1 | 1 | | 1.1 A bill for an act |
---|
2 | 2 | | 1.2 relating to employment; increasing penalties for employer misrepresentation and |
---|
3 | 3 | | 1.3 misconduct; amending Minnesota Statutes 2024, sections 268.184, subdivision 1; |
---|
4 | 4 | | 1.4 268B.19. |
---|
5 | 5 | | 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
---|
6 | 6 | | 1.6 Section 1. Minnesota Statutes 2024, section 268.184, subdivision 1, is amended to read: |
---|
7 | 7 | | 1.7 Subdivision 1.Misrepresentation; administrative penalties.(a) The commissioner |
---|
8 | 8 | | 1.8must penalize an employer if that employer or any employee, officer, or agent of that |
---|
9 | 9 | | 1.9employer made a false statement or representation without a good faith belief as to correctness |
---|
10 | 10 | | 1.10of the statement or representation or knowingly failed to disclose a material fact in order |
---|
11 | 11 | | 1.11to: |
---|
12 | 12 | | 1.12 (1) assist an applicant to receive unemployment benefits to which the applicant is not |
---|
13 | 13 | | 1.13entitled; |
---|
14 | 14 | | 1.14 (2) prevent or reduce the payment of unemployment benefits to an applicant; or |
---|
15 | 15 | | 1.15 (3) avoid or reduce any payment required from an employer under this chapter or section |
---|
16 | 16 | | 1.16116L.20. |
---|
17 | 17 | | 1.17The penalty is the greater of $500 or 50 100 percent of the following resulting from the |
---|
18 | 18 | | 1.18employer's action: |
---|
19 | 19 | | 1.19 (i) the amount of any overpaid unemployment benefits to an applicant; |
---|
20 | 20 | | 1.20 (ii) the amount of unemployment benefits not paid to an applicant that would otherwise |
---|
21 | 21 | | 1.21have been paid; or |
---|
22 | 22 | | 1Section 1. |
---|
23 | 23 | | 25-04299 as introduced02/25/25 REVISOR SS/VJ |
---|
24 | 24 | | SENATE |
---|
25 | 25 | | STATE OF MINNESOTA |
---|
26 | 26 | | S.F. No. 2361NINETY-FOURTH SESSION |
---|
27 | 27 | | (SENATE AUTHORS: OUMOU VERBETEN, McEwen and Kupec) |
---|
28 | 28 | | OFFICIAL STATUSD-PGDATE |
---|
29 | 29 | | Introduction and first reading03/10/2025 |
---|
30 | 30 | | Referred to Jobs and Economic Development 2.1 (iii) the amount of any payment required from the employer under this chapter or section |
---|
31 | 31 | | 2.2116L.20 that was not paid. |
---|
32 | 32 | | 2.3 (b) The commissioner must penalize an employer if that employer failed or refused to |
---|
33 | 33 | | 2.4honor a subpoena issued under section 268.188. The penalty is $500 and any costs of |
---|
34 | 34 | | 2.5enforcing the subpoena, including attorney fees. |
---|
35 | 35 | | 2.6 (c) An additional penalty of up to $10,000 may be imposed for each individual the |
---|
36 | 36 | | 2.7employer failed to classify, represent, or treat as an employee pursuant to Minnesota Rules, |
---|
37 | 37 | | 2.8part 3315.0555. |
---|
38 | 38 | | 2.9 (c) (d) Penalties under this subdivision and under section 268.047, subdivision 4, |
---|
39 | 39 | | 2.10paragraph (b), are in addition to any other penalties and subject to the same collection |
---|
40 | 40 | | 2.11procedures that apply to past due taxes. Penalties must be paid within 30 calendar days of |
---|
41 | 41 | | 2.12issuance of the determination of penalty and credited to the trust fund. |
---|
42 | 42 | | 2.13 (d) (e) The determination of penalty is final unless the employer files an appeal within |
---|
43 | 43 | | 2.1445 calendar days after the sending of the determination of penalty to the employer by mail |
---|
44 | 44 | | 2.15or electronic transmission. Proceedings on the appeal are conducted in accordance with |
---|
45 | 45 | | 2.16section 268.105. |
---|
46 | 46 | | 2.17 Sec. 2. Minnesota Statutes 2024, section 268B.19, is amended to read: |
---|
47 | 47 | | 2.18 268B.19 EMPLOYER MISCONDUCT; PENALTY. |
---|
48 | 48 | | 2.19 (a) The commissioner must penalize an employer if that employer or any employee, |
---|
49 | 49 | | 2.20officer, or agent of that employer is in collusion with any applicant for the purpose of |
---|
50 | 50 | | 2.21assisting the applicant in receiving benefits fraudulently. The penalty is $500 or the amount |
---|
51 | 51 | | 2.22of benefits determined to be overpaid, whichever is greater. |
---|
52 | 52 | | 2.23 (b) The commissioner must penalize an employer if that employer or any employee, |
---|
53 | 53 | | 2.24officer, or agent of that employer: |
---|
54 | 54 | | 2.25 (1) made a false statement or representation knowing it to be false; |
---|
55 | 55 | | 2.26 (2) made a false statement or representation without a good-faith belief as to the |
---|
56 | 56 | | 2.27correctness of the statement or representation; or |
---|
57 | 57 | | 2.28 (3) knowingly failed to disclose a material fact. |
---|
58 | 58 | | 2.29 (c) The penalty is the greater of $500 or 50 100 percent of the following resulting from |
---|
59 | 59 | | 2.30the employer's action: |
---|
60 | 60 | | 2.31 (1) the amount of any overpaid benefits to an applicant; |
---|
61 | 61 | | 2Sec. 2. |
---|
62 | 62 | | 25-04299 as introduced02/25/25 REVISOR SS/VJ 3.1 (2) the amount of benefits not paid to an applicant that would otherwise have been paid; |
---|
63 | 63 | | 3.2or |
---|
64 | 64 | | 3.3 (3) the amount of any payment required from the employer under this chapter that was |
---|
65 | 65 | | 3.4not paid. |
---|
66 | 66 | | 3.5 (d) An additional penalty of up to $10,000 may be imposed for each individual the |
---|
67 | 67 | | 3.6employer failed to classify, represent, or treat as an employee pursuant to Minnesota Rules, |
---|
68 | 68 | | 3.7part 5200.0221. |
---|
69 | 69 | | 3.8 (d) (e) Penalties must be paid within 30 calendar days of issuance of the determination |
---|
70 | 70 | | 3.9of penalty and credited to the family and medical benefit insurance account. |
---|
71 | 71 | | 3Sec. 2. |
---|
72 | 72 | | 25-04299 as introduced02/25/25 REVISOR SS/VJ |
---|