Business
Michigan Supreme Court Upholds Minimum Wage Increase
The Michigan Supreme Court has upheld the minimum wage increase, marking a significant victory for workers’ rights. This ruling paves the way for better wages and improved living standards, impacting thousands across the state.
Michigan Supreme Court Rules on Minimum Wage Proposal
The Michigan Supreme Court delivered a significant ruling on Wednesday, determining that state legislators had unlawfully undermined a voter-sponsored initiative aimed at raising the state’s minimum wage. This pivotal decision is expected to trigger an increase in Michigan’s current hourly minimum wage of $10.33 by at least $2 starting in February. The state’s treasurer will soon calculate the necessary inflation adjustments, and further cost-of-living increases will follow through 2029.
Moreover, tipped workers, who presently earn as little as $3.84 per hour, will see a gradual adjustment that aligns their pay with the minimum wage set for all other employees by 2029. This change positions Michigan to become the eighth state in the nation to establish a unified wage floor for all workers, regardless of their job classification.
Labor activists and union representatives expressed their elation over the court’s decision. “We have finally triumphed over the corporate interests that attempted to block fair wages for all workers, including those in the restaurant industry,” said Saru Jayaraman, the president of One Fair Wage, a national nonprofit organization advocating for fair labor practices. This organization played a crucial role in gathering the requisite signatures from Michigan residents back in 2018 to launch the ballot initiative that eventually reached the Legislature.
At that time, the Republican-led Legislature faced significant pressure from a coalition of restaurateurs, spearheaded by the Michigan Restaurant and Lodging Association. This group sought to prevent the wage increase proposal from appearing on the 2018 general election ballot. Instead, they urged the Legislature to adopt the proposal sponsored by One Fair Wage and other labor groups, a move that the Legislature ultimately executed. However, in a controversial twist, legislators later rolled back key provisions of the law following the election, igniting a passionate response from labor advocates.