Member Update and Call to Action: Earned Sick Time Act and Minimum Wage (SNF/AL)
Update: Negotiations continue between the Michigan House and Senate to advance legislation that will amend the Earned Sick Time Act (ESTA) and the Improved Workforce Opportunity Wage Act, both of which take effect February 21, 2025. Last week, the Senate passed Senate Bill 8, which amends the minimum wage law as follows:
Date New Minimum Wage
February 21, 2025 $12.48
January 1, 2026 $13.73
January 1, 2027 $15.00
Starting October 2027, the minimum wage will increase annually based on the inflation rate in the Midwest region.
SB 8 is tie-barred with House Bill 4002, which was previously passed by the House. That bill amends the ESTA to improve several problematic provisions we identified when the bill was introduced. If an agreement is achieved, both the House and Senate will have to vote on updated bills before they can be sent to Governor Whitmer, who indicated her support for a bipartisan agreement.
While this is positive news, there is a possibility the Legislature won’t pass the bills before February 21. To prepare for this possibility, providers should review the acts’ requirements and begin to update internal policies accordingly. The Michigan Department of Labor and Economic Opportunity has resources to assist employers with implementation. For details on the potential enactment of the Earned Sick Time Act, click here. For information on the updates to minimum wage, click here. Please note, each act includes a requirement that employers display a poster describing the major provisions of each act; the poster is provided in these links.
Call to Action: Our goal is that legislation is passed before February 21 so employers do not have to make these updates. We need your help to make this happen! HCAM is engaging with legislative leaders to convey the significant negative impact the acts will have on Michigan’s long-term care facilities and to urge them to pass legislation before February 21.
Please ask your state Senator to support legislation to fix the earned sick time and minimum wage laws! Here is a template letter to your state legislators. It will automatically populate with your information and the contact information for your senator. Thank you in advance for your quick engagement on this crucial issue! Questions? Please email Richie Farran or call him at (517) 627-1561.