Minor League baseball players exemption from minimum wage and overtime requirements provision

2025-2026 Regular Session Introduced by Sandy Pappas

The bill exempts minor league baseball players covered by a contract-based CBA from Minnesota minimum wage and overtime protections.

Referred to Labor

#athletics #labor #employment #andlaborandindustrydepartment

Purpose and Intent

The bill would amend Minnesota law to exempt minor league baseball players from state minimum wage and overtime requirements.

It adds a specific exclusion for individuals who have entered into a contract to play baseball at the minor league level and are compensated under a collective bargaining agreement that expressly provides for wages and working conditions.

Key Provisions

Amended Statute: Minnesota Statutes 2024, section 177.23, subdivision 7 (the “employee” definition and exemptions).

New Exemption (Subd. 7, clause 20):

Any individual who has entered into a contract to play baseball at the minor league level and is compensated pursuant to the terms of a collective bargaining agreement (CBA) that expressly provides for wages and working conditions.
This creates a targeted exemption from Minnesota’s minimum wage and overtime requirements for minor league baseball players covered by such a CBA.

Other Exemptions Retained: The bill retains numerous existing exemptions from the general definition of “employee,” including but not limited to:

Family farm workers paid on salary.
Certain agricultural workers and specific youth exemptions.
Bona fide executive, administrative, or professional employees; some salespeople; volunteers for nonprofit organizations.
Elected officials and certain government/positional exemptions.
Seasonal staff for camps and other organizations.
Various transportation, municipal, and religious personnel exemptions.

Effective Date: The exemption (and thus the change) becomes effective the day after final enactment.

Who Would Be Affected

Targeted Group: Minor league baseball players who sign contracts to play at the minor league level and are compensated under a CBA that explicitly sets wages and working conditions.

Broader Labor Law Impact: The exemption applies to these players to the extent permitted by state law, meaning they would not be entitled to Minnesota minimum wage and overtime protections under state law if their compensation is governed by such a CBA.

Procedural and Timeline Aspects

Status: Introduced and referred to the Labor Committee (S.F. No. 5004) on April 9, 2026.

Action Path: After committee consideration, the bill would need to pass both chambers (Senate and House) and be signed into law by the Governor to take effect.

Effective Date: As noted, the section would take effect the day after final enactment.

Additional Observations

The bill narrows Minnesota’s wage protections for a specific, contract-governed population within professional sports, aligning state wage law with the existence of a CBA that already defines wages and working conditions.

It preserves a broad array of other exemptions from the “employee” definition, indicating targeted legislative focus on minor league baseball players.

If you’d like, I can add a quick comparison to existing federal wage and hour protections or outline potential policy considerations and stakeholder viewpoints.

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