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Increasing the Minimum Wage Effort Moves Forward

Sep 22, 2017

This week, the Board of State Canvassers approved the petition form from a group seeking to increase the state’s minimum wage.  One Fair Wage is seeking to place the issue on the November 2018 ballot for Michigan voters to decide.  Under their proposal, wages would incrementally increase in the following manner:

2019

  • Non-tipped employees – $10/hour
  • Tipped employees – $4.80/hour

2020

  • Non-tipped employees – $10.65/hour
  • Tipped employees – $6.39/hour

2021

  • Non-tipped employees – $11.35/hour
  • Tipped employees – $7.94/hour

2022

  • Non-tipped employees – $12/hour
  • Tipped employees -$9.60/hour

By 2024, tipped workers will receive the full minimum wage, instead of a portion as they currently do.  In order to place the proposal on the ballot, the group will need to collect approximately 250,000 signatures.

“Michigan’s minimum wage laws were last updated via legislative action in 2014.  Since that time, there has been an on-going debate on both sides of the issue if the state’s wage should increase, how much it should increase, and if tipped workers should receive the same minimum- wage as non-tipped employees,” stated Tony Des Chenes of MLC.  Prior to the law going into effect in September 2014, the minimum wage was $7.40/hour and $2.65/hour for tipped employees.  Under Public Act 138 of 2014, the minimum wage has increased, and will continue to do so, in the following manner:

September 1, 2014

  • Non-tipped employees – $8.15/hour
  • Tipped employees – $3.10/hour

January 1, 2016

  • Non-tipped employees – $8.50/hour
  • Tipped employees – $3.23/hour

January 1, 2017

  • Non-tipped employees – $8.90/hour
  • Tipped employees – $3.38/hour

January 1, 2018

  • Non-tipped employees – $9.25/hour
  • Tipped employees – $3.52/hour

This has always been a strongly divisive issue.  For those that state raising the minimum wage would increase economic growth, you have groups on the other side stating it would force businesses to lay off employees.  Likewise, while opponents argue it would increase poverty because of reduce work hours due to higher wages, supporters state it would reduce poverty by providing a living wage.  Given the many arguments, statistics, and fiscal analysis on both sides of the issue, it would be tough to say what the chances are the issues makes it onto the ballot and if a majority of Michigan voters would support or oppose an increase to the minimum wage.

Michigan Legislative Consultants is a bipartisan lobbying firm based in Lansing, Michigan. Our team of lobbyists and procurement specialists provide a wide range of services for some of the most respected companies in America. For more on MLC, visit www.mlcmi.com or connect with us on LinkedIn and Twitter.