MichMash: Michigan minimum wage increase to take effect in February
Cheyna Roth and Zach Gorchow were joined this week by two guests on opposite sides of Michigan’s minimum wage increase debate.
An increase in Michigan’s minimum wage and required sick leave is set to take effect in February. This week on MichMash, host Cheyna Roth and Gongwer News Service’s Zach Gorchow sit down with Chris White, Michigan director of the Restaurant Opportunities Center; and Justin Winslow, president and CEO of the Michigan Restaurant and Lodging Association; to share their positions on the new law.
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In this episode:
- How the new minimum wage law will affect employees and businesses
- How 9/11 influenced the Restaurant Opportunities Center
- Concerns the Michigan Restaurant and Lodging Association has with the rate of increase
Following the recent Michigan Supreme Court ruling connected to the state’s new minimum wage and sick leave laws, the legislation is slated to take effect early next year.
Michigan’s $10.33 minimum wage will climb above $12 by February 2025 — and to $15 an hour by 2029. Additionally, the law will require all Michigan employers to offer up to 72 hours of paid sick leave per year to their employees, and end the tip credit system.
White says the law changes are necessary for progress.
“They don’t make enough money. They are essential workers. The cost of living is going up, so wages should go up with that cost of living,” he said.
However, not all Michigan residents and business owners agree that the changes will be beneficial to the state, and especially for small businesses.
“I think the rate and the speed by which we increase the minimum wage is important to the industry, like it would be any small business operator,” Winslow said. “But for the restaurant industry specifically, the tip credit really means life or death for a lot of folks; service, restaurants, dine-in restaurants.”
Stakeholders are now urging the Legislature to amend the laws set to take effect in February.
More from WDET:
- How Michigan Supreme Court’s ruling on minimum wage, sick leave will affect workers and businesses
- 2024 bringing boost in state minimum wage to $10.35
- Michigan appeals court ruling reverses minimum wage increase, paid sick leave revision
More from Gongwer:
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