Each state has their own share of employment related laws in addition to federal regulations that business owners need to be aware of. Whether you’re a small startup or a large corporation, understanding and adhering to Michigan’s employment laws is paramount to mitigating legal risks and fostering a fair and equitable workplace.
This article highlights some of these key state-specific requirements and laws that we are often asked about on the ASE HR Hotline and offers guidance to help you keep up.
Paid Sick Leave
Under Michigan’s paid sick leave law, employees working for an employer with 50 or more employees are eligible to accrue at least one hour of paid sick leave for every 35 hours worked for each calendar year (or other 12-month period), up to a cap of 40 hours per year. Paid Medical Leave Act
Pay Requirements
Michigan rules on overtime and minimum wage can be found at the link below.
Michigan Dept. of Licensing and Regulatory Affairs (LARA): Minimum Wage & Overtime FAQs
You can find additional wage & hour guidance for employers in Michigan here. You can also find more information on scheduled increases here.
Separation
In Michigan, the final paycheck for separating employees should be issued no later than the next regularly scheduled payday.
If indicated by company policy, accrued and unused vacation must be paid to employees upon separation.
Additionally, the unemployment insurance notice (Form UIA 1711, “Unemployment Compensation Notice to Employee”) must be provided to all separating employees, regardless of the reason for leaving. You can access the form here.
MI Dept. of LARA: Payment of Wages at Termination
MI Dept. of LARA: Payment of Fringe Benefits at Termination
MI Unemployment Insurance Agency: How to file a claim for unemployment insurance benefits
Personnel Files
Under Michigan’s Bullard-Plawecki Sunshine in the File law, the personnel file is defined very broadly to include any information that has been, or may be used to determine qualification for employment, promotion, transfer, additional compensation, or disciplinary action.
Michigan’s law permits an employee to inspect their personnel files upon written request up to twice per year at a location reasonably near the workplace and during normal business hours. The employee also has the right to obtain a copy of all or any part of the personnel file. The employer may charge a copying fee. The fee should be the actual cost of copy duplication. Under this law there is certain information the employer has the right to exclude from the employee inspection when access to the file is requested. For more on this check out this article: Personnel File Maintenance and Management
This list is not comprehensive, and there may be local or industry-specific employment requirements that your business needs to comply with. It’s best to consult with counsel to ensure compliance with all applicable laws.
By Linda Olejniczak, courtesy of SBAM-approved partner, ASE.
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