Minnesota labor panel advances governor's Department of Labor budget with fee, apprenticeship and misclassification provisions

The Minnesota Senate Labor Committee on March 13 recommended passage of Senate File 2,373, the governor's Department of Labor and Industry budget and policy bill, after adopting an amendment and hearing hours of testimony on fee changes, worker protections and a proposal to fund a statewide registered teacher apprenticeship program.

Nicole Lisonbee, commissioner of the Minnesota Department of Labor and Industry, told the committee the proposal "maintains base funding and adds modest operating adjustments" while adding targeted new investments, including funding for misclassification enforcement, a statewide teacher apprenticeship sponsor and construction code fee adjustments.

The bill would: fund 2.5 full-time equivalent positions in the labor standards division to enforce worker misclassification laws (281,000 in fiscal 2026 and 286,000 in fiscal 2027 as presented); direct 5,000,000 from the Workforce Development Fund in fiscal 2026 and 2,000,000 in fiscal 2027 to establish a statewide registered teacher apprenticeship sponsor and joint apprenticeship…