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Michael Klutho Testifies Before Senate Committee on Behalf of Credit & Collection Industry


Michael Klutho testified before the Commerce Committee of the Minnesota Senate. On March 21, 2022, the Minnesota Senate Commerce Committee passed S.F. 2922, the Great Lakes Credit and Collection Association (GLCCA) supported bill allowing collectors to work from home permanently. Bill author, Sen. Karin Housley, presented the bill and GLCCA Immediate Past President, Michael Klutho, testified on behalf of GLCCA. The bill was passed to the Senate floor where it is expected to be heard before the legislature adjourns on May 23, 2022.

Permanent legislation to allow collection agencies licensed in Minnesota to continue allowing their staff to work from home or in a hybrid model is advancing through the state’s House and Senate after successful advocacy efforts of GLCCA in the last two years.

Currently, a temporary law from Minnesota’s 2021 session to allow licensed collectors to work from home—which started as a waiver from the Minnesota Department of Commerce during the COVID-19 Peacetime Emergency—is in effect through May 31, 2022.

“Over the past two years, countless Minnesotans have worked from home throughout the COVID pandemic, including third-party collection professionals,” said Michael in a letter to the Minnesota legislature. “During this time, collection professionals have demonstrated they are able to perform their duties remotely in a safe and compliant manner under the oversight of their employers—licensed third-party collection agencies—and the Minnesota Department of Commerce.”

The permanent legislation in the works in Minnesota, bills SF 2922 and HF 4048, would allow collection agencies to continue offering their employees the option to work in their physical office, in their homes under secure conditions, or under a hybrid structure—whatever best fits their business and employee needs, Michael said.

“Absent this permanent change, our employees will lose the valuable flexibility they have had for the past two years,” he said.

For more information on this topic, please contact Michael Klutho.

Bassford Remele | April 11, 2022