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Legislative News and Views - Rep. Mary Franson (R)

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Legislative Update from Rep. Mary Franson

Friday, November 3, 2023

Dear Friends,

The Department of Employment and Economic Development recently released an actuarial analysis of the new Paid Family Medical Leave program. The paid leave program, which passed last session, expands government bureaucracy and passes the cost down to workers in the form of 0.7% tax on their wages (half of which may be charged to employees through a wage deduction.) But this study found that the tax rate is likely to jump 31% by the second year of the program!

Democrats rushed to pass this bill last session without finding the true cost of a new paid leave program. Now, Minnesotans are set to face higher costs and job creators and employees will most likely pay the price with higher payroll taxes.

It is critically important that we support families. That’s why Republicans offered our own paid leave plan that would have given job creators and employees an affordable, flexible option instead of an expensive, one-size-fits all mandate. You can see the differences in the graphic below:

MN FaMLI Plan

This program represents the reckless, irresponsible spending spree Democrats went on last session. Without even finding out the true cost of their paid leave program, Democrats spent our $17.5 billion surplus and raised your taxes by $10 billion so they could grow government by 40%. Minnesota Management and Budget recently announced that they are predicting another $2.4 billion surplus by the end of the year. Our state has a taxing problem. Democrats need to stop their out-of-control spending and instead focus on permanent, meaningful tax relief to support family budgets.

Next session we must look at ways to fix the current paid leave program and deliver tax relief to all Minnesotans.

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