Michigan’s Minimum Wage Increases to $8.15 on September 1st
Michigan's minimum wage is increasing by 75 cents per hour September 1, 2014, going from $7.40 to $8.15. The change happens on Labor Day, a day to honor American workers.
The new legislation was passed on May 27, 2014, and goes to into effect today. It is officially called the Workforce Opportunity Wage Act, Public Act 138 of 2014.
This is the first increase in Michigan's minimum wage in six years. It's the beginning of a gradual 25% increase that will result in $9.25 per hour by 2018.
Also under the new law:
- Tipped employees may be paid 38% Minimum Hourly Wage Rate. An hourly increase from from $2.65 to $3.10.
- A training wage of $4.25 per hour may be paid to employees 16-19 years of age for the first 90 days of their employment.
- Minors 16-17 years of age may be paid 85% of the minimum hourly wage rate.
Here is a breakdown of of the changes according to michigan.gov:
Effective Date | Minimum | Tipped Employee | 85% of Minimum |
Before September 1, 2014 | $7.40 | $2.65 | $7.25* |
September 1, 2014 | $8.15 | $3.10 | $7.25* |
January 1, 2016 | $8.50 | $3.23 | $7.25* |
January 1, 2017 | $8.90 | $3.38 | $7.57 |
January 1, 2018 | $9.25 | $3.52 | $7.86 |