; 1983 c 260 s 58; 1983 c 312 art 8 s 2; 1983 c 372 s 37,38;
1984 c 544 s 89; 1985 c 248 s 70; 1Sp1985 c 14 art 9 s 75; 1986 c 444; 1987 c 165 s 1; 1987
c 312 art 1 s 26 subd 2; 1987 c 362 s 23; 1987 c 385 s 25; 1989 c 65 s 11; 1989 c 209 art 2 s
1; 1990 c 516 s 6,7; 1991 c 202 s 16; 1993 c 67 s 10; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c
54 s 12; 1996 c 417 s 23,31; 1996 c 440 art 1 s 47; 1997 c 66 s 63,79; 1998 c 265 s 44; 1999 c
107 s 58,66; 2001 c 175 s 52; 2004 c 206 s 52
268.19 DATA PRIVACY.
    Subdivision 1. Use of data. (a) Except as otherwise provided by this section, data gathered
from any person pursuant to the administration of the Minnesota Unemployment Insurance Law
are private data on individuals or nonpublic data not on individuals as defined in section 13.02,
subdivisions 9 and 12
, and may not be disclosed except pursuant to a district court order or section
13.05. A subpoena shall not be considered a district court order. These data may be disseminated
to and used by the following agencies without the consent of the subject of the data:
(1) state and federal agencies specifically authorized access to the data by state or federal law;
(2) any agency of any other state or any federal agency charged with the administration of an
unemployment insurance program;
(3) any agency responsible for the maintenance of a system of public employment offices for
the purpose of assisting individuals in obtaining employment;
(4) human rights agencies within Minnesota that have enforcement powers;
(5) the Department of Revenue only to the extent necessary for its duties under Minnesota
laws;
(6) public and private agencies responsible for administering publicly financed assistance
programs for the purpose of monitoring the eligibility of the program's recipients;
(7) the Department of Labor and Industry and the Division of Insurance Fraud Prevention in
the Department of Commerce on an interchangeable basis with the department for uses consistent
with the administration of their duties under Minnesota law;
(8) local and state welfare agencies for monitoring the eligibility of the data subject for
assistance programs, or for any employment or training program administered by those agencies,
whether alone, in combination with another welfare agency, or in conjunction with the department
or to monitor and evaluate the statewide Minnesota family investment program by providing
data on recipients and former recipients of food stamps or food support, cash assistance under
chapter 256, 256D, 256J, or 256K, child care assistance under chapter 119B, or medical programs
under chapter 256B, 256D, or 256L;
(9) local and state welfare agencies for the purpose of identifying employment, wages, and
other information to assist in the collection of an overpayment debt in an assistance program;
(10) local, state, and federal law enforcement agencies for the sole purpose of ascertaining
the last known address and employment location of a person who is the subject of a criminal
investigation;
(11) the federal Immigration and Naturalization Service shall have access to data on specific
individuals and specific employers provided the specific individual or specific employer is the
subject of an investigation by that agency; and
(12) the Department of Health solely for the purposes of epidemiologic investigations.
(b) Data on individuals and employers that are collected, maintained, or used by the
department in an investigation pursuant to section 268.182 are confidential as to data on
individuals and protected nonpublic data not on individuals as defined in section 13.02,
subdivisions 3 and 13
, and must not be disclosed except pursuant to statute or district court order or
to a party named in a criminal proceeding, administrative or judicial, for preparation of a defense.
(c) Data gathered by the department pursuant to the administration of the Minnesota
unemployment insurance program must not be made the subject or the basis for any suit in any
civil proceedings, administrative or judicial, unless the action is initiated by the department.
    Subd. 1a. Wage detail data. (a) Wage and employment data gathered pursuant to section
268.044 may be disseminated to and used, without the consent of the subject of the data, by
an agency of another state that is designated as the performance accountability and consumer
information agency for that state pursuant to Code of Federal Regulations, volume 20, part
663.510(c), in order to carry out the requirements of the Workforce Investment Act of 1998,
United States Code, title 29, sections 2842 and 2871.
(b) The commissioner may enter into a data exchange agreement with an employment
and training service provider under section 116L.17, or the Workforce Investment Act of 1998,
United States Code, title 29, section 2864, under which the commissioner, with the consent of the
subject of the data, may furnish data on the quarterly wages paid and number of hours worked on
those individuals who have received employment and training services from the provider. With
the initial consent of the subject of the data, this data may be shared for up to three years after
termination of the employment and training services provided to the individual without execution
of an additional consent. This data shall be furnished solely for the purpose of evaluating the
employment and training services provided. The data subject's ability to receive service is not
affected by a refusal to give consent under this paragraph. The consent form must state this fact.
