Today, the Minnesota Court of Appeals rejected an appeal from the Minnesota Chamber of Commerce arguing that the Minneapolis sick leave ordinance was preempted by state law.
In affirming the district court’s decision, the appeals court reasoned that a potential for a “checkerboard of conflicting regulations” was insufficient to invoke preemption and that the dearth of existing state laws regulating employer-provided sick leave showed that “the legislature has not indicated an intent to occupy the field.”
At the same time, the appeals court left in place the lower court’s injunction preventing the City of Minneapolis from enforcing its ordinance against non-resident employers. That is, the City of Minneapolis will continue to be prevented from enforcing its ordinance against employers who do not have a physical presence in the geographical boundaries of the city.
St. Paul, which was not part of the case, has continued to apply its ordinance consistent with the injunction in the Minneapolis case.
Bottom Line
While an appeal to the Minnesota Supreme Court is likely, the Minneapolis sick leave ordinance (and, by extension, the St. Paul ordinance) will continue to apply to employers who have physical operations in either city. Employers outside either city can rest easy – at least for now.
We will continue to monitor this story as it develops.