LANSING, Mich. (Michigan News Source) – It’s not a moment too soon: The Michigan House voted 69-40 on Wednesday to approve a measure to scale back an increase in the state’s minimum wage for tipped workers set to take effect on Friday, Feb. 21. The Senate adjourned before taking action on the bills, but both chambers are hoping for a solution they can quickly send to Gov. Gretchen Whitmer’s desk.
The bill passed the Republican-led House with the support of 15 Democrats. However, it is tied to a separate bill designed to scale back changes to paid sick leave policies set to take effect Friday as well. The paid sick leave bill remains a point of contention between the Democratic-controlled Senate and the House.
A 2024 Michigan Supreme Court ruling got the ball rolling on the changes set to take effect on Friday. That ruling said tipped workers, who currently earn 38% of the standard hourly minimum wage would see that rate jump to 100% by 2030, essentially eliminating tips.
The new bill would move the threshold to a cap of 50% in 2031 and gradually increase the standard minimum wage to $15 an hour in 2027.