    Subd. 2. Employer information; absolute privilege. (a) Regardless of any provision of law
to the contrary, an employer may provide the commissioner with information on an applicant so
that the commissioner can determine an applicant's entitlement to unemployment benefits under
the Minnesota Unemployment Insurance Law.
(b) The commissioner may disseminate an employer's name and address and the name and
address of any employer's unemployment insurance processing agent in order to administer the
Minnesota unemployment insurance program.
(c) Information obtained pursuant to the Minnesota Unemployment Insurance Law, in order
to determine an applicant's entitlement to unemployment benefits, shall be absolutely privileged
and shall not be made the subject matter or the basis for any civil proceeding, administrative,
or judicial.
History: Ex1936 c 2 s 10; 1937 c 306 s 7; 1939 c 441 s 42; 1939 c 443 s 8,10; 1941 c 554 s
9; 1943 c 650 s 7; 1945 c 376 s 9; 1947 c 600 s 3-6; 1949 c 605 s 15; 1949 c 739 s 8; 1951 c 442
s 6-10; 1951 c 713 s 29; 1953 c 97 s 15; 1953 c 603 s 1; 1953 c 612 s 1; 1955 c 847 s 22; 1957 c
883 s 7; 1965 c 45 s 42-44; 1965 c 741 s 18; 1967 c 770 s 1; 1969 c 9 s 63; 1969 c 310 s 2; 1969
c 567 s 1,3; 1969 c 854 s 11,12; 1969 c 1129 art 8 s 7; 1971 c 942 s 12; 1973 c 254 s 1,3; 1973 c
492 s 14; 1974 c 241 s 1; 1975 c 315 s 19; 1975 c 336 s 20,21; 1977 c 172 s 2; 1977 c 237 s 1;
1977 c 297 s 20; 1977 c 305 s 31; 1977 c 430 s 25 subd 1; 1978 c 674 s 60; 1979 c 181 s 15; 1980
c 615 s 37; 1981 c 311 s 39; 1982 c 424 s 130; 1982 c 545 s 23,24; 1Sp1982 c 1 s 31,32; 1983 c
216 art 1 s 87; 1983 c 247 s 114; 1983 c 260 s 58; 1983 c 312 art 8 s 2; 1983 c 372 s 37,38; 1984
c 544 s 89; 1985 c 248 s 70; 1Sp1985 c 14 art 9 s 75; 1986 c 444; 1987 c 165 s 1; 1987 c 312 art
1 s 26 subd 2; 1987 c 362 s 23; 1987 c 385 s 25; 1989 c 65 s 11; 1989 c 209 art 2 s 1; 1990 c 516
s 6,7; 1991 c 202 s 16; 1993 c 67 s 10; 1994 c 483 s 1; 1994 c 488 s 8; 1995 c 54 s 12; 1996 c 417
s 21,23,31; 1996 c 440 art 1 s 47; 1997 c 66 s 55-58,79; 1998 c 265 s 30; 1998 c 273 s 13; 1998 c
371 s 11; 1999 c 107 s 45,66; 2000 c 343 s 4; 2000 c 468 s 25; 2001 c 175 s 52; 1Sp2003 c 3 art 2
s 20; 1Sp2003 c 4 s 1; 1Sp2003 c 8 art 2 s 16; 1Sp2003 c 14 art 1 s 106; 2004 c 183 s 85; 2004 c
206 s 52; 2004 c 269 art 1 s 10; 2004 c 290 s 31,32; 2005 c 112 art 2 s 41; 1Sp2005 c 1 art 4 s 74
268.192 PROTECTION OF RIGHTS.
    Subdivision 1. Waiver of rights void. Any agreement by an individual to waive, release, or
commute rights to unemployment benefits or any other rights under the Minnesota Unemployment
Insurance Law shall be void. Any agreement by an employee to pay all or any portion of an
employer's taxes, shall be void. No employer shall directly or indirectly make or require or
accept any deduction from wages to pay the employer's taxes, require or accept any waiver of
any right or in any manner obstruct or impede an application or continued biweekly request for
unemployment benefits. Any employer or officer or agent of any employer who violates any
portion of this subdivision shall, for each offense, be guilty of a misdemeanor.
