Minnesota Employment Screening Overview
Minnesota has comprehensive employment screening regulations that require employers to delay criminal history inquiries until after an interview or conditional job offer, prohibit salary history inquiries, restrict credit checks to job-related purposes, and mandate detailed procedures for workplace drug testing including cannabis-specific protections.
The state's Clean Slate law automatically seals qualifying criminal records, and employers cannot use sealed records in hiring decisions. Federal requirements and local ordinances in cities like Minneapolis may impose additional obligations.
What's Permitted
- Criminal history inquiries generally permitted after conditional job offer
- Credit checks allowed with written pre-report disclosure and proper consent procedures
- Drug testing permitted with written policy and procedural safeguards
- E-Verify required for state contracts exceeding $50,000
What's Prohibited
- Asking about criminal history before interview or conditional job offer
- Inquiring about salary history to determine applicant compensation
- Requiring pre-employment cannabis testing for most non-safety-sensitive positions
- Charging employees or applicants for background check expenses
Ban the Box Laws
StatewideStatus Summary
Minnesota’s Ban the Box law (Minn. Stat. § 364.021: https://www.revisor.mn.gov/statutes/cite/364.021) delays criminal-history inquiries until interview selection or conditional offer; applies to public/private employers with narrow statutory-duty exemptions; enforced by MDHR (https://mn.gov/mdhr/employers/criminal-background/... with size-based penalties.
Key Requirements
Minnesota Statute 364.021 (Ban the Box)
- Delay criminal-history questions until interview
- If no interview, wait until conditional offer
- Applies to public and private employers
- Exempts employers with statutory background duties
- Enforced by Minnesota Dept. of Human Rights
Minnesota Criminal Offenders Rehabilitation Act (Chapter 364)
- Prohibits disqualification solely for prior convictions
- Requires direct-relationship between crime and job
- Mandates individualized rehabilitation evidence consideration
- Foundation of Minnesota fair‑chance employment policy
Minnesota Clean Slate Act (expungement/sealing)
Minnesota BCA / Criminal History System (CHS):
- Automatically seals eligible criminal records
- Sealed records removed from public searches
- Courts review objections within 60 days
- Applicants may truthfully deny sealed records
Ban the Box Best Practices for Minnesota Employers
- Remove criminal-history questions from applications and initial screenings
- Wait until interview or conditional offer before asking criminal history
- Train HR and hiring managers on timing and prohibited inquiries
- Use individualized, job-related assessments; avoid blanket exclusions
- Document decisions, FCRA steps, and respond promptly to MDHR
Salary History Ban
StatewideMinnesota Salary History Ban (Minn. Stat. § 363A.08, subd. 8)
State statute banning pay history inquiries and use:
- Effective Jan 1, 2024
- Covers all employers statewide
- No asking, considering, or requiring pay history
- Exceptions: voluntary disclosures; limited public records
- Enforced by MDHR and Attorney General
Sources: Minnesota Statute §363A.08 (Revisor) — https://www.revisor.mn.gov/statutes/cite/363a.08 ; MDHR guidance — https://mn.gov/mdhr/employers/pay-history/index.js...
Minnesota Pay Transparency Requirement (Minn. Stat. § 181.173)
State law requiring salary disclosure in job postings:
- Effective Jan 1, 2025
- Requires employers with 30+ employees
- Must include salary range or fixed rate
- Must state general benefits and compensation
- Enforced by DLI and Attorney General
Sources: Minnesota Statute §181.173 (Revisor) — https://www.revisor.mn.gov/statutes/cite/181.173 ; Minnesota DLI overview — https://www.dli.mn.gov
Salary History Best Practices for Minnesota Employers
- Remove pay-history questions from all applications and interviews
- Train all hiring personnel on ban, exceptions, documentation
- Base pay on market data, skills, education, experience
- Require recruiters and background-check vendors to avoid pay history
- Post salary ranges and benefits when employer has thirty+ employees
Consumer Credit Checks
Allowed with RestrictionsMinnesota (Minn. Stat. ch. 13C) requires written pre‑report disclosure with a box to request a free copy (24h), consent, prohibits charging applicants (§181.645); Ban‑the‑Box timing applies; comply with FCRA. See: https://www.revisor.mn.gov/statutes/cite/13C/full https://www.revisor.mn.gov/statutes/cite/181.645 https://mn.gov/mdhr/employers/criminal-background/
Key Requirements
Minnesota Statutes Chapter 13C (Access to Consumer Reports)
State law governing employer use of consumer reports for employment purposes:
- Written disclosure required before obtaining reports
- Separate disclosure must include copy‑request box
- Provide report copy within 24 hours
- Pre‑adverse and final adverse notices required
- Applies when using third‑party agencies
Minnesota Statute §181.645 (Employer payment prohibition)
Prohibits charging applicants or employees for checks:
- Employers may not charge background checks
- Covers criminal and credit check expenses
- Also prohibits charging orientation expenses
- Applies to applicants and current employees
Minnesota Statute §364.021 (Ban the Box)
Timing limits on criminal-history inquiries for hiring:
- Private employers delay criminal inquiries
- Until interview or conditional job offer
- Public employers wait until interview
- Prohibits applications asking criminal history early
Minnesota Human Rights Act (Chapter 363A)
Limits use of credit info to prevent discrimination:
- Prohibits using info revealing protected classes
- Credit checks can cause disparate impact
- Employers must show job‑related necessity
- Enforced by MDHR; private suits possible
City of Saint Paul — Pre‑Employment Verification Policy
Local policy for city hires and verifications:
- Credit checks only for relevant positions
- Verifications after conditional job offer
- Requires signed release from applicants
- Third‑party checks subject to FCRA and 13C
Source: https://www.stpaul.gov/sites/default/files/2021-08...
