WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES
How Is This Bill Enforced
Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.
(a)–(o) For purposes of this section, the following terms have the meanings given. (b) "Automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b)" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) does not include passive computing infrastructure. (c) "BehaviorsBehaviors"Behaviors" means an individual's observable, measurable, or inferred actions, habits, preferences, interests, or vulnerabilities, including the individual's political, personal, or professional affiliations, web-browsing history, IP addresses used, locations frequented, purchase history, financial circumstances, consumer behaviors, or inferences associated with a group, band, class, or tier of individuals in which the individual belongs.Minn. Stat. § 325D.141, subd. 1(c)" means an individual's observable, measurable, or inferred actions, habits, preferences, interests, or vulnerabilities, including the individual's political, personal, or professional affiliations, web-browsing history, IP addresses used, locations frequented, purchase history, financial circumstances, consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) behaviorsBehaviors"Behaviors" means an individual's observable, measurable, or inferred actions, habits, preferences, interests, or vulnerabilities, including the individual's political, personal, or professional affiliations, web-browsing history, IP addresses used, locations frequented, purchase history, financial circumstances, consumer behaviors, or inferences associated with a group, band, class, or tier of individuals in which the individual belongs.Minn. Stat. § 325D.141, subd. 1(c), or inferences associated with a group, band, class, or tier of individuals in which the individual belongs. (d) "BiometricsBiometrics"Biometrics" means data or information that is generated by technologically processing, measuring, or analyzing a consumer's or worker's biological, physical, or behavioral characteristics from which data or information can be processed for the purpose of uniquely identifying an individual. Biometrics includes: (1) a fingerprint; (2) a voiceprint; (3) a scan or record of an eye retina or iris; (4) a facial map, facial geometry, or facial template; (5) genetic information; or (6) other unique biological, physical, or behavioral patterns or characteristics.Minn. Stat. § 325D.141, subd. 1(d)" means data or information that is generated by technologically processing, measuring, or analyzing a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e)'s or workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o)'s biological, physical, or behavioral characteristics from which data or information can be processed for the purpose of uniquely identifying an individual. BiometricsBiometrics"Biometrics" means data or information that is generated by technologically processing, measuring, or analyzing a consumer's or worker's biological, physical, or behavioral characteristics from which data or information can be processed for the purpose of uniquely identifying an individual. Biometrics includes: (1) a fingerprint; (2) a voiceprint; (3) a scan or record of an eye retina or iris; (4) a facial map, facial geometry, or facial template; (5) genetic information; or (6) other unique biological, physical, or behavioral patterns or characteristics.Minn. Stat. § 325D.141, subd. 1(d) includes: (1) a fingerprint; (2) a voiceprint; (3) a scan or record of an eye retina or iris; (4) a facial map, facial geometry, or facial template; (5) genetic informationGenetic information"Genetic information" has the meaning given in section 13.386, subdivision 1, paragraph (a).Minn. Stat. § 325D.141, subd. 1(f); or (6) other unique biological, physical, or behavioral patterns or characteristics. (e) "ConsumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e)" means an individual who buys goods for personal, family, or household purposes. (f) "Genetic informationGenetic information"Genetic information" has the meaning given in section 13.386, subdivision 1, paragraph (a).Minn. Stat. § 325D.141, subd. 1(f)" has the meaning given in section 13.386, subdivision 1, paragraph (a). (g) "IndividualizedIndividualized"Individualized" means specific to or inferred about an individual or group, band, class, or tier of individuals that possess particular personal characteristics, behaviors, or biometrics.Minn. Stat. § 325D.141, subd. 1(g)" means specific to or inferred about an individual or group, band, class, or tier of individuals that possess particular personal characteristicsPersonal characteristics"Personal characteristics" means individual qualities, features, attributes, or traits, including characteristics, mutable or immutable, including but not limited to race, color, creed, religion, national origin, sex, gender identity, marital status, status with regard to public assistance, familial status, disability, sexual orientation, age, eye color, weight, citizenship, parenthood status, or address; and any other personal identifying information that could be used to uncover an individual's identity, including a Social Security number, full name, or phone number.Minn. Stat. § 325D.141, subd. 1(i), behaviorsBehaviors"Behaviors" means an individual's observable, measurable, or inferred actions, habits, preferences, interests, or vulnerabilities, including the individual's political, personal, or professional affiliations, web-browsing history, IP