The Michigan labor law guide
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Wages and breaks
Effective February 21, 2025, the minimum wage in Michigan is $12.48 per hour.
Michigan’s minimum wage applies to employers with two or more employees.
The current minimum wage for tipped employees is $4.74 per hour.
Non-exempt employees must be paid an overtime pay rate of 1 ½ times the regular rate of pay for hours worked in excess of 40 in one workweek.
The federal overtime rule stipulates that the minimum salary requirement for administrative, professional, and executive exemptions is $1,128 per week, or $58,656 per year.
Employers are not required to provide breaks to adult employees, but must completely relieve employees of their duties if they choose to provide unpaid breaks.
Employers are required to give minor employees a 30-minute rest period if they work more than 5 consecutive hours.
Final paychecks in Michigan
State law requires employers to pay employees who were fired, laid off or who quit must be paid all final wages by the next regularly scheduled payday.
There is no statute specifically stipulating when employers must pay employees who quit due to a labor dispute.
Michigan child labor laws
Minors under the age of 16
Minors under 16 may work a maximum of 3 hours on a school day and 18 hours per week when school is in session.
When school is not in session, they may work up to 8 hours per day and 40 hours per week.Work must take place between 7 a.m. and 9 p.m., and outside of school hours on school days.
Minors 16 and 17 years of age
Minors aged 16 and 17 may work up to 24 hours per week when school is in session. When school is not in session, they may work up to 10 hours per day, 6 days per week, and 48 hours per week.
Work is prohibited before 6:00 a.m. or after 10:30 p.m. on school nights (Sunday–Thursday). They may work until 11:30 p.m. on Fridays, Saturdays, and when school is not in session, including the day before a non-school day or during school breaks.
Leave Requirements
Michigan Sick Days
The Michigan Earned Sick Time Act (ESTA) went into effect on February 21, 2025. Eligible employees accrue 1 hour of paid sick time for every 30 hours worked.
Employers with 10 or more employees must allow employees to use up to 72 hours of paid sick time per year. Employers with fewer than 10 employees must provide up to 40 hours of paid sick time per year.
However, small businesses (fewer than 10 employees) have until October 1, 2025 to begin providing this paid sick time. New businesses with up to 10 employees may have a three-year grace period before compliance is required.
Employers may also require employees hired after February 21, 2025 to wait up to 120 days before using accrued sick time.
Enforcement has also changed under the amended law. Employees cannot file private civil lawsuits against employers. Instead, complaints must be submitted through the state labor department, which is responsible for enforcement.
Michigan medical and family leave
Employers may be required to provide an employee unpaid medical leave in accordance with the Family and Medical Leave Act or other federal laws.
Michigan vacation time
Employers are not required to provide vacation leave but must comply with their own established policies in an employee handbook if they choose to implement one.
Employers may establish a policy denying payment of accrued vacation upon separation from employment as long as there is a signed contract.
If there is a policy in place that says vacation time will be paid out upon separation of employment, it must be followed.
Employers may establish a policy in their employment contract disqualifying employees from receiving payment for accrued vacation upon separation from employment if they fail to comply with certain requirements.
The amount of vacation time an employee can accrue may be capped by the employer as long as the employee has been notified in writing.
Employers can implement a “use-it-or-lose-it” policy that requires employees to use their vacation time by a set date, as long as employees have been informed in writing.
Michigan Jury duty leave
Employers do not have to pay employees for time spent responding to a jury summons, but employees cannot be terminated or otherwise penalized for doing so.
Employers may not require employees to work without their consent any number of hours during a day that, when combined with the number of hours the employee spent responding to the jury summons, exceeds the number of hours in a normal shift.
The employee cannot be required to work past their normal quitting time.
Michigan holiday leave
Private employers are not required to provide paid or unpaid time off for holidays.
Michigan voting leave
Michigan does not require employers to provide leave.
Michigan Crime Victim Leave
Employers cannot take any adverse action against an employee who is a crime victim (or their representative) and testifies in a criminal proceeding.
Michigan Emergency Response Leave
Employers may not discriminate against, discipline, or discharge an employee because they are a member of the civil air patrol or are absent from work to respond to an emergency.
The employer can require that the employee provide as much notice as possible of their need for leave as a member of the civil air patrol.
Michigan bereavement leave
Employers are not required to provide bereavement leave.
Michigan Military Leave
Employers may not discharge or discriminate against an employee because they are a member of the armed forces or engage in military duties. They must also allow their employees to take military leave.
Hiring and firing
Michigan Discrimination laws
Federal law makes it illegal for an employer to discriminate on the basis of: race, color, age, sex (including pregnancy and related conditions), sexual orientation, gender identity, religion, national origin, genetic information (including family medical history), physical or mental disability, military or veteran status, and citizenship or immigration status.
