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News & Events: Employment, Labor & Benefits Update

Masuda Funai Employment Newsflash - Update: Michigan Minimum Wage and Sick Pay Court Grants Stay Through February 19, 2023


Last Wednesday, we reported that the Michigan Court of Claims concluded that the “adopt-and-amend” process that the Michigan Legislature used to enact the Improved Workforce Opportunity Wage Act (increasing the minimum wage) and the Paid Medical Leave Act (requiring 40-hours of paid sick time) violated the Michigan Constitution. In response, the State Michigan immediately appealed and filed a motion to stay the Court’s decision. 

On Friday, July 29, 2022, after finding that the State of Michigan did not demonstrate its entitlement to a stay pending appeal, the Court nevertheless granted a stay through February 19, 2023, by finding that a stay was in the public’s interest. In support of its stay order, the Court cited to “concerns regarding the ability of employers and relevant state agencies to immediately accommodate” the increased minimum wage and the enhanced paid sick leave obligations required by the Public Acts.

For now, the Michigan minimum wage and sick pay laws remain unchanged. We will continue to monitor this issue throughout the remainder of 2022, and report on any changes affecting Michigan employers

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