    Subd. 2. No assignment of unemployment benefits; exemptions. Any assignment, pledge,
or encumbrance of unemployment benefits shall be void. Unemployment benefits shall be exempt
from levy, execution, attachment, or any other remedy provided for the collection of debt. Any
waiver of this subdivision shall be void.
History: Ex1936 c 2 s 15; 1941 c 554 s 14; 1986 c 444; 1989 c 209 art 2 s 1; 1996 c 417 s
31; 1997 c 66 s 79; 1998 c 265 s 39; 1999 c 107 s 59; 2000 c 343 s 4; 2001 c 175 s 48,52;
1Sp2003 c 3 art 2 s 20
268.194 UNEMPLOYMENT INSURANCE TRUST FUND.
    Subdivision 1. Establishment. There is hereby established as a special state trust fund,
separate and apart from all other public money or funds of this state, an unemployment insurance
trust fund, that shall be administered by the commissioner exclusively for the payment of
unemployment benefits. This trust fund shall consist of:
(1) all taxes collected;
(2) interest earned upon any money in the trust fund;
(3) reimbursements paid by nonprofit organizations and the state and political subdivisions;
(4) voluntary payments under section 268.051, subdivision 7;
(5) any money received as a loan from the federal unemployment trust fund in accordance
with United States Code, title 42, section 1321, of the Social Security Act;
(6) any other money received pursuant to a reciprocal unemployment benefit arrangement
with the federal government or any other state;
(7) all money recovered on overpaid unemployment benefits;
(8) all money recovered on losses sustained by the trust fund;
(9) all money received from the contingent account under section 268.196, subdivision 3;
(10) all money credited to the account of Minnesota in the federal unemployment trust fund
pursuant to United States Code, title 42, section 1103, of the Social Security Act, also known
as the Reed Act; and
(11) all money received for the trust fund from any other source.
    Subd. 2. Commissioner of finance to be custodian; separate accounts. (a) The
commissioner of finance shall be the treasurer and custodian of the trust fund, administer the trust
fund in accordance with the directions of the commissioner, and issue warrants upon it. The
commissioner of finance shall maintain within the trust fund three separate accounts:
(1) a clearing account;
(2) an unemployment trust fund account; and
(3) an unemployment benefit payment account.
All money payable to the trust fund, upon receipt by the commissioner, shall be forwarded to
the commissioner of finance who shall immediately deposit the money in the clearing account.
All money in the clearing account, after clearance, shall be deposited to the credit of Minnesota's
account in the federal unemployment trust fund. Tax refunds payable pursuant to section 268.057
may be paid from the clearing account or the unemployment benefit payment account.
(b) The unemployment benefit payment account shall consist of all money requisitioned from
Minnesota's account in the federal unemployment trust fund for the payment of unemployment
benefits. Money in the clearing and unemployment benefit payment accounts may be deposited by
the commissioner of finance, under the direction of the commissioner, in any depository bank
that general funds of Minnesota may be deposited, but no public deposit insurance charge or
premium shall be paid out of the trust fund. Money in the clearing and unemployment benefit
payment accounts shall be maintained in separate accounts on the books of the depository bank.
This money shall be secured by the depository bank to the same extent and in the same manner as
required by the general depository law of Minnesota.
    Subd. 3. Exclusive use. (a) Money requisitioned from Minnesota's account in the federal
unemployment trust fund shall be used exclusively for the payment of unemployment benefits and
for tax refunds pursuant to section 268.057, except that money credited to Minnesota's account
pursuant to United States Code, title 42, section 1103 of the Social Security Act, also known as
the Reed Act, may be used for the payment of expenses of administration. The commissioner
shall from time to time requisition from the federal unemployment trust fund the amounts
necessary for the payment of unemployment benefits and tax refunds for a reasonable future
period. Upon receipt the commissioner of finance shall deposit the money in the unemployment
benefit payment account and issue warrants for the payment of unemployment benefits solely
from the unemployment benefit payment account.
(b) Expenditures of money in the unemployment benefit payment account and tax refunds
from the clearing account shall not be subject to any provisions of law requiring specific
appropriations or other formal release by state officers.
(c) All warrants issued for the payment of unemployment benefits and tax refunds shall bear
the signature of the commissioner of finance and the counter signature of the commissioner.
    Subd. 3a.[Renumbered subd 4]
    Subd. 4. Reimbursements. The commissioner is authorized to make to other state or federal
agencies and to receive from other state or federal agencies, reimbursements from or to the trust
fund, in accordance with reciprocal arrangements entered into pursuant to section 268.131.
