The Legislature has now formally banned most “covenants not to compete” with employees or independent contracts that restrict:

• Working for another employer for a specified period of time
• Working in a specified geographic area
• Working for another employer in a capacity similar to the employee’s position
• Exception for the non-competes signed in connection with sale/dissolution of a business
• Agreements entered into prior to 7/1/2023 are still enforceable

Does not prohibit

• Confidentiality/non-disclosure/protection of trade secrets restrictions
• Non-solicitation/prohibition on use of client or contact lists clauses

Old Law

• Covered employees: employers with 21 or more employees at one or more locations
• Covered employees: employees who’ve worked at least 12 consecutive months preceding leave need, and who’ve averaged a least 1/2 of the employers full-time schedule during the 12 months preceding leave need

New Law

• Covered employees: employers with 1 or more employees
• Covered employees: all employees regardless of length of service or hours worked

Milk expression revisions

An employer must provide reasonable break times each day to an employee who needs to express milk. The break times may run concurrently with any break times already provided to the employee. An employer shall not reduce an employee’s compensation for time used for the purpose of expressing milk.

Pregnancy accommodation revisions

The employee and employer shall engage in an interactive process with respect to an employee’s request for a reasonable accommodation. Reasonable accommodation may include but it is not limited to temporary transfer to less strenuous or hazardous position, temporary leave of absence, modification in work schedule or job assignments, seating, more frequent or longer break periods, and limits to heavy lifting.

Amendments to both laws require that employees be provided with notice of their rights:

• At the time of hire
• Upon inquiry
• When requesting covered leave or accommodation
• Notice of rights and remedies must be included in employee handbook

All forms of cannabis will be legal for recreational consumption. This amends the criminal code and expunges certain low level drug convictions. There are also amends made to Minnesota drug testing laws:

• Preemployment testing cannot screen for cannabis except for specific positions:
  • “Safety-sensitive” peace officers, firefighters, direct care providers (children, vulnerable adults, certain patients), CDL drivers, positions funded by federal grant, positions required to test under state or federal law
• Can still be included in post-hire random and reasonable suspicion testing, including:
  • Post-injury/accident
  • Under suspicion of violation of written work rule re: possession, use, impairment, etc.
  • Suspicion that employee “does not possess that clearness of intellect and control of self that the employee otherwise would have”

Lastly, this will amend Minnesota lawful consumable products laws:

• Cannabis now included in list of “lawful consumable products”, so employers can’t discriminate or make negative employment decisions based on general usage

Employers can still prohibit possession or use at work, and discipline or terminate for being under the influence, violating policy, etc. (i.e: just like alcohol)

Wage Disclosure: Effective July 1, 2023

An employer shall not discharge, discipline, penalize, interfere with, threaten, restrain, coerce, or otherwise retaliate or discriminate against an employee for asserting rights or remedies under this section.

Employer-Sponsored Meetings: Effective August 1, 2023

Employees cannot be punished for refusing to participate in meetings to communicate the employer’s opinion regarding:

• Religious matters; or
• Political matters (includes “captive audience” anti-union meetings)
• Notice of rights must be posted wherever notices are “customarily placed”