Friends and neighbors –
One of the major bills running through the Senate this year is the Democrats’ bill to provide 24 weeks of paid family and medical leave for employees who are sick or need to care for a loved one.
The bill has already had hearings in several committees and is scheduled to be heard on February 20 in the committee on Human Services. As the bill moves through the process, I wanted to provide you with an update and a reminder on some of the concerns I have heard about it.
Providing paid family and medical leave is certainly an aspirational and compassionate goal – we certainly want folks to be able to care for their loved ones or take time to heal.
But as is often the case, if you look beyond the feel-good headlines, it is a flawed bill that will present serious challenges for small businesses across the state and likely cause layoffs.
- The plan would be funded by a new $1.2 billion paid leave tax, that would be paid by employers and employees. A lot of these are small mom-and-pop shops that won’t be able to afford the new tax.
- The tax itself is regressive; it would hurt low-income earners the most.
- There is no fiscal note, which is the document that tells us how much it will cost. The bill is being rushed through before we have a clear understanding of how expensive it will be.
Minnesotans rightfully want access to paid leave options in case of emergencies, but they do not want a large, inefficient, expensive new government program.
We have a better alternative. Instead of a one-size-fits-all, inflexible mandate that will be unworkable for small businesses, our plan uses tax breaks to incentivize employers to create their own paid leave plan and to support employees who need it.
Our plan would not infringe on the 80% of businesses that already have their own paid leave plans in place, but it will provide an option for employees to take paid time off when they need it, without creating any new government bureaucracy or raising taxes. Employers will have the ability to offer benefits that are attractive to their employees, and families will have more choices when it comes to taking care of their family members during difficult times.
The Republican paid leave plan will help us reach our shared goal much more quickly, much more effectively, and at a much better value to Minnesotans.
Contact me
I love hearing your feedback. If you have any questions or comments about the issues we are working on, please contact me anytime. My email is sen.glenn.gruenhagen@senate.mn, or you can call me at 651-296-4131.
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It is a privilege to serve you. God Bless.