As we approach the new year, Michigan is gearing up for significant legislative changes that will take effect in 2025. These new laws, signed by Governor Gretchen Whitmer, aim to enhance the welfare of workers and residents across the state. From minimum wage increases to improved sick leave policies, these changes reflect a growing commitment to worker rights and public health.
Minimum wage increases
One of the most notable changes is the increase in the minimum wage. Starting on Jan. 1, 2025, the minimum wage will rise from $10.33 to $10.56. This increase is just the beginning; on Feb. 21, 2025, it will jump again to $12.48. This progressive approach to wage increases is designed to help workers keep pace with the rising cost of living.
Changes for tipped workers
In addition to the general minimum wage increase, tipped workers will also see their wages rise. Under the new law, tipped employees will earn 48 percent of Michigan’s minimum wage, ensuring that those who rely on tips for their income are fairly compensated.
Earned sick time adjustments
Another significant change is the adjustment to earned sick time. Starting in February 2025, employees will accrue one hour of sick time for every 30 hours worked. However, they will be limited to using a maximum of 40 hours of sick time per year unless their employer opts for a higher limit. This policy aims to provide workers with the necessary time off to recover from illness without the fear of losing income.
Unemployment benefits increase
Michigan residents will also benefit from an increase in unemployment benefits. The weekly allotment will rise from $362 to $614, marking the first increase in these benefits since 2003. This change is crucial for those who find themselves unemployed, as it provides a more substantial safety net during challenging times.
CPR and AED training requirements
In a move to enhance public safety, high school coaches in Michigan will be required to maintain certification in CPR and AED (Automated External Defibrillator) training. This legislation, signed in April 2024, mandates that schools develop emergency cardiac plans to respond effectively to cardiac arrest incidents among student-athletes. As Cindie DeWolf from the American Heart Association stated, having trained adults nearby can be lifesaving in emergencies.
Tax credit for organ donors
Additionally, a new tax credit for organ donors will take effect on Jan. 1, 2025. This credit aims to alleviate some of the financial burdens associated with organ donation, such as lost wages and medical expenses. Taxpayers can claim a one-time credit for unreimbursed expenses related to live organ donation, up to a maximum of $10,000.
Legislative background and challenges
The passage of these laws has not been without controversy. In July 2024, the Michigan Supreme Court ruled against attempts by the Republican-led Legislature to amend proposals related to the Earned Sick Time Act and the Workforce Opportunity Wage Act. The court found that these amendments violated the Michigan Constitution, which prohibits altering ballot initiatives within the same legislative session. Justice Kyra Bolden emphasized that the Legislature’s actions were unconstitutional, reinforcing the integrity of the legislative process.
As Michigan prepares for these new laws to take effect, residents can look forward to improved working conditions and enhanced public safety measures. These changes reflect a growing recognition of the importance of supporting workers and ensuring their rights are protected. With the implementation of these laws, Michigan is taking significant steps toward a more equitable and just society.
