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2021-2022 Regular Session

State employee union labor agreements, compensation plans become law

Approximately 90% of state employees are represented by a union. Most will receive some extra ways of appreciation.

A new law, effective May 23, 2022, ratifies certain labor agreements and compensation plans along with memorandums of understanding.

Coming from the Subcommittee on Employee Relations, which ratified the contracts between Minnesota Management and Budget and the various bargaining units, the law covers approximately 39,000 state employees across one of 17 occupationally-based bargaining units, which are represented by one of 11 unions

Most contracts are for the 2022-23 biennium, retroactive to July 1, 2021. The change is estimated to cost an additional $459.7 million in the current biennium. Agencies will manage contract costs within already allocated biennial funds.

Groups included in these agreements are:

• Minnesota Law Enforcement Association;

• American Federation of State, County, and Municipal Employees;

• American Federation of State, County, and Municipal Employees, Units 8 and 25;

• Minnesota Association of Professional Employers;

• Inter Faculty Organization;

• Minnesota State University Administrative and Service Faculty;

• Minnesota State Colleges and Universities Personnel Plan for Administrators;

• Middle Management Association;

• State Residential Schools Education Association;

• Minnesota Nurses Association;

• Commissioner’s Plan;

• Managerial Plan;

• Office of Higher Education Unclassified Personnel Compensation Plan;

• MNSure Compensation Plan; and

• Office of the Legislative Auditor Compensation Plan.

In general, the contracts include a 2.5% annual increase on July 1, 2021 and July 1, 2022; merit increases between 2.6% and 4% for eligible employees; and Juneteenth is added as a paid holiday.

Among higher education personnel, the Inter Faculty Organization agreement has no salary increases for fiscal year 2022, but a 1.7% increase in fiscal year 2023 and a 2.4% step increase for returning faculty. Minnesota State University Administrative and Service Faculty agreement includes a 3.05% step increase for people not at the top of their wage scale on July 1, 2021, a 3% lump sum for members atop their range in lieu of step movement. Merit increases are included for Minnesota State administrators — unclassified employees in positions which are defined as managerial by the Board of Trustee — of 2% effective July 1, 2021 and July 1, 2022.

The Minnesota Law Enforcement Association agreement is for the 2020-21 biennium, retroactive to July 1, 2019, and includes a 2.25% across the board increase in fiscal year 2020 and 2.25% in fiscal year 2021 along with some step increases.

It also incorporates legislative changes passed in 2021, including an 8.45% increase in salary for all employees, effective Oct. 22, 2022, and a 10.45% salary increase for employees at the top of their salary range.

The law also ratifies a quintet of memorandums of understanding.

Rep. Leon Lillie (DFL-North St. Paul) and Sen. Mark Koran (R-North Branch) sponsor the law.

HF3346*/SF3254/CH85


New Laws 2023

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HF3346* / SF3254 / CH85
House Chief Author: Lillie
Senate Chief Author: Koran
Effective Dates: See chapter summary in the file link above.
* The legislative bill marked with an asterisk denotes the file submitted to the governor.