As reported last month, the legislature asks Supreme Court to address minimum wage and paid leave changes.
Following a state senator’s request for an attorney general opinion, the Michigan legislature passed resolutions HR 25 and SR 16. These resolutions formally asked the Michigan Supreme Court to weigh in on the legality of adopting then amending initiated laws raising the minimum wage and creating medical leave benefits. The legislature took this action since it was likely this question would ultimately fall to the courts to make a final determination. With the legislation slated to take effect in late March (March 29) employers need certainty on what new regulations they will be asked to comply with. Employers should note that laws passed by the legislature are presumed to be constitutional and should assume the changes will go into effect as planned. That said, it would be wise to wait to implement any changes to employee payroll or benefits until March 29 and keep an eye out for updates.
The Voice of Michigan Golf Business” Heard!
Legislature passes amendments on Minimum Wage and Paid Sick Leave
Michigan Golf Course Association, “The Voice of Michigan Golf Business”, earlier this year strategically aligned with “Small Business for a Better Michigan”, a coalition of Michigan job providers.
Why? To advise the legislature to make changes to the burdensome legislation for Minimum Wage and Paid Sick Leave.
As a result, earlier in December the Michigan Legislature sent their amendments to both Michigan’s Minimum Wage and Paid Sick Leave laws that were passed in early September to the Governor’s desk to be signed.
Due to recommendations from MGCA government affairs and the Small Business for a Better Michigan, the final draft that passed in the legislature made both proposals workable for the Michigan business community.
The MGCA government affairs takes the lead in legislative advocacy for the golf industry in Michigan. We need YOUR voice to make the MGCA voice louder..
URGENT! Have your Representative support the amendments!
MGCA and the Small Business Association of MI have been working together
to minimize the effects that the minimum wage and earned sick time bills will
have on your business! Contact your State Representative this morning as
it looks like they could be voting on the amendments this afternoon!
Tuesday, December 4, 2018, 10:04 AM
House Panel Moves Sick Time, Minimum Wage To Floor
The House Michigan Competitiveness Committee this morning reported legislation neutralizing most of the effects of minimum wage and earned sick time laws adopted earlier this fall that originated as voter initiatives.
Democrats offered several amendments, which were rejected. No changes were made to the Senate-passed versions of the bills.
Republicans and business groups support the changes, saying current policy, which the Legislature adopted to keep both issues off the ballot, is too extreme and difficult for businesses to comply with.
Democrats, activists and the groups that worked to get signatures for the proposals say the changes gut the intent and shouldn't be passed during the same session in which they were adopted.
The two bills are indeed significant departures to what was put before the Legislature when it enacted the initiated acts in September. SB 1171 delays the phase-in for the $12 minimum wage to 2030 instead of 2022. It also reinstates the tipped minimum wage. Tipped workers would make $4 an hour by 2030 versus the $3.52 those workers make now. They would have made the regular minimum wage under the initiatives by 2024.
The bill also breaks the link in the minimum wage to inflation after 2030, removing the inflation adjuster put in place in a 2014 compromise.
For paid sick time, instead of requiring employers to provide one hour of sick time for every 30 hours worked up to 72 hours earned per year, as the initiative stipulates, SB 1175 requires one hour for every 40 hours worked and caps sick time at 36 hours annually instead of 72.
Further, the bill limits the application of the requirement to employers with 50 or more employees, as the federal Family and Medical Leave Act provides. Far more workers would be covered under the initiated law.
“The MGCA joins the Small Business for a Better Michigan coalition to support Legislative Adoption of the MI Time to Care ballot proposal”
Understanding that the MGCA opposes any increase in minimum wage, it has come to our attention through our alliance with SBAM that they have formed the “Small Business for a Better Michigan” coalition to make sure that the MI Time to Care ballot proposal (Paid Sick Leave) does not leave the hands of elected policy makers.
The strategy for the coalition is to have the legislators first adopt as law, and then amend in Lame Duck.