What You Need to Know About Michigan’s Paid Sick Leave and Minimum Wage Ruling

August 9, 2024 Last Edit: March 19, 2026

What You Need to Know About Michigan’s Paid Sick Leave and Minimum Wage Ruling

After a six-year battle, the Michigan Supreme Court, in a political decision, recently ruled that “adopt and amend” legislative procedures in 2018 were unconstitutional. This means the 2018 Paid Sick Leave and Minimum Wage petitions adopted by the legislature in 2018 will go into effect on Feb. 21, 2025. The main takeaways for Michigan small business owners are:

The Paid Sick Leave legislation affects all employers with one or more employees. It allows up to 72 hours of sick leave a year to be accrued but there are regulations on employers on how that sick time is calculated and used – including a prohibition on requiring advance notice. This applies to all employees (part-time, seasonal, and temporary employees). Find specifics about the proposal HERE.
The Minimum Wage legislation will increase the minimum wage to somewhere between $14 – $15 by 2028 (final calculations TBD). It also eliminates the tip credit for restaurant servers. The minimum wage will see an increase each year by the consumer price index.

Michigan State Director Amanda Fisher hosted a webinar for owners to learn more about the ruling and its impact on their small businesses. Watch now: MI State Supreme Court Decision | NFIB Michigan from NFIB Video on Vimeo. “It’s essential that Michigan small business owners are aware of this ruling and the imminent changes to the state’s minimum wage and paid sick leave mandates,” said Fisher. “We’re disappointed that the Michigan Supreme Court ruled against the interest of small businesses, but we will now focus our attention on the Legislature and advocate for positive changes to remedy some of the regulatory burdens placed on Main Street.” Michigan legislators need to hear from you to understand the impact of this law brought on by the Michigan Supreme Court. Please take action today:

TAKE ACTION

Stay tuned for compliance information and more – please contact Amanda Fisher if you have any questions at Amanda.Fisher@NFIB.org.

Topics:

Regulations

State:

Michigan

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