addresses used, locations frequented, purchase history, financial circumstances, consumer behaviors, or inferences associated with a group, band, class, or tier of individuals in which the individual belongs.Minn. Stat. § 325D.141, subd. 1(c), or biometricsBiometrics"Biometrics" means data or information that is generated by technologically processing, measuring, or analyzing a consumer's or worker's biological, physical, or behavioral characteristics from which data or information can be processed for the purpose of uniquely identifying an individual. Biometrics includes: (1) a fingerprint; (2) a voiceprint; (3) a scan or record of an eye retina or iris; (4) a facial map, facial geometry, or facial template; (5) genetic information; or (6) other unique biological, physical, or behavioral patterns or characteristics.Minn. Stat. § 325D.141, subd. 1(d). (h) "InsurerInsurer"Insurer" means an insurance company as defined under section 60A.02, subdivision 4.Minn. Stat. § 325D.141, subd. 1(h)" means an insurance company as defined under section 60A.02, subdivision 4. (i) "Personal characteristicsPersonal characteristics"Personal characteristics" means individual qualities, features, attributes, or traits, including characteristics, mutable or immutable, including but not limited to race, color, creed, religion, national origin, sex, gender identity, marital status, status with regard to public assistance, familial status, disability, sexual orientation, age, eye color, weight, citizenship, parenthood status, or address; and any other personal identifying information that could be used to uncover an individual's identity, including a Social Security number, full name, or phone number.Minn. Stat. § 325D.141, subd. 1(i)" means individual qualities, features, attributes, or traits, including characteristics, mutable or immutable, including but not limited to race, color, creed, religion, national origin, sex, gender identity, marital status, status with regard to public assistance, familial status, disability, sexual orientation, age, eye color, weight, citizenship, parenthood status, or address; and any other personal identifying information that could be used to uncover an individual's identity, including a Social Security number, full name, or phone number. (j) "PricePrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j)" means the amount charged to a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) or the value of the good or service offered or provided to the consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e). (k) "Surveillance-based price discriminationSurveillance-based price discrimination"Surveillance-based price discrimination" means using an automated decision system to inform individualized prices based on surveillance data regarding a consumer.Minn. Stat. § 325D.141, subd. 1(k)" means using an automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) to inform individualizedIndividualized"Individualized" means specific to or inferred about an individual or group, band, class, or tier of individuals that possess particular personal characteristics, behaviors, or biometrics.Minn. Stat. § 325D.141, subd. 1(g) pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) based on surveillance dataSurveillance data"Surveillance data" means data obtained through observation, inference, or surveillance of a consumer or worker that is related to personal characteristics, behaviors, or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance data includes information gathered, purchased, or otherwise acquired.Minn. Stat. § 325D.141, subd. 1(m) regarding a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e). (l) "Surveillance-based wage discriminationSurveillance-based wage discrimination"Surveillance-based wage discrimination" means using an automated decision system to inform individualized wages based on surveillance data regarding a worker.Minn. Stat. § 325D.141, subd. 1(l)" means using an automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) to inform individualizedIndividualized"Individualized" means specific to or inferred about an individual or group, band, class, or tier of individuals that possess particular personal characteristics, behaviors, or biometrics.Minn. Stat. § 325D.141, subd. 1(g) wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) based on surveillance dataSurveillance data"Surveillance data" means data obtained through observation, inference, or surveillance of a consumer or worker that is related to personal characteristics, behaviors, or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance data includes information gathered, purchased, or otherwise acquired.Minn. Stat. § 325D.141, subd. 1(m) regarding a workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o). (m) "Surveillance dataSurveillance data"Surveillance data" means data obtained through observation, inference, or surveillance of a consumer or worker that is related to personal characteristics, behaviors, or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance data includes information gathered, purchased, or otherwise acquired.Minn. Stat. § 325D.141, subd. 1(m)" means data obtained through observation, inference, or surveillance of a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) or workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) that is related to personal characteristicsPersonal characteristics"Personal characteristics" means individual qualities, features, attributes, or traits, including characteristics, mutable or