Credit Check Best Practices for Minnesota Employers
- Provide written, stand-alone disclosure before obtaining credit reports
- Obtain written consent; include Minnesota checkbox to request report copy
- Conduct credit checks only when job-related; document business necessity
- Run checks after interview or upon conditional job offer
- Do not charge applicants for background or credit checks
Marijuana Protection
Medicinal Marijuana
Employees enrolled in Minnesota's medical cannabis registry may present verification if a workplace test is positive; employers must consider registry status but may discipline if on-duty impairment or policy violation is established.
Recreational Marijuana
Post-2023, pre‑employment cannabis testing is generally prohibited except for safety‑sensitive roles, peace officers, firefighters, childcare/vulnerable‑adult and CDL positions, and federally required roles; employers must follow statutory procedures, confirmatory testing, retest rights, confidentiality, and civil remedies.
Drug Testing Regulations
Minnesota (Minn. Stat. §§181.950–181.957) governs workplace drug testing: requires written policies, accredited labs, prohibits most pre-employment cannabis testing with exceptions for safety‑sensitive, peace officer, firefighter, childcare, commercial drivers, federally‑regulated roles; confirmatory/retest rights, confidentiality, civil remedies.
Permitted Testing Types
Pre-Employment
Allowed after conditional offer; cannabis testing generally prohibited with exceptions.
Random Testing
Allowed only for safety-sensitive positions; otherwise prohibited.
Reasonable Suspicion
Allowed with specific, articulable reasonable suspicion based on objective facts.
Post Accident
Allowed after work-related accidents or injuries if statutory criteria met.
Workers' Compensation Discount
No statutory workers' compensation premium discount tied to drug testing appears in Minnesota's drug-testing law.
Consult insurers or the Minnesota Department of Labor and Industry about any insurer-specific premium incentives.
Best Practices
- Maintain written testing policy with required statutory elements
- Condition pre-employment tests on job offer; generally exclude cannabis
- Use accredited independent labs; preserve chain-of-custody records
- Allow confirmatory testing and employee-requested retests
- Limit random testing to safety-sensitive roles; require articulable suspicion
Clean Slate Laws
StatewideStatus: Minnesota's Clean Slate Act (Minn. Stat. §609A.015) created automatic sealing effective Jan 1, 2025; BCA must identify/seal eligible records retroactively; employers may not use sealed records; limited access exists for criminal-justice/licensing agencies. https://www.revisor.mn.gov/statutes/cite/609A.015 https://dps.mn.gov/divisions/bca/bca-divisions/pro...
E-Verify Requirements
Mandatory for Public ContractorsWho Must Use E-Verify
Private Employers [Immigration Reform and Control Act (Form I‑9); Minn. Stat. §16C.075]
Private employers have no Minnesota E‑Verify mandate; all employers must complete federal Form I‑9 under IRCA. Minn. Stat. §16C.075 applies only to state contractors. https://mn.gov/mmb/employee-relations/laws-policie... https://www.revisor.mn.gov/statutes/cite/16C.075
Federal Contractors [Federal E‑Verify requirements (federal contractor enrollment/verification)]
Federal contractors must enroll in E‑Verify and verify new hires per federal requirements; enrollment and verification deadlines apply regardless of Minnesota law. https://mn.gov/mmb/employee-relations/laws-policie... https://www.auditor.leg.state.mn.us/ped/pedrep/eve...
Any other relevant groups [Minn. Stat. §16C.075; City of Saint Paul Pre‑Employment Verification Policy; SF 691 (proposed)]
State contractors/subcontractors with contracts >$50,000 must certify E‑Verify implementation; Saint Paul requires pre‑employment identity and eligibility verification; SF 691 is proposed legislation. https://www.revisor.mn.gov/statutes/cite/16C.075 https://www.stpaul.gov/sites/default/files/2021-08... https://www.revisor.mn.gov/bills/94/2025/0/SF/691/...
Background Check Regulations
Minnesota employers must comply with federal FCRA obligations and additional state rules—Minnesota’s ban‑the‑box timing limits, prohibition on charging applicants for checks, and state enforcement—so state law layers on top of federal law..
FCRA Compliance Process
Disclosure & Authorization
Provide clear, standalone written disclosure that a background check will be conducted. Obtain separate written authorization from the applicant before ordering the report.
Obtain Background Report
Order the background check from a Consumer Reporting Agency (CRA). Ensure the CRA is FCRA-compliant and provides accurate, up-to-date information.
Pre-Adverse Action Notice
If considering denying employment based on the report, provide the applicant with:
- Copy of the background report
- Copy of "A Summary of Your Rights Under the FCRA"
- Reasonable time to respond (typically 5 business days)
Adverse Action Notice
If final decision is made to deny employment, provide written notice including:
- Name, address, and phone number of the CRA
- Statement that the CRA did not make the decision
- Notice of right to dispute report accuracy
- Notice of right to request additional free copy within 60 days