On Wednesday, July 31, the Michigan Supreme Court ruled that the Michigan legislature took an unconstitutional action of weakening two voter-proposed initiatives that would have raised the minimum wage and required paid sick leave for virtually every employee in Michigan.
These ballot measures from 2018 would have raised the minimum wage in Michigan to $12 per hour by 2022, brought the tipped minimum wage to match the non-tipped minimum wage by 2024, as well as expand the criteria for employees that would be required to receive paid sick days to include all businesses.
Instead of allowing these proposals to be put on the ballot, the legislature used a tactic called “adopt and amend.” This means the legislature adopted the proposal—which in turn removed it from the ballot—and then amended the legislation.
When the legislature used “adopt and amend,” they changed the minimum wage to $12.05 an hour by 2030 and reduced the minimum sick days to 40 hours instead of the 72 hours the proposal listed. This action was ruled unconstitutional.
“The Detroit Regional Chamber supported the Legislature’s action in 2018 and is disappointed by the decision of the Supreme Court,” said Sandy K. Baruah, President and Chief Executive Officer of the Chamber. “Given the impact of inflation on our economy, we must find the right balance between wages, benefits, and business competitiveness. The Michigan Legislature must review the Court’s decision and work with all impacted parties to find a solution that allows Michigan to grow. We stand ready to be part of these discussions.”
The Chamber will continue monitoring this issue.