immutable, including but not limited to race, color, creed, religion, national origin, sex, gender identity, marital status, status with regard to public assistance, familial status, disability, sexual orientation, age, eye color, weight, citizenship, parenthood status, or address; and any other personal identifying information that could be used to uncover an individual's identity, including a Social Security number, full name, or phone number.Minn. Stat. § 325D.141, subd. 1(i), behaviorsBehaviors"Behaviors" means an individual's observable, measurable, or inferred actions, habits, preferences, interests, or vulnerabilities, including the individual's political, personal, or professional affiliations, web-browsing history, IP addresses used, locations frequented, purchase history, financial circumstances, consumer behaviors, or inferences associated with a group, band, class, or tier of individuals in which the individual belongs.Minn. Stat. § 325D.141, subd. 1(c), or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance dataSurveillance data"Surveillance data" means data obtained through observation, inference, or surveillance of a consumer or worker that is related to personal characteristics, behaviors, or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance data includes information gathered, purchased, or otherwise acquired.Minn. Stat. § 325D.141, subd. 1(m) includes information gathered, purchased, or otherwise acquired. (n) "WageWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n)" means the material terms offered to a workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings. (o) "WorkerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o)" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.
Subdivision 1 defines the key terms governing the bill's prohibitions on surveillance-based price and wage discrimination. The definitions are notably broad. Surveillance data encompasses any data obtained through observation, inference, or surveillance related to personal characteristics, behaviors, or biometrics — including data that is purchased or otherwise acquired from third parties. Automated decision system covers any computation-based system used to assist or replace human decision-making, expressly including AI and machine learning systems. Personal characteristics extends well beyond traditional protected classes to include address, weight, eye color, parenthood status, and any personal identifying information.
The breadth of price and wage definitions is also notable — price includes all fees, costs, and material terms affecting consumer value, while wage encompasses scheduling, task assignment, bonuses, and commissions in addition to base pay.
(a) 1 A person is prohibited from engaging in surveillance-based price discriminationSurveillance-based price discrimination"Surveillance-based price discrimination" means using an automated decision system to inform individualized prices based on surveillance data regarding a consumer.Minn. Stat. § 325D.141, subd. 1(k).
(b)–(c) 1 A person does not engage in surveillance-based price discriminationSurveillance-based price discrimination"Surveillance-based price discrimination" means using an automated decision system to inform individualized prices based on surveillance data regarding a consumer.Minn. Stat. § 325D.141, subd. 1(k) if the person demonstrates: (1) differential pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) are justified based on differences in the cost to provide a good or service to different consumersConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e), including based on consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) selections, delivery distance, or delivery time; (2) differential pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) are offered or provided to a commonly understood social grouping, such as teachers, veterans, senior citizens, or students, if: (i) the terms and criteria for receiving the difference in pricePrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) are publicly available, are clearly and conspicuously conveyed, and are disclosed in clear and prominent terms in such a manner that an ordinary consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) would notice and understand them; and (ii) any consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) can obtain the discount if they can demonstrate that they are part of the group; or (3) the person operates as an insurerInsurer"Insurer" means an insurance company as defined under section 60A.02, subdivision 4.Minn. Stat. § 325D.141, subd. 1(h) and only inputs risk-relevant data into an automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) that informs decisions related to the amount a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) must pay for an insurance policy or contract. (c) A person has not engaged in surveillance-based price discriminationSurveillance-based price discrimination"Surveillance-based price discrimination" means using an automated decision system to inform individualized prices based on surveillance data regarding a consumer.Minn. Stat. § 325D.141, subd. 1(k) if the person demonstrates that a refusal to extend credit at specific terms or the refusal to enter into a transaction with a specific consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) is based on data provided in a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) report covered by the federal Fair Credit Reporting Act, United States Code, title 15, section 1681 et seq.
