Michigan Lawmakers Approve Wage, Sick Leave Reforms

Michigan lawmakers approved a compromise on minimum wage, tipped wage, and sick leave reforms just before a court-mandated deadline. The legislation maintains a gradual increase in minimum wage to $15 by 2027 while preserving the tipped wage credit, which allows employers to pay tipped workers a lower base wage. The bills also modify sick leave policies, requiring businesses with over 10 employees to offer 72 hours of paid sick leave, while smaller businesses must provide 40 hours, with implementation delayed to October 1, 2025. This decision follows a Michigan Supreme Court ruling that declared previous legislative maneuvers illegal, mandating these changes take effect. Lawmakers from both parties expressed mixed feelings on the compromise, highlighting the need to protect small businesses and workers' rights amidst economic concerns. Governor Gretchen Whitmer's signature is awaited to finalize the legislative action.