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Lame Duck Disaster Brewing for Michigan’s Job Creators and Workers

December 10, 2024

Fixing Earned Sick Time and Minimum Wage/Tips Must Be Addressed; Stopping Tax Increases Through Employer-Funded Unemployment and Workers’ Comp, Plus Costly Regulations is Critical

The Michigan Legislature is considering numerous dangerous policy changes that could devastate Michigan’s economy. A number of bills, many only proposed in the last few weeks, had hearings and were advanced as the clock ticks down on the remaining two weeks of the 2023-24 legislative session.

The potential for the cumulative impact of anti-growth policy proposals now before the Legislature has the business community sounding alarm bells — but also stressing that urgent action is needed to make consensus changes to the Earned Sick Time Act to improve implementation for employers and employees alike.

“Michigan’s path to growth is at grave risk with the multitude of risky economic proposals proposed in Lansing,” said Wendy Bock, Senior Vice President of Business Advocacy for the Michigan Chamber. “The sheer number of anti-business, anti-jobs proposals currently in play in the State Capitol is staggering and concerning – everything from giving Michigan’s 1,800 local units of government the right pass their own local employment laws to drastically increasing employer-financed workers’ compensation and unemployment insurance costs to opening and incentivizing new avenues to sue businesses large and small.”

“Small businesses have communicated more with the Legislature about the need to address the Earned Sick Time Act’s flaws than any time in recent history,” said Kelli Saunders, Vice President of Policy and Engagement for the Small Business Association of Michigan. “Our coalition’s focus is not on reducing benefits but avoiding the micromanagement of businesses by changes allowing employers to keep paid leave buckets and front load their time off.”

“The cumulative impact of these proposals would create significant new burdens for small businesses and impact community vibrancy,” said Joshua Lunger, Vice President of Government Affairs for the Grand Rapids Chamber. “Sweeping changes to Michigan’s successful remediation requirements could halt urban redevelopment and investment.”

Michigan’s economy is not going to thrive by changing the rules of the road every time you cross a city limit by imposing new costs on employers or creating complicated work rules and burdensome regulatory requirements,” said Brian Shoaf, Vice President of Public Policy and Business Advocacy for the Detroit Regional Chamber. “Michigan is well served by consistent and meaningful regulations that are the same for all businesses regardless of influence or geography. “

“Michigan must compete everyday with other states for jobs, both retaining current jobs and any new jobs,” said Mike Johnston, Executive Vice President of Government Affairs & Workforce Development for the Michigan Manufacturers Association. “The weight of the many ill-advised employer burdens will damage Michigan’ business climate and reduce the number of jobs in this state. We urge the legislature to protect Michigan workers benefit flexibility by passing fixes to the Earned Sick Time Act, and stop other anti-job bills such as increased cost of workers compensation insurance and unemployment insurance.”

“We are committed to making Michigan a Top 10 state for growth and prosperity. Michigan currently is ranked 27th, but if these policies are rushed through in lame duck, it will significantly hurt our competitiveness against other states,” said Lindsay Case-Palsrok, Vice President, Government Affairs at Business Leaders For Michigan. “Policymakers need to focus on measures that will move Michigan from the middle to the top, not ones that will set us back.”

Small business owners – take action now by contacting your legislators on these issues.

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