Eligible Minnesota workers can now apply through the Minnesota Department of Labor and Industry (DOLI) for a bonus under the COVID-19 Frontline Worker Pay Law.
Below is an outline of what employers need to know about this new law, including what it requires of them.
What Is the COVID-19 Frontline Worker Pay Law?
The Minnesota COVID-19 Frontline Worker Pay Law, signed into law by Minnesota Governor Tim Walz on April 29, 2022, authorizes direct payments to eligible Minnesota workers whose work put them at risk of contracting COVID-19 during the peacetime emergency. Employers are not required to fund the bonus, rather, the bonus payments will come from a state fund of $500 million that the state has set aside to split amongst approximately 667,000 Minnesota frontline workers. At this time, the state anticipates each eligible worker will receive approximately $750, although the amount of the bonuses will ultimately be determined by the number of eligible applicants, not to exceed $1,500 per applicant.
What Are the Eligibility Criteria?
In order to be eligible for frontline worker pay, the worker must:
- Have been employed at least 120 hours in Minnesota in one or more “frontline sectors” between March 15, 2020 and June 30, 2021.
- For at least 120 hours worked during this period:
- Have not been able to telework due to the nature of their work.
- Have worked in close proximity to people outside of the worker’s household.
- Meet income requirements for at least one of the 2020 or 2021 tax years.
- Have not received an unemployment insurance benefit payment for more than 20 total weeks between March 15, 2020, and June 26, 2021.
The state has defined “close proximity to individuals outside of the individual’s household” to mean within six feet of individuals with whom the worker does not live. In order to be eligible, a worker must not have had an option to perform work remotely or in a telework status.
To qualify for a payment, a worker’s adjusted gross income must be less than the following amounts for at least one of the 2020 or 2021 tax years:
- For a worker who was employed in an occupation with direct COVID-19 patient care responsibilities, $350,000 for a married taxpayer filing a joint return and $175,000 for all other filers.
- For all other workers, $185,000 for a married taxpayer filing a joint return and $85,000 for all other filers.
What Are the Frontline Sectors?
The state has defined the “frontline sectors” to include the following:
- Building services, including maintenance, janitorial and security
- Child care
- Courts and corrections
- Emergency responders
- Food service, including production, processing, preparation, sale and delivery
- Ground and air transportation services
- Health care
- Long-term care and home care
- Manufacturing
- Public health, social service and regulatory service
- Public transit
- Retail, including sales, fulfillment, distribution and delivery
- Schools, including charter schools, state schools and higher education
- Temporary shelters and hotels
- Vocational rehabilitation
Industries not included in the definition of “frontline sectors” include the professional, scientific, and technical services industries, the information services industry, the finance and insurance industries, the utilities industry, the construction industry and the arts, entertainment and recreation industries. The state recently issued a fact sheet that provides employers with further guidance on assessing whether they fall into one of the frontline sectors, including examples of specific types of employers within each sector.
How Do Workers Apply?
Workers can apply on the Minnesota COVID-19 Frontline Worker webpage. The application period is expected to be open from June 8, 2022, through Friday, July 22, 2022, although the dates may be subject to change. If an application is denied, applicants have 15 days from notice of the denial to appeal.
What Are My Obligations as an Employer?
By June 23, 2022, employers in the frontline sectors are required to provide notice, in a form approved by the DOLI Commissioner, advising all current workers who may be eligible for Frontline Worker Pay of the assistance potentially available to them and how to apply for the benefits. Employers are to provide the notice using the same means the employer uses to provide other work-related notices to employees. The notice must be at least as conspicuous as (1) posting a copy of the notice at each worksite where workers work and where the notice may be readily observed and reviewed by all workers working at the site; or (2) providing a paper or electronic copy of the notice to all workers.
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