Michigan’s Minimum Wage Rises to $12/Hour in Feb 2025

Michigan’s minimum wage will increase to over $12 an hour next year due to a Michigan Supreme Court ruling on July 31.
Michigan’s minimum wage will jump to $12 an hour in February 2025

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Michigan’s minimum wage will increase to over $12 an hour early next year due to a Michigan Supreme Court ruling that found Republican lawmakers had unconstitutionally amended initiatives in 2018. The court’s decision reinstates the original provisions of the measures, raising the minimum wage and enacting paid sick leave policies, which will start on February 21, 2025. Michigan’s minimum wage will reach about $15 an hour by 2028 and will increase with inflation, while the lower wage for tipped workers will be phased out by 2029.


Michigan’s minimum wage will rise to over $12 an hour early next year following a July 31 Michigan Supreme Court ruling.

In a 4-3 decision, the court determined that 2018 Republican lawmakers unconstitutionally adopted two initiatives—one to increase the state’s minimum wage and another mandating paid sick leave—to prevent them from appearing on the ballot, then amended them post-election to weaken key provisions.

“By adopting and then altering the Wage Act and the Earned Sick Time Act, the Legislature unconstitutionally violated initiative rights,” Justice Elizabeth Welch wrote. The ruling restores the original ballot measures, increasing the state’s minimum wage and establishing a new paid sick leave policy effective Feb. 21, 2025. Businesses are granted time to adjust to these changes.

Michigan’s minimum wage is currently $10.33 per hour, lower for tipped workers, disabled individuals, and teens. Starting in February, the minimum wage will rise to about $12.50, with further increases to about $15 by 2028, linked to inflation. Tipped workers’ wages will also gradually increase, reaching parity with non-tipped workers by 2029.

Saru Jayaraman, founder of One Fair Wage, praised the ruling. “This is a great day for over 860,000 Michigan workers getting a raise,” Jayaraman said. One Fair Wage gathered over 400,000 signatures for the original initiative and was among the plaintiffs in the lawsuit.

Under the new law, small employers with fewer than 50 workers must offer paid sick leave. Businesses with fewer than 10 employees must allow workers to accrue up to 40 hours of annual paid sick leave, while larger employers must allow up to 72 hours.

Michigan Attorney General Dana Nessel, a defendant in the lawsuit who supported the plaintiffs, hailed the decision as a victory for Michigan voters. “The Legislature cannot undermine the will of the people,” Nessel stated. “This ruling affirms the power of initiative reserved by the people to shape their laws.”


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