2016

Changes to the Minnesota Retainage Law

06.7.2016
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The proposed changes to Minnesota’s retainage law we had posted about previously were signed into law by Governor Dayton on May 19, 2016. Here are the basics about the changes to the law and what they mean for your business.

Prompt Payment:
The revised statute permits contractors and subcontractors to stop work on a project if they are not paid within ten days after an undisputed payment is due. They are not required to continue work until they are paid. It will also allow recovery of interest, court costs, and attorney’s fees if civil suit is […]

Minneapolis Now Requires Paid Sick Leave

06.6.2016
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Minneapolis has become the first city in Minnesota to require paid sick leave. On May 27, 2016, the Minneapolis City Council unanimously passed a citywide sick leave ordinance, called the Minneapolis Sick and Safe Time Ordinance. The ordinance requires employers with at least six employees, regardless of the employer’s location, to provide paid sick leave to employees who work in the city of Minneapolis for at least 80 hours in one calendar year. It is irrelevant whether the employee is full or part-time, seasonal, or working on a temporary basis. Employers with five employees or less must allow […]

The New Overtime Law is Here

05.23.2016
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Beginning on December 1, 2016, significant changes to federal overtime laws under the Fair Labor Standards Act (FLSA) will take effect. The most prominent of these changes is that the threshold salary for employees to be exempt from overtime will roughly double, from $23,660 ($455/wk) to $47,476 ($913/wk).

The good news for Green Industry businesses is that this change will only affect the relatively small number of companies with employees who previously qualified for overtime exemption but earn less than $47,476. The bad news is that the change comes at a time when a shortage […]

Possible Reform to Minnesota’s Retainage Law

05.16.2016
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Many subcontractors and material suppliers have complaints about Minnesota’s current retainage law because it does not set a limit on how much of the contract price contractors are allowed to retain in building and construction contracts. Additionally, the law does not provide a time frame for when the retainage has to be paid to the subcontractors or material suppliers, potentially resulting in unnecessary delays for those parties to receive payment. Recently, a new bill addressing these and additional issues was introduced to the House and the Senate.

The bill proposes three major changes. First is a 5% cap on […]