Minnesota To Criminalize Mistakes When paying Wages

Hi Everyone, If you operate in Minnesota you may want to take note of the following.
Employment Law Update for Your State
As part of CEDR’s commitment to keeping its cannabis members in compliance with federal, state, and local employment laws, we are sharing some important news about law changes that may affect you as an employer:

Minnesota has become one of the first states to make it a crime for employers to engage in “wage theft.” Be sure that you are paying attention to these requirements, or else you could end up guilty of wage theft – a crime with fines up to $100,000 and up to 20 years in prison.

Dispensary and Grow operations common errors with regards to paying wages to include misclassifying employees as independent contractors, improperly paying on an exempt salary basis, failing to factor in bonuses when paying overtime as well as failing to calculate overtime pay.

At this time the best approach to avoiding criminal and civil actions is to self audit your wage practices and clean up any misunderstandings or issues prior to them becoming a problem.

If you have any questions or concerns, please feel free to contact us. We work with employers and dispensaries on HR compliance and problem solving across all 50 states.

There are new notice, record keeping, and pay stub requirements associated with the new law. It is now in effect.


Good to know. Let see what other states have on their agenda in this regard.


Colorado is next. Starts on January 1, 2020

California, New York and a few other states already have wage theft acts. In New York, your LLC or business entity holds no water whatsoever when civil penalties and fines are imposed over wage issues. Owners and managers can be made personally responsible.