Stay Temporarily Halts Expansion of Paid Sick Leave and Increase to Minimum Wage
As we previously reported, the Michigan Court of Claims issued a ruling on July 19, 2022, immediately reinstituting 2018 ballot proposals that: (1) required employers of all sizes to provide up to 72 hours of paid sick leave to all employees on an annual basis; and (2) raised the minimum wage to $12 per hour.
Attorneys for the State of Michigan appealed the ruling to the Michigan Court of Appeals and asked the Michigan Court of Claims to delay the immediate start date of the paid sick leave and minimum wage increases.
On July 29, 2022, the Michigan Court of Claims agreed to postpone the start date until February 19, 2023, recognizing that “there are justified concerns regarding the ability of employers and the relevant state agencies to immediately accommodate the changes required.”
Over the next few months, we anticipate that the Michigan Department of Labor and Economic Opportunity will prepare guidance to assist employers in their compliance efforts, and that the Michigan Court of Appeals will consider whether to affirm or reverse the Michigan Court of Claims ruling. Employers should use this time to review their paid sick leave policies and wage-and-hour structures in the event that compliance is required.
Contact any member of Bodman’s Workplace Law Group for more information. Bodman cannot respond to your questions or receive information from you without first clearing potential conflicts with other clients. Thank you for your patience and understanding.