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You'll gain real-world insights into how economics impacts your daily life with this easy-to-follow online course. This crash course is based on the acclaimed textbook Economy, Society, and Public Policy by CORE Econ, tailored to help you grasp key concepts without feeling overwhelmed.

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Politics and Government News

What we know about Minnesota’s government employee return to office plan

A view of the capitol with a sign in front.
A sign on Cedar Street details where some of the buildings on the Minnesota Capitol complex are located in St. Paul. Gov. Tim Walz ordered state employees to return to in-person work 50 percent of their time starting June 1.
Clay Masters | MPR News

In about two months, Minnesota state government employees who haven’t been regularly heading to a jobsite or an office will have to rearrange their plans.

The change to what had been a flexible telework arrangement was ordered this week by Gov. Tim Walz, who wants tens of thousands of executive branch employees back in person at least half of the time. It starts June 1.

It’s a departure from the remote arrangements that took root during the COVID-19 pandemic. 

Walz said the return to more in-person work will improve collaboration and communication and follows similar shifts in the private sector.

“This is a talented workforce. I’m proud of them. I want to keep them. I also know there’s a lot of energy and ability that we can do when we’re in the office a portion of the time. So I think it’s the trend that’s been out there. The time seems right now,” Walz said Wednesday.

“This is a hybrid model. We're asking 50 percent of the time. As I said, over 60 percent (of employees) have been full time, and another chunk of them have been hybrid,” he continued, “and those will be individually decided on each case, because, again, this isn't just blanket coverage for everybody.”

Gov. Tim Walz stands behind a podium and speaks.
Gov. Tim Walz takes questions from the press on Wednesday about his new policy calling all state employees to return to in-person work 50 percent of their time.
Clay Masters | MPR News

The news prompted blowback from the main labor unions that represent state employees. They said they weren’t included in conversations about calling workers back to the office more of the time. St. Paul officials and business leaders said the move could help boost the city.

Before the policy takes effect next month, here’s what we know about the directive and how it will roll out.

What is the new policy?

The policy requires state employees that live less than 75 miles from their principal office location to work in the office 50 percent of the time each month. Guidance from Minnesota Management and Budget says that workers would have to work a full day from the location for the time to be counted toward their 50 percent target. Reimbursement for parking will be up to agency heads to decide and employees are unlikely to receive reimbursement for mileage.

Other on-site work not at an employee’s principal office location would also be applied toward the 50 percent mark. Some workers can apply for reasonable accommodations to continue working remotely.

What are state employees saying about the change?

The two labor unions that represent state workers — Minnesota Association of Professional Employees (MAPE) and the American Federation of State, County and Municipal Employees (AFSCME) Council 5 — said they were not consulted about the change and called the move one of “blatant disrespect.”

“The administration’s decision to impose sweeping workplace policy changes without engaging our union and labor partners first is not just unacceptable — it’s an act of blatant disrespect,” AFSCME Council 5 Executive Director Bart Andersen said in a news release. “Our union members must have and deserve a seat at the table every step of the way.”

Andersen and Megan Dayton, president of MAPE, called on the governor to bring the unions into conversations about the proposed change. Combined, the unions represent almost 40,000 state employees. 

Dayton said the policy was concerning as the union enters into negotiations for its next contracts.

“Let’s call this what it really is: This is a unilateral move by a bad boss without consultation or consideration of the very staff he claims to care deeply about investing in,” she said. “I never thought the same public worker attacks and micromanaging mannerisms of our federal administration would be mirrored in Minnesota.”

Litigation is possible.

What could the change mean for St. Paul?

A view of the street.
State office buildings line Cedar Street in St. Paul on the Minnesota Capitol Complex. Gov. Tim Walz ordered state employees to return to in-person work 50 percent of their time starting June 1.
Clay Masters | MPR News

Walz said the return to in-person work policy could bring more foot traffic to the capital city. And it comes at a time when some downtown businesses say they’re struggling.

The governor said that about 60 percent of state employees work in-person at their principal work locations and did so throughout the pandemic. But bringing in thousands of additional workers each day could bring much needed business and vitality downtown, St. Paul Mayor Melvin Carter said.

“The governor and I have been in conversation about that for quite a bit. I appreciate his recognition of how important state employees are to our community, to our city, to the fabric of our community, just in their presence, in addition to the work that they do,” Carter told MPR News on Tuesday. “So that'll have an enormous impact on our community, on our downtown, on the restaurants and, you know, other other businesses downtown that look forward to catering to state employees.”

House Speaker Lisa Demuth, R-Cold Spring, said she was glad the governor made the change but felt it should’ve come sooner.

“I think bringing people back in a city that is really quieted, we've watched businesses close, the grocery store right downtown, today is their last day, and I think having people gone, for most people gone for five years is too long,” Demuth said. “So I was really pleased when the governor made that announcement.”

Dayton, with MAPE, told MPR News’ Minnesota Now that the onus should not be on state government workers to fuel downtown St. Paul.

“This order from the governor is moving us backward, I think, in the name of fueling real estate developers and people with these spaces that are now empty,” Dayton said. “It really feels like it's an attempt to return back to more traditional funding streams before the pandemic, and it's being put on the backs of dedicated public servants when it should not be.”

How will it be enforced?

State departments and agencies will have to create plans for getting workers back to their principal office locations at least 50 percent of the time if they’re not already doing so and communicate those to workers. Supervisors will also have to provide telework schedules and acknowledgement forms to agency human resource and payroll departments.

“Those are done individually. I don't micromanage that. The expectation is though that we'll get our workforce back in the office 50 percent of the time — hybrid,” Walz said. “Each situation is individual. You work with your bosses.”

Is there enough space for workers?

The state has many buildings around the state, especially in St. Paul, that it owns. But it also leases space. Some of those leases have been coming up for renewal or have lapsed as the physical footprint of government gets recalibrated.

Additionally, there are key offices that have been repurposed since the pandemic. Case in point: The Centennial Office Building just down the hill from the Capitol is now home to House lawmakers and their staff as the State Office Building undergoes reconstruction. The same goes for the Veterans Services Building, which temporarily houses part of the Secretary of State’s Office during the renovation of the SOB. That’s a lot of square footage that will be unavailable to the executive branch.

As of November 2022, the state had more than 6 million square feet of usable space around Minnesota, some of which is storage related. 

The Department of Administration, which is the property manager for much of state government, said the state has scaled back its state agency space by around 300,000 square feet in the last five years. Assistant Commissioner Wayne Waslaski said he remains confident that there will be sufficient office space for workers coming into their principal office locations.

A person poses outside the Capitol complex
Wayne Waslaski, an assistant commissioner for the Department of Administration, discusses upcoming building work on the Capitol complex. Aug. 17, 2023.
Brian Bakst | MPR News

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