Michigan Wage and Leave Changes in 2025: What Businesses Need to Know

Minimum wage increases, new paid sick leave rules, and changes to tipped wages all reached Michigan employers in 2025. This short video gives a quick overview.

What this video covers

  • The minimum wage rose to $10.56 on January 1, 2025, and to $12.48 on February 21, 2025
  • The changes followed a July 2024 Michigan Supreme Court decision
  • Youth and training wage rates still apply in some situations
  • Under Senate Bill 8, the tipped wage rises in steps through 2031
  • New sick leave rules took effect at the same time

How do Michigan’s 2025 wage changes affect your payroll?

The companion article explains that 16- and 17-year-olds may be paid 85 percent of the standard rate, which rose to $10.61, and that employers may pay new employees under age 20 a $4.25 training wage for their first 90 days. Under Senate Bill 8, the tipped wage was set at 38 percent of the standard rate, or $4.74 per hour, and will rise gradually to 50 percent by 2031.

The February 21 increase took effect alongside the Earned Sick Time Act. Because these rates change on set dates, the article encourages employers to review payroll systems and update pay for affected workers.

Read the full article: Minimum Wage in Michigan Increasing in 2025: A Guide for Employers!

If you have questions about wage or leave compliance, contact Tishkoff PLC through our contact page or call 734.663.4077.

This video and page are for general informational purposes and do not constitute legal advice. Watching the video or reading this page does not create an attorney-client relationship. You should consult counsel for advice on your specific circumstances.

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