Michigan Lawmakers Approve Paid Sick Leave Bill in Last-Minute Deal
Big news out of Michigan—state lawmakers have just passed a major bill that impacts paid sick leave for workers across the state. This all happened late Thursday night as legislators scrambled to meet a crucial deadline set by the Michigan Supreme Court. The new law modifies the state’s existing sick leave policy, and it’s now on its way to Governor Gretchen Whitmer for her signature.
So, here’s what went down. The Michigan Senate passed House Bill 4002 just after 10:40 p.m. with a 26-10 vote. In the Senate, where Democrats have the majority, the party was actually divided—most Democrats voted against it, while every Republican supported it. Then, it quickly moved to the GOP-controlled House, where it passed 81-29, again with unanimous Republican support and mixed Democratic votes. Now, all eyes are on Governor Whitmer to see if she’ll sign it into law.
Why was this such a big rush? Well, this bill was lawmakers’ response to a Michigan Supreme Court decision that was set to take effect at midnight Friday. The court had ruled that a previous Republican-led effort to weaken sick leave and minimum wage policies was illegal, meaning the original, stronger policies would automatically become law. Business groups urged lawmakers to step in, while labor advocates wanted the court’s order to stand. What happened instead was a last-minute bipartisan deal to modify the policies before the deadline hit.
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Now, let’s talk about what this bill actually does. For workers at businesses with fewer than 10 employees, it guarantees up to 40 hours of paid sick leave per year—but it removes the previous provision that allowed for an additional 32 hours of unpaid leave. Meanwhile, employees at larger companies will continue to receive up to 72 hours of paid sick leave annually. Workers will accrue at least one hour of sick leave for every 30 hours worked, but businesses can choose to grant the full annual allotment at the start of the year.
One key point—small businesses will get extra time to adjust to the new requirements, with an implementation date set for October 1. There’s also a three-year grace period for new businesses and for companies with contracts in place before the end of 2024.
The bill also clarifies how sick leave can be used. Workers will be able to take time off for their own health issues, medical treatment, caring for a sick family member, or dealing with situations like domestic violence. It also includes provisions for using sick leave during public health emergencies, such as when a workplace or a child’s school is forced to close.
This last-minute deal was tied to another major piece of legislation—Senate Bill 8—which addresses minimum wage. The Michigan Supreme Court had ordered a phased elimination of the lower minimum wage for tipped workers, but lawmakers overrode that with a new plan. Instead of getting rid of the tipped wage, the bill gradually raises it from 38% to 50% of the regular minimum wage. The House and Senate both passed this bill with most Democrats opposing it and most Republicans in favor.
So, what happens next? If Governor Whitmer signs these bills, they’ll take effect immediately. However, that may not be the end of the story. A national advocacy group, One Fair Wage, has already announced plans to launch a referendum effort to put the tipped wage issue on the ballot for Michigan voters to decide. To do that, they’ll need to collect over 223,000 signatures.
This whole situation highlights the ongoing battle over worker protections and wages in Michigan. It’s been years in the making, and even with these new laws, the debate is far from over. One thing is clear—workers, businesses, and lawmakers will all be watching closely to see what happens next.
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