As you may be following in the news, Michigan’s minimum hourly wage has been approved to increase to $9.25 per hour by 2018.
This will be accomplished through a series of incremental bumps with the first one happening Sept. 1, 2014. During August, be sure to watch your payroll packets for a copy of the updated compliance posters that must be posted in your workplace.
In addition to this first bump, the next increase will occur on Jan. 1, 2016 to $8.50 per hour. From there it will move up to $8.90 on Jan. 1, 2017 and to $9.25 on Jan. 1, 2018. In legislating these increases, lawmakers determined that a gradual increase would be better for employers who might need time to adjust to paying employees more.
The law also increases the hourly minimum for employees who receive tips from $2.65 per hour to $3.52 per hour. Employers with these employees need to be aware – as always – that if the combined hourly total of tips received and wages does not meet the state minimum wage, that it is incumbent upon the employer to make up the wage difference.
Minimum wage and Overtime Poster
