Notice and a transitional employment period required for employees displaced by artificial intelligence, and penalties imposed.

This bill requires Minnesota employers with 50 or more employees to provide 90 days of advance notice before using artificial intelligence or automation to displace workers, and it mandates a 90-day transitional employment period during which affected employees receive continued wages and access to employer-funded retraining programs. The legislation defines technological displacement as job losses or significant hour reductions caused by AI systems and requires employers to notify employees, labor organizations, state labor officials, local government leaders, and workforce development boards about the changes. Employers who fail to comply face penalties including ineligibility for state grants and tax incentives for five years, potential civil fines of up to $10,000 per violation, and liability for up to 60 days of back pay and benefits to affected workers.