October 10, 2016


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Annual Meeting
Find Out What The Future Of Local Workplace Regulation Looks Like At Thursday's Annual Meeting
 
From mandated sick leave and minimum wage, to product regulation and plastic bans, local government is venturing into areas historically left to state & federal government.

Join us this Thursday for a panel of perspectives on what's next in local government regulation and its impact on retail.

Event Details:
2016 MnRA Annual Meeting
Minneapolis Marriott West - St. Louis Park
Thursday, October 13, 2016
11:30 a.m. - 1:00 p.m.

Investment (includes lunch):
Members & Invited Guests: $35
Member & Invited Guests Table: eight seats, $325
Elected officials: Contact MnRA to register.

RSVP:
Pre-registration required. Call (651) 227-6631 or register online now. Cancelations must be made before noon on October 7 for a refund. Substitutions accepted.

This event is open to members and invited guests. For information on attending contact MnRA at (651) 227-6631.  
 
How's Business?
MnRA's Retail Outlook Survey Tells The Real Story; Take The Survey Today

Last year 100 retailers across Minnesota gave us a good look at what they expected over the holiday season and into the new year. That perspective helped MnRA tell the story of retail to legislators and the media.

Help us tell retail's story again by completing our quick eight question Retail Outlook Survey.
 
Local Sick/Safe Leave
Minneapolis Amends Recently Enacted Paid Sick Leave   
 
From Littler, Sebastian Chilco, Sarah Gorajski, October 5, 2016 

"Minneapolis, Minnesota has amended the Minneapolis Sick and Safe Time Ordinance less than four months after it was enacted.1 The amendments come on the heels of neighboring St. Paul adopting its own paid sick leave law,2 and bring the Minneapolis Ordinance more in line with St. Paul's requirements concerning frontloading, payment of employees when on leave, tracking accrual of available paid sick time, and recording required information.

The most significant change permits Minneapolis employers to comply with the Ordinance by providing a lump sum of sick and safe time at the beginning of the accrual year, also known as frontloading. Unfortunately, Minneapolis has adopted St. Paul's frontloading standard, creating little incentive for employers to choose a frontloading method. Employers that choose to frontload must provide employees with at least 48 leave hours to use during the first year following the initial 90 days of employment, and at least 80 leave hours beginning each subsequent year. Employers that opt not to frontload can have employees accrue leave during employment and may cap annual accrual at 48 hours, and limit to 80 hours the amount of sick leave an employee may have available for use.

The amendments modify the rate at which sick and safe time must be paid. Employers with six or more employees must pay their employees their "regular rate of pay" when leave is used, which must be the same hourly rate with the same benefits they would have earned had leave not been taken. Minneapolis removed the statement that employees are not entitled to lost commissions and tips when on paid sick leave, and added a list of payments excluded from an employee's "regular rate of pay."
 
Merchant Processing
Supreme Court To Hear Credit Card Swipe Fees Fight

From RetailDIVE, Daphne Howland, September 30, 2016
 

"The U.S. Supreme Court on Thursday decided to consider a challenge from retailers to a state law in New York that prohibits merchants from charging fees to shoppers who use credit cards, according to news outlets including The Wall Street Journal.

Retailers contend that the law violates Constitutional rights to free speech and due process, but the 2nd U.S. Circuit Court of Appeals in New York rejected that argument, saying the practice influences behavior rather than speech.

The New York law is similar to laws in nine other states. The Supreme Court will not hear similar cases involving comparable laws in Florida and Texas."
 
Local Minimum Wage
Minneapolis Study Of $15 Minimum Wage Cites Benefits, Draws Skepticism

From the Star Tribune, Eric Roper, October 6, 2016
   

"A long-awaited analysis of a $15 per hour citywide minimum wage in Minneapolis found it would boost pay for many workers without much impact on businesses - a finding that immediately drew skepticism from the business community.

The study revealed to City Council members Wednesday spanned more than 200 pages and noted that about 71,000 workers in Minneapolis would benefit from a $15 an hour minimum wage. About half those beneficiaries would be nonwhite (including Hispanics), and just under half are also residents of the city.

"I think this is the most direct way that we as the city can help close the racial disparities in Minneapolis," said Council Member Alondra Cano at a meeting Wednesday.

The report was led by the Roy Wilkins Center for Human Relations and Social Justice at the University of Minnesota, with a research team including the AFL-CIO's chief economist, researchers at the union-supported Economic Policy Institute and economics professors from Rutgers and St. Cloud State University.

If Minneapolis were to enact a citywide minimum wage, it would be the first to do so in the state. The report examined the impacts of a $12 and $15 minimum wage in Minneapolis and in Hennepin and Ramsey counties. But it did not tackle how a city minimum wage might cause businesses or consumers to move elsewhere. That go-it-alone approach to the minimum wage has been a primary concern of Mayor Betsy Hodges and some others.

"A big concern I have here is: Are we big enough to be an island?" said Council Member Linea Palmisano."
 
 
Trends
More People Are Shopping On Phones But Many Stores Will Struggle To Reap The Benefits

From The Washington Post, Sarah Halzack, October 5, 2016


"
When you look at the explosive growth in purchases made on smartphones, you can see why the retail industry sees so much opportunity. This year, for example, mobile sales are forecast to grow 43.2 percent to $115.92 billion, according to research firm eMarketer.

But  a new report offers evidence that retailers who are aiming to ride the mobile wave will likely face some tough challenges in capturing shoppers' attention.

ComScore studied how U.S. consumers are spending their time on mobile gadgets, examining factors such as whether they're using websites or apps, how many apps they are willing to download, and which apps they while away minutes (or hours) in. Researchers found that consumers spent an average of 73.8 hours a month in smartphone apps, up from 68.2 hours last year.  Monthly app time was up for every age group, and it was highest among the younger shoppers whom retailers are hungry to court. Consumers in the 18-to-24 age group spent 93.5 hours in smartphone apps, while those aged 25 to 34 spent 85.6 hours in smartphone apps."    
 
Holiday Forecast
NRF Forecasts Holiday Sales To Increase 3.6%

From that Naitonal Retail Federation, October 4, 2016


"The National Retail Federation announced today it expects sales in November and December, excluding autos, gas and restaurant sales, to increase a solid 3.6 percent to $655.8 billion - significantly higher than the 10-year average of 2.5 percent and above the seven-year average of 3.4 percent since recovery began in 2009. Additionally, NRF is forecasting non-store sales to increase between 7 and 10 percent to as much as $117 billion.

"All of the fundamentals are in a good place, giving strength to consumers and leading us to believe that this will be a very positive holiday season," NRF President and CEO Matthew Shay said. "This year hasn't been perfect, starting with a long summer and unseasonably warm fall, but our forecast reflects the very realistic steady momentum of the economy and industry expectations."

"We remain optimistic that the pace of economic activity will pick up in the near term," continued Shay."
 
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Minnesota Retailers Associaiton
400 Robert Street North, suite 1540
St. Paul, MN 55101
Tel. (651) 227-6631 - mnretail.org - mnra@mnretail.org