September / October 2022 MiMfg Magazine 21
Court of Appeals to Decide the Fate of Mandatory Paid Leave and Minimum Wage Laws
Numerous questions about the applicability of Michigan ’ s mandated paid leave and minimum wage laws hang in the balance as the Michigan Court of Appeals has expedited its review of a case pertaining to whether the Legislature can enact and amend a law proposed by citizen initiative in the same legislative session .
Following the 2018 adoption of two initiatives dealing with the state ’ s minimum wage ( Public Act 337 of 2018 ) and mandatory paid sick leave ( Public Act 338 of 2018 ), legislation was enacted to modify various provisions within each of the laws to prevent the initiatives from creating serious disruptions in
Michigan ’ s workforce and crippling Michigan ’ s economy .
Opponents filed suit , challenging the ability of the Legislature to amend an initiative adopted in the same session . Earlier this year , the Court of Claims agreed , ruling that the amended acts were unconstitutional and reestablishing the original initiative language effective 2 / 19 / 23 .
However , the State of Michigan appealed the ruling and the MMA Lawyers ’ Committee filed an amicus brief , defending the ability of the Legislature to amend initiatives . Defending the Legislature ’ s actions is also critical to prevent the law from reverting to a version of
Michigan ’ s paid leave law that expands the application to every employee ( regardless of part-time or full-time status ), imposes onerous and litigious enforcement mechanisms and eliminates small business exemptions .
The Court of Appeals is expected to rule in early 2023 . Contact MMA ’ s Dave Worthams to discuss how this case would impact your business operations . 6
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