Subdivision 2 categorically prohibits surveillance-based price discrimination — the use of an automated decision system to set individualized consumer prices based on surveillance data. The prohibition is broad: any data obtained through observation, inference, or surveillance of a consumer related to personal characteristics, behaviors, or biometrics triggers liability when fed into an automated system to individualize prices.
Three narrow defenses are available. First, differential prices are permissible when justified by actual cost differences such as consumer selections, delivery distance, or delivery time. Second, publicly available, clearly disclosed group discounts (e.g., senior, veteran, or student discounts) are exempted so long as any qualifying consumer can obtain the discount. Third, insurers using only risk-relevant data for insurance pricing are carved out. A fourth safe harbor exists for credit decisions based on FCRA-covered consumer reports.
(a) 2 A person is prohibited from engaging in surveillance-based wage discriminationSurveillance-based wage discrimination"Surveillance-based wage discrimination" means using an automated decision system to inform individualized wages based on surveillance data regarding a worker.Minn. Stat. § 325D.141, subd. 1(l).
(b)–(c) 2 A person does not engage in surveillance-based wage discriminationSurveillance-based wage discrimination"Surveillance-based wage discrimination" means using an automated decision system to inform individualized wages based on surveillance data regarding a worker.Minn. Stat. § 325D.141, subd. 1(l) if the person demonstrates: (1) the person offers individualizedIndividualized"Individualized" means specific to or inferred about an individual or group, band, class, or tier of individuals that possess particular personal characteristics, behaviors, or biometrics.Minn. Stat. § 325D.141, subd. 1(g) wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) based solely on: (i) data specific to the individual workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) that is directly related to the tasks the workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) was hired to perform; or (ii) differences in the cost to the workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) to provide labor to the person; and (2) before hiring a workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) to perform work, the person discloses in plain language to all workersWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) whose wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) are set in whole or in part through an automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) what data is considered and how the automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) considers the data. (c) Surveillance-based wage discriminationSurveillance-based wage discrimination"Surveillance-based wage discrimination" means using an automated decision system to inform individualized wages based on surveillance data regarding a worker.Minn. Stat. § 325D.141, subd. 1(l) does not include a person's decision to not hire an individual who has not previously worked for or through the person or the person's affiliates or subsidiaries.
Subdivision 3 prohibits surveillance-based wage discrimination — the use of an automated decision system to set individualized worker wages based on surveillance data. The wage definition is broad, extending beyond base pay to encompass scheduling, task assignment, bonuses, commissions, and other material terms that directly impact earnings.
A defense is available when the employer demonstrates that individualized wages are based solely on data directly related to the tasks the worker was hired to perform or differences in the cost to the worker of providing labor, and the employer pre-discloses in plain language to all workers what data is considered and how the automated decision system uses it. A separate carve-out provides that a decision not to hire an individual who has not previously worked for the employer is not wage discrimination.
