LANSING, Mich. (Michigan News Source) – Michigan’s minimum wage is set to increase twice in 2025. But the impact won’t be felt by many workers as the Senate Fiscal Agency projects the number of people making the lowest-hourly rate is less than 1% of the workforce.

The state’s minimum wage will increase from $10.33 an hour to $10.56 an hour on Jan. 1. Then, on Feb. 21, it will increase from $10.56 an hour to $12.48 an hour, due to the recent Michigan Supreme Court ruling. In July, the state’s high court ruled on a case involving whether the state Legislature could adopt initiatives involving minimum wage and then amend the laws in a November 2018 lame duck session that the state said, “virtually eliminated the changes voters sought through the initiative process.”

MORE NEWS: Michigan Bills Could Allow Violent Criminals Early Release

The Senate Fiscal Agency projected that in 2023, less than 1% of the state’s workers were paid the minimum wage. The fiscal analysis said it was difficult to determine exactly how many minimum workers there were in the state because the federal government didn’t track it because there was such a high rate of turnover.

There were an estimated 41,890 people earned minimum wage in 2023 of a workforce of 4.35 million people, or 0.96% of the workforce. In 2009, there were an estimated 129,700 people making the minimum wage, or 3.3% of the workforce. In 2014, 2016 and 2018, the number of minimum wage workers made up more than 4% of the state’s workforce. The number of minimum wage workers peaked in 2018 with more than 175,000, more than four times as many who made minimum wage in 2023.