State Updates

Michigan Court Delays Reinstatement of Expanded Paid Medical Leave Act and Higher Minimum Wage

 

A Michigan court has delayed the effective date of its July 19, 2022, ruling in Mothering Justice et al. v. Nessel, et al. The ruling, first covered in our August 4, 2022, edition of Compliance Corner, found that the state’s legislature violated the Michigan Constitution when it amended two recently adopted ballot initiatives in 2018. As a result, the court voided Michigan’s then-current Paid Medical Leave Act (PMLA) and minimum wage laws, reverting to versions of those laws originally adopted by the legislature, versions that provide expanded paid sick leave and a higher minimum wage.

The latest court order recognizes concerns regarding the ability of employers and state agencies to immediately accommodate the statutory changes. With these concerns in mind, the court delayed the effectiveness of its ruling until February 20, 2023. Employers in Michigan should monitor the state’s Department of Labor and Economic Opportunity website for updates and work with legal counsel to modify their paid leave policies and compensation practices as necessary.

PPI Benefit Solutions does not provide legal or tax advice. Compliance, regulatory and related content is for general informational purposes and is not guaranteed to be accurate or complete. You should consult an attorney or tax professional regarding the application or potential implications of laws, regulations or policies to your specific circumstances.

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