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12-11-2023 Council Meeting Packet
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12-11-2023 Council Meeting Packet
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12/11/2023 9:12:54 AM
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City Council
Council Document Type
Council Packet
Meeting Date
12/11/2023
Council Meeting Type
Regular
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Employees are permitted to accrue a minimum of up to 48 hours of ESST in a year <br />(more if the employer agrees to a higher amount); and <br />Employees can carry over unused ESST into the next year. However, at no time can an <br />employeeʼs accrued ESST exceed 80 hours (unless the employer agrees to a higher <br />amount). <br />Front-loading 48 hours with payout and no carryover: <br />Some employers find front-loading of ESST hours a distinguishing factor when <br />considering employer-of-choice initiatives in a tight labor market, while others may find <br />front -loading easier for payroll recording. However, there are budget implications of <br />front-loading 48 hours of ESST since the law requires any remaining ESST hours each <br />year to be paid out to the employee. <br />Employer provides a minimum of 48 hours of ESST for the year made available for <br />immediate use at the start of each year, and <br />Unused ESST hours are paid out at the end of the accrual year at the employeeʼs hourly <br />rate. <br />Front-loading 80 hours with no payout and no carryover: <br />Employer provides a minimum of 80 hours of ESST and makes it available for <br />immediate use at the start of each year; and <br />No payout of unused ESST at the end of the accrual year, but cities should check with <br />their city attorney for impacts if there is existing contractual language regarding <br />payout of sick leave or PTO balances. <br />Under the law, no payout of accrued ESST is required, except in the case of front-loading 48 <br />hours of ESST hours. As indicated in the response on front loading ESST hours, in this <br />situation any unused ESST hours are paid out at the end of the year at the employeeʼs <br />hourly rate. <br />Some cities have asked if an employee is not employed at year end (perhaps their work <br />ended at the end of the season earlier in the year), does the employee still need to be paid <br />out? While the spirit of the law seems to align with a payout even before the end of the <br />year, League staff reached out to Minnesota DOLI representatives, and they noted the law <br />Does ESST have to be paid out to separating <br />employees?–
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