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Minnesota Paid Family & Medical Leave (PFML)

Minnesota’s Paid Family and Medical Leave (PFML) program establishes a statewide insurance benefit providing paid leave to eligible employees for qualifying family and medical reasons. The program is administered by the Minnesota Department of Employment and Economic Development (DEED) and took effect January 1, 2026.

For ambulatory surgery centers, the program introduces new compliance, payroll, workforce planning, and operational considerations. MNASCA has created this resource page to provide a clear overview and direct members to official employer guidance.

Program Overview

Minnesota PFML provides eligible employees with partial wage replacement for qualifying leave events, including:

  • Serious health conditions
  • Bonding leave following the birth, adoption, or foster placement of a child
  • Caring for a family member with a serious health condition
  • Certain military-related leave
  • Safety leave (including domestic violence situations)

Key Employer Components:

Funding Mechanism

  • Funded through a payroll premium shared between employers and employees (rate is currently set at .88%)
  • Employers are responsible for premium collection and remittance

Benefit Administration

  • Benefits are paid through a state-run insurance model
  • Employers do not directly pay wage replacement benefits

Job Protection

  • Job protection applies for qualifying leave events

Coordination with Other Leave Laws

PFML interacts with:

  • Federal FMLA
  • Minnesota Pregnancy and Parenting Leave
  • Earned Sick and Safe Time (ESST)
  • Employer-provided PTO and disability plans

ASC leaders should evaluate policy alignment to avoid overlap gaps or conflicting language.

Operational Considerations for ASCs

Ambulatory surgery centers may wish to review:

  • Workforce coverage planning for clinical staff absences
  • Coordination of PFML with call schedules and procedural volumes
  • Payroll system readiness and premium tracking
  • Updates to employee handbooks and leave policies
  • Communication strategies for staff education

Given healthcare staffing constraints, proactive planning is recommended.

ASC Employer Resources

For the most current regulatory guidance and implementation details, refer directly to the Minnesota DEED Paid Leave Division:

  • Employer Toolkit
  • Premium rate and contribution calculator
  • FAQs for Employers
  • Private plan equivalency information
  • Reporting and payroll guidance
  • Implementation timeline

Minnesota Paid Leave Program Website

Employer Roles & Responsibilities

Quarterly Wage Detail Reporting Guidance

Premium Rate & Contributions Calculator (DEED)

Employer FAQs (Reporting & Premium Questions)

Private Plan Options

Employers may apply for approval to provide a private plan if it meets or exceeds state benefit standards. ASCs considering this option should review:

  • Equivalency requirements
  • Financial guarantee standards
  • Application process and deadlines

MNASCA Support

MNASCA will continue to monitor implementation updates, regulatory guidance, and advocate for legislative adjustments to the program. As additional clarifications are issued, we will update this page and provide practical guidance tailored to ambulatory surgery centers.

Members with specific operational or policy questions are encouraged to consult legal counsel or payroll professionals to ensure compliance.