Money received pursuant to a reciprocal agreement shall be placed directly in the
unemployment benefit payment account of the trust fund.
    Subd. 5. Reed Act money. (a) Money credited to the account of Minnesota in the federal
unemployment trust fund pursuant to United States Code, title 42, section 1103, of the Social
Security Act, also known as the Reed Act, may be requisitioned and used for (1) the payment
of unemployment benefits, or (2) expenses incurred for the administration of the Minnesota
unemployment insurance program pursuant to a specific appropriation by the legislature. Any
money used for the payment of unemployment benefits may be restored for appropriation and use
for administrative expenses upon request of the governor to the United States Secretary of Labor.
(b) Reed Act money may be used for expenses in the administration of the Minnesota
unemployment insurance program provided that the expenses are incurred and the money is
requisitioned after the enactment of an appropriation law that:
(1) specifies the amounts and the purposes for which the money is appropriated;
(2) limits the period within which the money may be obligated to a period ending not more
than two years after the date of the enactment of the appropriation law; and
(3) limits the amount that may be obligated to an amount that does not exceed the amount
by which the aggregate of the amounts transferred to the account of Minnesota pursuant to the
Reed Act exceeds the aggregate of the amounts used pursuant to this subdivision and charged
against the amounts transferred to the account of Minnesota. For the purposes of this subdivision,
amounts used for administration shall be chargeable against the transferred amounts at the time of
the obligation.
(c) Reed Act money requisitioned for the payment of expenses of administration shall remain
a part of the unemployment insurance trust fund. The commissioner shall account for the use of
this money in accordance with the standards established by the United States Secretary of Labor.
If any money is not spent for the purpose for which it was appropriated, or, if it remains unspent
at the end of the period specified by the law appropriating the money, it shall be returned for credit
to Minnesota's account in the federal unemployment trust fund.
    Subd. 6. Borrowing federal funds. (a) The governor is hereby authorized, if necessary, to
borrow funds from the federal unemployment trust fund in accordance with United States Code,
title 42, section 1321 of the Social Security Act in order to pay unemployment benefits.
(b) Any amount transferred to the trust fund under the terms of any loan shall be repayable
as provided in United States Code, title 42, sections 1101(d)(1), 1103(b)(2), and 1322 of the
Social Security Act.
(c) Interest payable on any loan shall be paid in accordance with section 268.051, subdivision
8
, paragraph (b).
History: Ex1936 c 2 s 3,11; 1937 c 306 s 8; 1937 c 452 s 1; 1939 c 443 s 2,9; 1941 c 554 s
2,10; 1943 c 650 s 8; 1945 c 376 s 2,10; 1947 c 432 s 8-10; 1949 c 605 s 2; 1953 c 97 s 3,4; 1957
c 883 s 2-5; 1961 c 517 s 1; 1965 c 45 s 45; 1969 c 9 s 64; 1969 c 310 s 1; 1969 c 567 s 3; 1971 c
942 s 13; 1975 c 302 s 1; 1979 c 181 s 16; 1Sp1982 c 1 s 4; 1983 c 216 art 1 s 87; 1983 c 372 s 8;
1985 c 248 s 70; 1Sp1985 c 13 s 300; 1986 c 444; 1989 c 209 art 2 s 1; 1994 c 488 s 8; 1996
c 417 s 31; 1997 c 66 s 79,80; 1998 c 265 s 33-35,40-42,45; 1999 c 107 s 60,66; 2000 c 343 s
4; 2001 c 175 s 52; 1Sp2003 c 3 art 2 s 20; 2004 c 206 s 52
268.196 ADMINISTRATION ACCOUNT.
    Subdivision 1. Administration account. (a) There is hereby created in the state treasury
a special account to be known as the administration account. All money that is deposited or
paid into this account shall be continuously available to the commissioner for expenditure to
administer the Minnesota unemployment insurance program, and shall not lapse at any time.
The administration account shall consist of:
(1) all money received from the federal government to administer the Minnesota
unemployment insurance program;
(2) any money received as compensation for services or facilities supplied to the federal
government or any other state;
(3) any amounts received for losses sustained by this account or by reason of damage to
equipment or supplies; and
(4) any proceeds from the sale or disposition of any equipment or supplies that may no
longer be necessary for the proper administration of those sections.
