Paid Family Leave raises taxes, lacks bipartisan input

Senate Democrats on Monday forced through an extreme bill that mandates a one-size-fits-all paid leave program for businesses across the state. The proposal creates a new government entity, which will lead to tax increases on every employer and employee, increased prices on all goods and services, increased property taxes, increased bureaucracy, and a radical growth of government. The tax hike is expected to be at least $2.8 billion for the first year of the program.

“I’m disappointed that Senate Democrats have neglected the concerns of small business owners and employees across the state and have chosen to pass an expensive and inflexible paid family leave mandate,” said Senator Michael Kreun (R-Blaine). “Senate Republicans offered a thoughtful alternative that gives employers the ability to implement a paid family leave plan that is both affordable and flexible, and assures that Minnesotans who like their current paid family benefit are able to keep it. Minnesotans want more access to paid leave, but they don’t want a new expensive government program with massive tax increases, and unfortunately, that’s exactly what this bill does.”  

Senate Republicans previously put forward an alternative plan that harnesses the private market to make paid leave easier for employers to offer. The plan would have provided small businesses with needed flexibility to implement the program, by giving tax credits to employers offering the paid family leave benefits. The plan received support from Democrats, Independents, and Republicans when it passed the Senate last year. 

Earlier today, Senate Republicans held a press conference with small business owners and school officials, who raised concerns with the Democrat proposal. The bill passed on a party line vote.