Michigan Amends Paid Sick Leave, Minimum Wage
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Paid Sick Leave
Effective immediately, most Michigan employers are required to permit employees to accrue and use paid earned sick time annually. Under the amended Earned Sick Time Act (ESTA), paid earned sick time begins to accrue as of February 21, 2025. Small businesses have until October 1, 2025 to start providing 40 hours of sick time and may cap usage at 40 hours in one year. All other employers may cap usage at 72 hours in one year.
Minimum Wage
The minimum wage rate increased to $12.48 on February 21, 2025. The amended law now requires a minimum hourly wage of $13.73 as of January 1, 2026, and $15.00 as of January 1, 2027. From there, inflationary increases will follow January 1, 2028, and each subsequent year using the Midwest Consumer Price Index (CPI).
Michigan Chamber of Commerce:
BREAKING NEWS: Earned Sick Time, minimum wage bills signed by Governor
Jackson Lewis:
Last-Minute Changes to Michigan’s Earned Sick Time Law: What Employers Need to Know