(b) All money in this account shall be deposited, administered, and disbursed in the same
manner and under the same conditions and requirements as are provided by law for the other
special accounts in the state treasury. The commissioner of finance, as treasurer and custodian of
this account, shall be liable for the faithful performance of duties in connection with this account.
(c) All money in this account shall be spent solely for the purposes and in the amounts found
necessary by the United States Secretary of Labor for the proper and efficient administration of
the Minnesota unemployment insurance program.
    Subd. 2. State to replace money wrongfully used. If any money received under United
States Code, title 42, section 501 of the Social Security Act or the Wagner-Peyser Act, is found by
the United States Secretary of Labor to have been spent for purposes other than, or in amounts
in excess of, those necessary for the proper administration of the Minnesota unemployment
insurance program, the commissioner may replace the money from the contingent account. If the
money is not replaced from the contingent account, it is the policy of this state that the money
be replaced by money appropriated for that purpose from the general funds of this state. If not
replaced from the contingent account, the commissioner shall, at the earliest opportunity, submit
to the legislature a request for the appropriation of that amount.
    Subd. 3. Contingent account. (a) There is hereby created in the state treasury a special
account, to be known as the contingent account, that shall not lapse nor revert to any other trust
fund. This account shall consist of all money appropriated therefor by the legislature, all money in
the form of interest and penalties collected pursuant to sections 268.057, 268.18, and 268.184, all
money received in the form of voluntary contributions to this account, and any interest earned on
the account. All money in this account shall be supplemental to all federal money available to the
commissioner. Money in this account is hereby appropriated to the commissioner and shall be
available to the commissioner for those expenditures the commissioner considers necessary in
connection with the administration of the Minnesota unemployment insurance program.
(b) Whenever the commissioner spends money from the contingent account for the
administration of the Minnesota unemployment insurance program for which money will later
be made available by the federal government, the contingent account shall, when money is
available, be reimbursed from the administration account. The commissioner shall certify to the
commissioner of finance the amount of the reimbursement and the commissioner of finance shall
transfer that amount from the administration account to the contingent account.
(c) All money in this account shall be deposited, administered, and disbursed in the same
manner and under the same conditions and requirements as is provided by law for the other
special accounts in the state treasury. On June 30 of each year, all amounts in excess of $300,000
in this account shall be paid over to the unemployment insurance trust fund.
History: Ex1936 c 2 s 13; 1941 c 554 s 12; 1945 c 376 s 12; 1953 c 97 s 16; 1957 c 883 s
8-10; 1963 c 721 s 1; 1965 c 45 s 46; 1969 c 399 s 1; 1969 c 567 s 3; 1973 c 254 s 3; 1973 c 492
s 14; 1973 c 720 s 73 subd 1; 1974 c 497 s 1; 1975 c 302 s 2; 1Sp1982 c 1 s 33; 1983 c 216 art 1 s
87; 1986 c 444; 1987 c 362 s 25; 1987 c 385 s 27; 1989 c 209 art 2 s 1; 1994 c 488 s 8; 1996 c
417 s 31; 1997 c 7 art 1 s 106; 1997 c 66 s 79,80; 1998 c 265 s 43; 1999 c 107 s 61,66; 2000 c
343 s 4; 2001 c 175 s 52; 1Sp2003 c 3 art 2 s 20; 2004 c 206 s 52
268.198 [Renumbered 268.26]
268.20 REPRESENTATION IN COURT.
In any civil action to enforce the provisions of the Minnesota Unemployment Insurance Law,
the commissioner shall be represented by the attorney general.
History: (4337-37) Ex1936 c 2 s 17; 1941 c 554 s 16; 1989 c 209 art 2 s 1; 1996 c 417 s
31; 2001 c 175 s 52; 1Sp2003 c 3 art 2 s 20
268.21 NONLIABILITY OF STATE.
(a) Unemployment benefits shall be payable only to the extent provided in this chapter and to
the extent that money is available in the trust fund and neither the state nor the commissioner shall
be liable for any amount in excess of the money available in the trust fund.
(b) No person shall make any demand, bring any suit, or other proceeding to recover from
the state or the commissioner any sum alleged to be due on a benefit account after the expiration
of two years from the effective date of the benefit account.
