LSCP Applauds Passage of Amendments to Earned Sick Time Act and Minimum Wage Laws

Posted by on February 25, 2025

MARQUETTE COUNTY, MI – In response to the late-night passage of House Bill 4002 and Senate Bill 8, LSCP CEO Christopher Germain issued the following statement:

The LSCP is pleased to see bipartisan support for amended versions of House Bill 4002 and Senate Bill 8, which make critical adjustments to the Earned Sick Time Act and Minimum Wage laws. These changes prevent significant administrative burdens and financial strain on employers statewide. While these bills are not perfect, they reflect bipartisan efforts to honor the original intent of the 2018 petition while also providing relief to small businesses that have fewer resources to meet these significant new sick leave requirements. We appreciate the willingness of Speaker Hall, Senate Majority Leader Brinks, and Governor Whitmer to come together and seek comprise. We also thank legislators from our area – Senator McBroom and Representative Bohnak – for their votes supporting these necessary changes.

The LSCP has been working to help employers in our area prepare for the Earned Sick Time Act’s implementation. While these changes will remove some of the biggest burdens, we encourage all employers to continue assessing their policies to ensure they meet the provisions passed last night.

For many years, the LSCP’s advocacy team has followed the appeals process through the courts, culminating in the State Supreme Court ruling last summer that declared the “adopt-and-amend” maneuver from 2018 to be unconstitutional. With just six months to implement the laws as initially written, the LSCP has worked with partners at the local and state levels, including the Marquette County Ambassadors and the Northern Michigan Chamber Alliance, to advocate for common-sense changes while also connecting employers with resources such as webinars and guidance from the Small Business Association of Michigan. The changes passed last night include several key provisions that have been discussed for months.

Key provisions in the final versions of the bills include:

  • Reducing the number of required hours for small businesses (10 or fewer employees) from 72 hours to 40.
  • Delaying implementation for existing small businesses to October 1, 2025, and establishing a three-year runway for new small businesses before requirements activate.
  • Clearly allowing combined PTO policies and frontloading, two provisions that reduce tracking burdens.
  • Establishing a cap on annual carryover requirements.
  • Clarifying that notification requirements can align with existing employer policies.
  • Updating violation processes by removing the rebuttable presumption and the right of private action, while still allowing employees to file complaints through state government channels.
  • Increasing the minimum wage to $12.48 today, with a gradual rise to $15.00 an hour by January 1, 2027.
  • Maintaining the tipped wage credit at 38% this year, with a 2% annual increase until January 1, 2031, when it will cap at 50%.

The LSCP team co-hosted a lunch-and-learn with Flagstar Bank on February 25, 2025, at the West End Economic Hub.

Marquette County employers with questions about the new provisions are welcome to contact the LSCP team at 906-226-6591. Employers who are active members of the LSCP also have access to additional resources through the Small Business Association of Michigan and other LSCP Partners.

Content