New Year, New Minimum Wage

New Year, New Minimum Wag…

On January 1, 2023, Michigan's minimum hourly wage rate increased from $9.87 to $10.10 per hour pursuant to Michigan's Improved Workforce Opportunity Wage Act of 2018. Additionally, the 85% rate for minors aged 16 and 17 increased to $8.59 per hour, while the tipped employee rate was raised to $3.84 per hour.

Michigan is one of 30 states with a higher minimum wage than the rate mandated by federal law ($7.25) and is one of several states to implement a minimum wage increase in the new year.

Employers should ensure that hourly work performed on or after January 1, 2023, is paid at the new rates. Note, too, that overtime paid for work performed on or after that date is also subject to the increase. Employers who fail to immediately comply risk civil complaints and investigation by administrative agencies.

Please contact Wright Beamer at or 248.477.6300 if you have questions or need assistance.

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