Michigan Employers: New Paid Sick Leave Law

Update (1/5/2019):

The Michigan paid sick leave act has been signed into law, and with that several amendments were made.

* The law will go into effect on March 29th, 2019.

* Only employers with 50 or more employees will be required to participate.

* Regardless of participation, all employers in Michigan are required to post the Michigan Paid Sick Leave labor law poster in their places of business.

* There will be exemptions for several types of employees, including, but not limited to overtime exempt employees, temporary employees, and employees who are already covered under a collective bargaining agreement.

* Previously the act stated that each employee would need to accrue 1 hour paid sick leave per every 30 hours worked, due to the amendments this has been updated to 1 hour for every 35 hours worked.

* The original amount of paid sick leave an employer would have been required to allow was 72 hours per benefit year, this has been reduced to 40 hours. The same numbers were adjusted for the required carry over amount.

Michigan has recently joined other states in passing legislature that would require employers to provide paid sick leave to all employees beginning in March 2019.

The paid sick leave law and the new minimum wage law (read more about that here!) were passed with the intention of amending them after the general election in November 2018.  Both were to appear on the ballot this November but now will not as they have already been signed into law. By passing them as laws prior to the hammer-485712_1920election, Congress is now only required a majority vote to amend the laws rather than a vote of three fourths if the initiatives had been passed on the ballots in November.

As the law stands in September 2018 (subject to any future amendments), all employers in Michigan would be required to provide paid sick leave to all employees (full time, part time, temporary, etc). Employees must accrue 1 hour of paid sick leave for every 30 hours of work performed. Continue reading

Minimum Wage to Increase for Michigan Employees

The state of Michigan has recently passed a law that will gradually increase the minimum wage for non-exempt employees to $12.00 per hour by January 1, 2022.  The state minimum wage applies to all Michigan employers with two or more employees who are 16 years of age or older.

In the past, Michigan has allowed employers to pay tipped employees 38% of the minimum wage, but that percentage will gradually increase to 80% of the minimum wage by January 1, 2022.  Continue reading