Chair moves House File 11 to Ways and Means after debate on delaying Minnesota paid family and medical leave

The Minnesota House Workforce Development Committee voted 7-6 to send House File 11 to the House Ways and Means Committee after a lengthy debate over whether to delay implementation of the state's paid family and medical leave law by one year.

The proposal, carried in committee as House File 11 by Representative Matt Baker, would postpone the program that is scheduled to begin collections and benefits in 2026. Baker described the pause as a way to "make sure we get it right before it goes out the door," citing concerns about information from the Department of Employment and Economic Development and readiness of employers and IT systems.

Committee members said the issue matters because implementation affects every Minnesota employer and worker and involves payroll collections and benefit payouts. Representative Baker warned of large fiscal implications, saying, "we're gonna be taking 1 and a half billion dollars in tax collections from Minnesotans starting in '26 ... roughly half from employees and half from employers." Representative Devin Bowdreep of DEED told the committee the agency believes it is prepared to implement in January 2026: "Our position is that we are ready to go January of 2026. And we have what we need."

Lawmakers debating the bill split on whether a one-year delay was necessary or whether additional hearings and technical fixes could be achieved without postponing benefits. Supporters of delay, led by Baker, said employers, school districts and small businesses still need clearer guidance and stronger outreach about eligibility, payroll collection and IT testing. Opponents said delaying would force Minnesotans who have planned family and medical leave to wait and risk harming people who need time with ill relatives, new children or recovery from violence.

Representative Basim Hussain, who described losing his job while caring for his dying mother, told the committee the program is "very personal" and urged that it move forward without further delay: "Delaying this will cause harmful for many Minnesotans ... Stop delaying this." Several other members offered personal stories and asked for concrete evidence showing the program cannot launch as scheduled.

DEED described extensive outreach and rulemaking since 2023, including 19 virtual listening sessions, nearly 1,300 attendees at Greater Minnesota sessions and webinars with thousands of participants. DEED said it is working on engagement with employers and expects community outreach grants to begin in July to support local outreach and testing volunteers for the IT system.

Committee action and votes: Representative Frazier made several procedural motions during the hearing, including attempts to refer the bill to Commerce and Taxes and a motion to lay the bill on the table; those motions failed. The committee ultimately voted to move House File 11 to Ways and Means on a roll-call vote, 7-6. Representative Matt Baker made the successful motion to refer the bill; the motion passed with the following recorded votes: Aye ' Representative Matt Baker, Vice Chair Meckland, Representative Baikberg, Representative Mueller, Representative Schultz, Representative Zales Makar, Representative Wayne Johnson; No ' Representative Berg, Representative Frazier, Representative Greenman, Representative Hussain, Representative Pete Johnson, Representative Kozlowski.

Members on both sides said they intend to continue discussions if the bill advances, with requests for a fuller DEED demonstration of the IT system and a fiscal note review. Representative Frazier asked DEED to return for a detailed implementation briefing and possible IT demonstration; DEED agreed to provide a fuller implementation update and noted it has an IT vendor experienced in government systems.

The bill will now go to Ways and Means, where fiscal questions and the estimated budget impact will be addressed before further floor action.