Purpose of the Bill

The bill establishes penalties for employers in Minnesota who do not comply with the newly implemented Minnesota Secure Choice Retirement Program. The goal is to ensure that employees are properly enrolled in the retirement program and receive pertinent information about it.

Main Provisions

• Penalties for Noncompliance: Employers who fail to enroll eligible employees or distribute the necessary information will face escalating fines. These fines start at $100 per employee, increasing to $500 per employee after several years of noncompliance.
• Failure to Remit Contributions: If employers do not remit employees’ payroll deduction contributions in a timely manner, they face penalties and potential misdemeanor charges.
• Civil and Criminal Actions: Employees or the attorney general can file lawsuits against noncompliant employers. Employers found guilty of these violations are liable for various penalties, compensatory damages, and legal costs.

Significant Changes to Existing Law

The bill introduces criminal penalties and structured fines to ensure compliance with the retirement program. It makes it mandatory for employers to enroll employees in the retirement program and remit contributions promptly.

Relevant Terms

• Minnesota Secure Choice Retirement Program
• Employers
• Employee enrollment
• Payroll deduction contributions
• Noncompliance penalties
• Misdemeanor charges
• Civil action
• Attorney General