With changes to the Earned Sick Time Act and the minimum wage hike slated to take effect on Feb. 21, 2025, the House Select Committee on Protecting Michigan Employees and Small Businesses reported two bills to amend the new laws. House Bills 4001 and 4002, introduced by Reps. John Roth (R-Green Lake Twp.) and Jay DeBoyer (R-Clay Twp.), received two hearings this week with nearly four hours of public input prior to the committee approving the bills.
HB 4001 would modify the current minimum wage increase schedule to $12 on Feb. 21, 2025, $12.50 on Jan. 1, 2026, $13 on Jan. 1, 2027, $14 on Jan. 1, 2028, and $15 on Jan. 1, 2029. Beginning in 2030, the state treasurer would be required to adjust the minimum wage yearly for inflation if unemployment is below 7.5%. It also maintains the tipped minimum wage at 38% of the minimum wage.
HB 4002 would amend the incoming earned sick time requirements to exclude employees from eligibility who work less than 25 hours per week on average or less than 25 weeks per year. In addition, employers with fewer than 50 employees would be exempt from the requirement to provide 72 hours of paid sick time. It would also allow employer policies or collective bargaining agreements that provide more than 72 hours of sick time to remain in place. It would also permit employers to continue to set their own policies relating to notice before calling out sick if they are outlined in an employee handbook.
Both bills impact townships and await a vote before the full House.