History: (4337-38) Ex1936 c 2 s 18; 1941 c 554 s 17; 1989 c 209 art 2 s 1; 1994 c 488 s 8;
1996 c 417 s 31; 1997 c 66 s 77; 1998 c 265 s 44; 1999 c 107 s 63; 2000 c 343 s 4; 1Sp2003 c 3
art 2 s 20
268.22 SAVING CLAUSE.
The legislature reserves the right to amend or repeal all or any part of the Minnesota
Unemployment Insurance Law at any time; and there shall be no vested private right of any kind
against such amendment or repeal. All the rights, privileges, or immunities conferred thereby,
or by acts done pursuant thereto, shall exist subject to the power of the legislature to amend or
repeal these sections at any time.
History: (4337-39) Ex1936 c 2 s 19; 1941 c 554 s 18; 1991 c 199 art 2 s 1; 1996 c 417 s
31; 2001 c 175 s 52; 1Sp2003 c 3 art 2 s 20
268.23 SEVERABLE.
In the event that the United States Department of Labor determines that any provision of the
Minnesota Unemployment Insurance Law, or any other provision of Minnesota Statutes relating to
the unemployment insurance program, is not in conformity with the requirements of federal law,
the provision shall have no force or effect; but if only a portion of the provision, or the application
to any person or circumstances, is held not in conformity, the remainder of the provision and the
application of the provision to other persons or circumstances shall not be affected.
History: (4337-40) Ex1936 c 2 s 20; 1941 c 554 s 19; 1949 c 605 s 14; 1965 c 45 s 47;
1991 c 199 art 2 s 1; 1996 c 417 s 30,31; 1999 c 107 s 64,66; 2000 c 343 s 4; 2001 c 175 s
52; 1Sp2003 c 3 art 2 s 20
268.231 [Repealed, 1996 c 417 s 32]
268.24 [Repealed, 1987 c 385 s 50]
268.25 [Repealed, 1998 c 265 s 46]
268.26 [Repealed, 2004 c 206 s 53]
268.29 [Renumbered 299A.72]
268.30 [Renumbered 116L.30]
268.31 [Repealed, 1994 c 632 art 4 s 84]
268.315 [Repealed, 1994 c 632 art 4 s 84]
268.32 [Repealed, 1994 c 632 art 4 s 84]
268.33 [Repealed, 1994 c 632 art 4 s 84]
268.34 [Repealed, 1994 c 632 art 4 s 84]
268.35 [Repealed, 1994 c 632 art 4 s 84]
268.36 [Repealed, 1994 c 632 art 4 s 84]
    Subdivision 1.[Renumbered 116L.361, subdivision 1]
    Subd. 2.[Renumbered 116L.361, subd 2]
    Subd. 3.[Repealed, 2004 c 206 s 53]
    Subd. 4.[Renumbered 116L.361, subd 3]
    Subd. 4a.[Renumbered 116L.361, subd 4]
    Subd. 5.[Renumbered 116L.361, subd 5]
    Subd. 6.[Renumbered 116L.361, subd 6]
    Subd. 7.[Renumbered 116L.361, subd 7]
268.362 [Renumbered 116L.362]
268.3625 [Renumbered 116L.3625]
268.363 [Renumbered 116L.363]
    Subdivision 1.[Renumbered 116L.364, subdivision 1]
    Subd. 2.[Renumbered 116L.364, subd 2]
    Subd. 3.[Renumbered 116L.364, subd 3]
    Subd. 4.[Renumbered 116L.364, subd 4]
    Subd. 5.[Repealed by amendment, 1989 c 328 art 7 s 4]
    Subd. 6.[Renumbered 116L.364, subd 5]
    Subdivision 1.[Repealed, 1993 c 369 s 146]
    Subd. 2.[Renumbered 116L.365, subdivision 1]
    Subd. 3.[Renumbered 116L.365, subd 2]
    Subd. 4.[Renumbered 116L.365, subd 3]
268.366 [Renumbered 116L.366]
268.3661 [Repealed, 2004 c 206 s 53]
268.367 [Repealed, 1996 c 339 s 10]
268.37 [Repealed, 1998 c 273 s 15]
268.371 [Repealed, 1998 c 273 s 15]
    Subdivision 1.[Repealed, 1998 c 273 s 15]
    Subd. 2.[Repealed, 1998 c 273 s 15]
    Subd. 3.[Repealed, 1998 c 273 s 15]
    Subd. 4.[Repealed, 1998 c 273 s 15]
    Subd. 5.[Repealed, 1998 c 273 s 15]
