Ounce of Prevention/Pound of Cure

Michigan’s Paid Medical Leave Act takes effect end of March/beginning of April.  Here’s what you need to know.

What Employers Are Covered?

Employers with 50 or more employees (but excluding state and federal governments)

What Employees Are Not Covered?

  • Salaried exempt employees
  • Union employees covered by a collective bargaining agreement ("CBA")
  • Employees scheduled to work 25 weeks or less annually
  • Employees who worked on average less than 25 hours per week in prior calendar year
  • Certain other employees

What Must Employers Do?

  • Maintain a paid time off ("PTO") policy that provides covered employees at least 40 hours of PTO annually

OR

  • For covered employees, accrue one hour paid leave for each 35 hours per week, up to one hour per week and 40 hours per year
  • For covered employees, allow to use up to 40 hours PTO annually and/or carry over up to 40 hours annually
  • Leave accrues starting March 1, 2019; or upon start of employment; or (if written policy) 90 days after start of employment

OR

  • Award covered employees 40 hours PTO at outset of year
  • If PTO is “frontloaded” in this fashion, employers need not allow any carryover to following year

PTO For What?

  • Physical or mental health diagnosis, care, or treatment for covered employee or family member (as defined by the Act)
  • Care or related activities arising from physical or domestic violence toward covered employee or family member
  • PTO may be used in one-hour increments unless employer has different written policy
  • Employer may require supporting documentation to support PTO

Penalties

  • Employees may file administrative claim to recover unpaid leave within six months of violation
  • $1,000 for failure to provide leave
  • $100 for failure to maintain workplace poster
  • Employer must retain records for one year

Questions?  Call Wright Beamer at (248) 477-6300 or email us at info@wrightbeamer.com and talk to one of our experienced employment law attorneys.