In addition to federal protections, Michigan law (under the Elliott-Larsen Civil Rights Act and related statutes) prohibits discrimination based on: sexual orientation, gender identity or expression, source of income, marital status, height or weight, AIDS/HIV status, use of lawful consumable products outside of work, non-conviction criminal records, and wage garnishment for consumer debt.
Click here to read our blog on what acceptable and unacceptable questions to ask during an interview.
Michigan Termination laws
Michigan is an employment-at-will state, which means that without a written employee contract, employees can be terminated for any reason at any time, provided that the reason is not discriminatory and that the employer is not retaliating against the employee for a rightful action.
Michigan Record-Keeping Laws
Regarding employment and payroll data, under the Fair Labor Standards Act (FLSA) and others, you must:
For at least 3 years: keep payroll records, certificates, agreements, notices, collective bargaining agreements, employment contracts, and sales and purchase records. Also keep completed copies of each employee’s I-9 for three years after they are hired. If the employee works longer than three years, hold on to the form for at least one year after the employee leaves.
For at least 2 years: Keep basic employment and earning records like timecards, wage-rate tables, shipping and billing records, and records of additions to or deductions from wages. Also keep the records that show why you may pay different wages to employees of different sexes, such as wage rates, job evaluations, seniority and merit systems, and collective bargaining agreements.
For at least 1 year: The Equal Employment Opportunity Commission says employers should keep all employment records for at least one year from the employee’s date of termination.
Other record-keeping laws that may apply to you:
Under the Occupational Safety and Health Act, you need to keep records of job-related injuries and illnesses for five years. But some records, like those covering toxic substance exposure, have to be kept for 30 years.
You must keep files of benefit plans and seniority and merit systems while they are in effect and for at least a year after they end. You must also retain summary descriptions and annual reports of benefits plans for six years.
If your company is covered by the Family and Medical Leave Act, you must also retain relevant records of leaves, notices, policies, and more for three years.
Additional laws that may apply to you
Michigan Pay Practices
Employers must pay their employees at least weekly, biweekly, or monthly on regular paydays. Employers in agriculture must pay their employees who harvest crops by hand at least weekly. Employees who are paid weekly or biweekly must be paid within 14 days of the end of the pay period. Employees who are paid monthly must be paid by the first day of the month for wages earned the previous month. Employees who harvest crops by hand must be paid within two days of the end of the pay period, unless the employer and employee agree in writing to a different arrangement.
Michigan COBRA
COBRA is a federal law that allows many employees to continue their health insurance benefits after their employment ends. Because federal COBRA only applies to employers that have 20 or more employees, many states have adopted their own versions of the law, which are known as “mini-COBRAs.” Michigan does not have a mini-COBRA, so federal laws apply.
Michigan Whistleblower Protection laws
Employers may not discharge or discriminate against an employee for reporting an alleged violation of the law to a public body.
Michigan background check laws
Employers who run background checks should ensure they’re following the requirements of the Fair Credit Reporting Act.
Michigan Shift Scheduling bill
The Michigan Legislature has introduced the “Employee Fair Scheduling Act,” which aims to provide more predictable scheduling for employees. Key provisions in the proposal include requiring employers to provide written work schedules at least 14 days in advance, and to give employees at least 96 hours’ notice of any changes.
However, this legislation has been introduced multiple times (including 2019, 2021, and 2023) and has not passed. As of 2025, Michigan does not have a statewide predictive scheduling law, and the bill has not advanced beyond the proposal stage.
Michigan Social Media laws
An employer may not do the following: Request an employee or an applicant for employment to grant access to, allow observation of, or disclose information that allows access to or observation of the employee’s or applicant’s personal internet account; or discharge, discipline, fail to hire, or otherwise penalize an employee or applicant for employment for failure to grant access to, allow observation of, or disclose information that allows access to or observation of the employee’s or applicant’s personal internet account.
Michigan Telephone Monitoring laws
Michigan is an “all parties” consent state, meaning every person on a phone call must be aware that they are being monitored or recorded and have consented by placing or continuing the phone call. This means employers may monitor or record phone calls between their own employees only if each employee has been given notice that phone calls may be monitored or recorded. However, phone calls placed by employees to outside parties may not be monitored or recorded unless the outside party has also consented.
Compliance Calendar
Get our Compliance Calendar to stay on top of deadlines throughout the year: View it on your computer. Click + Google Calendar in the lower right to add it to your Google Calendar and subscribe to all updates. You can also download a calendar (.ics) file that you can import into iCal or Outlook.
Remember, this is not official legal advice. If you have questions about Michigan labor laws, it’s best to contact an employment law attorney.
Remember
This summary is not qualified legal advice. Laws are always subject to change, and they can vary from municipality to municipality. It’s up to you to make sure you’re compliant with all laws and statutes in your area. If you need more compliance help, we recommend consulting with a qualified lawyer, checking with your local government agencies, or signing up for Homebase to get help from our certified HR Pros.