    Subd. 6.[Repealed, 1998 c 273 s 15]
    Subd. 7.[Repealed, 1998 c 273 s 15]
    Subd. 8.[Repealed, 1998 c 273 s 15]
    Subd. 9.[Repealed, 1998 c 273 s 15]
    Subd. 10.[Deleted, 1995 c 233 art 2 s 56]
    Subd. 11.[Repealed, 1996 c 339 s 10]
    Subd. 12.[Repealed, 1998 c 273 s 15]
    Subd. 13.[Renumbered 119A.43, subd 11]
268.39 [Repealed, 1997 c 200 art 4 s 23]
268.40 [Expired]
268.41 [Expired]
268.42 [Expired]
268.43 [Expired]
268.52 [Renumbered 119A.374]
    Subdivision 1.[Renumbered 119A.375, subdivision 1]
    Subd. 1a.[Renumbered 119A.375, subd 2]
    Subd. 2.[Renumbered 119A.375, subd 3]
    Subd. 3.[Renumbered 119A.375, subd 4]
    Subd. 4.[Renumbered 119A.375, subd 5]
    Subd. 5.[Renumbered 119A.375, subd 6]
    Subd. 6.[Renumbered 119A.375, subd 7]
    Subd. 7.[Renumbered 119A.375, subd 8]
268.54 [Renumbered 119A.376]
268.55 [Repealed, 1998 c 273 s 15]
268.551 [Repealed, 2004 c 206 s 53]
268.552 [Repealed, 2004 c 206 s 53]
    Subdivision 1.[Renumbered 116L.56, subdivision 1]
    Subd. 2.[Repealed, 2004 c 206 s 53]
    Subd. 3.[Renumbered 116L.56, subd 2]
    Subd. 4.[Renumbered 116L.56, subd 3]
    Subdivision 1.[Renumbered 116L.561, subdivision 1]
    Subd. 2.[Renumbered 116L.561, subd 2]
    Subd. 3.[Renumbered 116L.561, subd 3]
    Subd. 4.[Renumbered 116L.561, subd 4]
    Subd. 5.[Renumbered 116L.561, subd 5]
    Subd. 6.[Renumbered 116L.561, subd 6]
    Subd. 7.[Renumbered 116L.561, subd 7]
    Subd. 8.[Renumbered 116L.561, subd 8]
    Subd. 9.[Renumbered 116L.561, subd 9]
    Subd. 10.[Repealed, 2004 c 206 s 53]
268.60 [Renumbered 116L.60]
    Subdivision 1.[Renumbered 116L.61, subdivision 1]
    Subd. 2.[Repealed, 2004 c 206 s 53]
    Subd. 3.[Renumbered 116L.61, subd 2]
    Subd. 4.[Renumbered 116L.61, subd 3]
    Subd. 5.[Renumbered 116L.61, subd 4]
    Subd. 6.[Renumbered 116L.61, subd 5]
268.62 [Renumbered 116L.62]
268.63 [Renumbered 116L.63]
268.64 [Renumbered 116L.64]
268.65 [Repealed, 2004 c 206 s 53]
268.66 [Renumbered 116L.66]
    Subdivision 1.[Renumbered 116L.665, subdivision 1]
    Subd. 2.[Renumbered 116L.665, subd 2]
    Subd. 3.[Renumbered 116L.665, subd 3]
    Subd. 3a.[Renumbered 116L.665, subd 4]
    Subd. 4.[Renumbered 116L.665, subd 5]
    Subd. 5.[Renumbered 116L.665, subd 6]
    Subd. 6.[Renumbered 116L.665, subd 7]
    Subdivision 1.[Renumbered 116L.666, subdivision 1]
    Subd. 2.[Renumbered 116L.666, subd 2]
    Subd. 3.[Renumbered 116L.666, subd 3]
    Subd. 4.[Renumbered 116L.666, subd 4]
    Subd. 5.[Repealed, 2004 c 206 s 53]
268.671 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
268.6715 [Repealed, 2001 c 79 s 8]
268.672 [Repealed, 2001 c 79 s 8]
268.673 [Repealed, 2001 c 79 s 8]
268.674 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
268.675 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
268.6751 [Repealed, 2001 c 79 s 8]
268.676 [Repealed, 1997 c 200 art 3 s 19]
268.677 [Repealed, 2001 c 79 s 8]
268.678 [Repealed, 1997 c 200 art 3 s 19]
    Subdivision 1.[Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
    Subd. 2.[Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
    Subd. 3.[Repealed, 1997 c 200 art 3 s 19]
268.68 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
268.681 [Repealed, 2001 c 79 s 8]
268.6811 [Repealed, 2001 c 79 s 8]
