Important Updates on New Minimum Wage, Paid Sick Leave Rules, and Corporate Transparency Act
Important Update: New Minimum Wage & Paid Sick Leave Rules Effective February 21, 2025
With the February 21, 2025, deadline approaching for Michigan’s new minimum wage and paid sick leave rules, we are working tirelessly to ensure businesses are prepared for these significant changes, stemming from the Michigan State Supreme Court ruling in the summer of 2024.
What Happened in 2024?
In the summer of 2024, the Michigan Supreme Court ruled that previously adopted minimum wage and paid sick leave laws from 2018 would take full effect, overturning amendments that had scaled back these laws. The ruling set a compliance deadline of February 21, 2025, leaving businesses to navigate complex requirements for higher wages and expanded sick leave benefits.
Despite the urgency, the 2024 legislative session concluded without any fixes to address the business community’s concerns. This has prompted renewed efforts in the 103rd Michigan State Legislature to pass much-needed reforms.
Legislative Updates
Legislation has now been introduced to address these challenges:
- Senate Bill 8 (Sen. Kevin Hertel) and Senate Bill 15 (Sen. Sam Singh) propose key changes to the minimum wage and paid sick leave laws.
- Parallel House bills have also been drafted, signaling bipartisan recognition of the need for action.
While these bills progress through the legislative process, the Lansing Regional Chamber of Commerce (LRCC) is here to support you with:
1️⃣ Comprehensive Resources:
Visit our dedicated page: Paid Sick Leave and Minimum Wage Update. This hub includes FAQs, guidance, action center, and tools to help your business comply with the new requirements.
2️⃣ Educational Opportunities:
Join our LRCC Policy & Regulatory Business Education Series for expert insights:
- Tuesday, January 14, 2025
- Tuesday, January 28, 2025
These virtual sessions will provide practical advice for navigating the new laws. Register here.
3️⃣ Advocacy Efforts:
The LRCC continues to advocate for legislative solutions that promote a more favorable business environment. For more context, see this month’s FOCUS Business Monthly Magazine, which highlights these critical issues: FOCUS Business Monthly Magazine.
For questions, contact Steve Japinga, SVP of Public Affairs, at sjapinga@lansingchamber.org or visit our Help Desk.
Corporate Transparency Act: Compliance Paused for Now
The U.S. Court of Appeals for the Fifth Circuit has temporarily paused enforcement of the Corporate Transparency Act (CTA) as of December 26, 2024, reversing a prior decision to reinstate the Act’s reporting requirements.
Key Details:
- The CTA, effective January 1, 2024, requires small business owners to file reports with beneficial ownership information.
- The original filing deadline was January 13, 2025, with severe penalties for noncompliance, including imprisonment and fines.
We are closely monitoring developments in collaboration with the U.S. Chamber of Commerce and will keep you informed as updates emerge. For more information, visit the U.S. Chamber Foundation CTA page.
The LRCC remains dedicated to supporting your business through these transitions and ensuring you stay informed every step of the way.