Gruenhagen: Paid leave will cost much more than we were told

Friends and neighbors –

As you remember, last session Democrats excitedly passed a paid family leave program. Their proposal was poorly designed and incredibly fiscally irresponsible – it created an enormous new government bureaucracy, restricted existing employee paid leave benefits, and imposed a massive tax increase that will disproportionately hurt middle-class workers and Main Street small businesses.

When the bill was being debated, many of us warned that the costs would be higher than Democrats were saying. We were right.

Thanks to an actuarial study that Republicans successfully added to the bill, we now know the program will cost $630 million more than initially projected, and the tax hike will be 31% higher. This confirms our fears. And Minnesotans will foot the bill with even higher taxes.

A one-size-fits-all government mandate was never the right approach. Republicans offered a proposal that addressed the issue thoughtfully and responsibly by expanding access to paid leave benefits for those not currently covered. We did it in a way that allowed companies to design plans to fit the unique needs of their workforce. Instead, Democrats pushed through their extreme proposal without regard for the negative impact it will have on workers.

Making matters worse, we recently learned the state expects a $2.4 billion surplus for 2024. As if it were needed, it is yet more evidence that Minnesotans are significantly overtaxed. Despite this, the Democrats’ agenda continues to be centered on creating costly new government programs that force you to pay even more.

Families and workers are still feeling pinched by high inflation, and they have been pleading with us for relief. Giving back the surplus and providing real, permanent tax relief must be our number one priority. 

This will be at the top of my agenda when the legislature reconvenes in 2024. Please reach out with any questions or concerns. I am honored to serve you.

God Bless,

Glenn