268.682 [Repealed, 2001 c 79 s 8]
268.683 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
268.684 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 2]
268.685 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
268.84 [Repealed, 1Sp1985 c 14 art 9 s 78 subd 1]
268.85 [Repealed, 2001 c 79 s 8]
    Subdivision 1.[Repealed, 1987 c 403 art 3 s 98]
    Subd. 2.[Renumbered 116L.86, subdivision 1]
    Subd. 3.[Repealed, 1987 c 403 art 3 s 98]
    Subd. 4.[Repealed, 1987 c 403 art 3 s 98]
    Subd. 5.[Repealed, 1987 c 403 art 3 s 98]
    Subd. 6.[Renumbered 116L.86, subd 2]
    Subd. 7.[Repealed, 1989 c 282 art 5 s 133]
    Subd. 8.[Repealed, 2001 c 79 s 8]
    Subd. 9.[Repealed, 1990 c 568 art 4 s 85]
    Subd. 10.[Renumbered 116L.86, subd 3]
    Subdivision 1.[Renumbered 116L.871, subdivision 1]
    Subd. 1a.[Renumbered 116L.871, subd 2]
    Subd. 2.[Repealed, 2001 c 79 s 8]
    Subd. 3.[Renumbered 116L.871, subd 3]
    Subd. 4.[Repealed, 2001 c 79 s 8]
    Subd. 5.[Repealed, 1999 c 159 s 154]
    Subdivision 1.[Renumbered 116L.872, subdivision 1]
    Subd. 2.[Renumbered 116L.872, subd 2]
    Subd. 3.[Repealed, 1990 c 568 art 4 s 85]
268.88 [Renumbered 116L.88]
268.881 [Renumbered 116L.881]
268.89 [Repealed, 2004 c 206 s 53]
268.90 [Repealed, 2001 c 79 s 8]
    Subdivision 1.[Renumbered 256H.01]
    Subd. 2.[Renumbered 256H.02]
    Subd. 3.[Renumbered 256H.03]
    Subd. 3a.[Renumbered 256H.04]
    Subd. 3b.[Renumbered 256H.05]
    Subd. 3c.[Renumbered 256H.06]
    Subd. 3d.[Renumbered 256H.07]
    Subd. 3e.[Renumbered 256H.08]
    Subd. 3f.[Renumbered 256H.09]
    Subd. 4.[Renumbered 256H.10]
    Subd. 5.[Renumbered 256H.11]
    Subd. 6.[Renumbered 256H.12]
    Subd. 6a.[Renumbered 256H.13]
    Subd. 7.[Renumbered 256H.14]
    Subd. 8.[Renumbered 256H.15]
    Subd. 9.[Renumbered 256H.16]
    Subd. 10.[Renumbered 256H.17]
    Subd. 11.[Renumbered 256H.18]
    Subd. 12.[Renumbered 256H.19]
268.911 [Renumbered 256H.20]
268.912 [Renumbered 119A.50]
    Subdivision 1.[Renumbered 119A.51, subdivision 1]
    Subd. 2.[Renumbered 119A.51, subd 2]
    Subd. 3.[Renumbered 119A.51, subd 3]
    Subd. 4.[Renumbered 119A.51, subd 4]
    Subd. 5.[Repealed, 1997 c 162 art 1 s 19]
    Subd. 6.[Renumbered 119A.51, subd 5]
    Subdivision 1.[Renumbered 119A.52]
    Subd. 2.[Repealed, 1993 c 369 s 146]
268.915 [Renumbered 119A.53]
268.916 [Renumbered 119A.54]
268.9165 [Renumbered 119A.545]
268.917 [Repealed, 1998 c 273 s 15]
268.918 [Repealed, 2004 c 206 s 53]
268.92 [Repealed, 1998 c 273 s 15]
268.95 [Repealed, 2004 c 206 s 53]
268.96 [Renumbered 116L.96]
268.971 [Repealed, 2001 c 79 s 8]
268.975 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.9755 [Repealed, 1995 c 131 s 3]
    Subdivision 1.[Repealed, 2004 c 206 s 53]
    Subd. 2.[Renumbered 116L.976, subdivision 1]
    Subd. 3.[Renumbered 116L.976, subd 2]
268.977 [Repealed, 1993 c 369 s 146]
268.9771 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.978 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.9781 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.9782 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.9783 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.979 [Repealed, 1Sp2001 c 4 art 2 s 41]
268.98 [Repealed, 1Sp2001 c 4 art 2 s 41]

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569