3 A person that uses an automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b) to assist or replace human decision-making related to wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) or pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) must develop and publish reasonable procedures: (1) to ensure the accuracy of all data considered by the automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b); (2) to allow a consumerConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) or workerWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) to correct or challenge the accuracy of data considered by the automated decision systemAutomated decision system"Automated decision system" means a system, software, or process that uses computation, the result of which is used to assist or replace human decision-making. Automated decision system includes a system, software, or process derived from machine learning, statistics, or other data-processing or artificial-intelligence techniques. Automated decision system does not include passive computing infrastructure.Minn. Stat. § 325D.141, subd. 1(b); and (3) for consumersConsumer"Consumer" means an individual who buys goods for personal, family, or household purposes.Minn. Stat. § 325D.141, subd. 1(e) or workersWorker"Worker" means an individual who performs work on behalf of or for the benefit of an employer as an employee as defined by section 268.035, subdivision 13, an independent contractor, or through another legal relationship.Minn. Stat. § 325D.141, subd. 1(o) to request and receive information regarding what data is considered and how automated decision-making considers the data when setting particular pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) or wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n).
Subdivision 4 imposes affirmative procedural obligations on any person using an automated decision system for wage- or price-setting. Three requirements must be met: the person must develop and publish procedures to ensure data accuracy, allow consumers or workers to correct or challenge inaccurate data, and enable consumers or workers to request and receive information about what data is considered and how the automated system uses that data.
This subdivision applies to all persons using automated decision systems for pricing or wage decisions — not only those engaged in surveillance-based discrimination. It creates a standalone procedural obligation that applies regardless of whether the underlying pricing or wage-setting violates Subdivisions 2 or 3.
(a) In a proceeding commenced under this section, the defendant shall be presumed to be in violation of subdivision 2 if the plaintiff can demonstrate that: (1) two or more individuals were offered different pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) by the defendant for the same or a substantially similar product or service during the same or a substantially similar period of time; or (2) one individual was offered different pricesPrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) by the defendant for the same or a substantially similar product or service during the same or a substantially similar period of time while using different means of viewing the pricePrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j).
(b) In a proceeding commenced under this section, the defendant shall be presumed to be in violation of subdivision 3 if the plaintiff can demonstrate that two or more individuals were paid different wagesWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) for completing the same or substantially similar tasks during the same or a substantially similar period of time or location.
(c) The defendant may rebut the presumptions described in paragraph (a) or (b) by: (1) demonstrating that the alleged difference in pricePrice"Price" means the amount charged to a consumer in relation to a transaction, including all related costs, fees, and other material terms of the transaction that have a direct bearing on the amount paid by the consumer or the value of the good or service offered or provided to the consumer.Minn. Stat. § 325D.141, subd. 1(j) or wageWage"Wage" means the material terms offered to a worker in exchange for labor, including the amount to be paid for the labor, whether expressed in hourly rate, piece rate, salary, bonuses, commissions and incentives, scheduling, task assignment, or other similar material terms that have a direct impact on earnings.Minn. Stat. § 325D.141, subd. 1(n) was not informed, in whole or in part, by surveillance dataSurveillance data"Surveillance data" means data obtained through observation, inference, or surveillance of a consumer or worker that is related to personal characteristics, behaviors, or biometrics of the individual or a group, band, class, or tier in which the individual belongs. Surveillance data includes information gathered, purchased, or otherwise acquired.Minn. Stat. § 325D.141, subd. 1(m); or (2) satisfying the requirements in subdivision 2, paragraph (b), or subdivision 3, paragraph (b).
Subdivision 5 establishes rebuttable presumptions favoring plaintiffs in proceedings under this section. For price discrimination, a defendant is presumed in violation if the plaintiff shows that two or more individuals were offered different prices for the same or substantially similar product during the same period, or that a single individual was offered different prices while using different means of viewing the price (e.g., different devices or browsers). For wage discrimination, a presumption arises when two or more individuals were paid different wages for completing the same or substantially similar tasks during the same period or location.
Defendants may rebut these presumptions by demonstrating that the differential was not informed by surveillance data or by satisfying the enumerated statutory defenses in Subdivisions 2(b) or 3(b). This burden-shifting framework is an evidentiary mechanism rather than a standalone compliance obligation.