Employment and labor laws in Michigan [Updated 2026]

Key takeaways

• Michigan's minimum wage rose to $13.73 per hour on January 1, 2026, and continues to increase annually.

• Michigan's Earned Sick Time Act (ESTA), effective February 21, 2025, now applies to ALL employers regardless of size. Large employers (11+ employees): up to 72 hours of paid sick leave per year. Small employers (≤10 employees): up to 40 hours paid plus 32 hours unpaid. Leave accrues at 1 hour per 30 hours worked.

• Michigan repealed its right-to-work law effective February 13, 2024. Employers and unions may now negotiate contracts that require union membership or dues as a condition of employment.

• The Elliott-Larsen Civil Rights Act prohibits employment discrimination based on more than 10 protected characteristics, including height, weight, marital status, and gender identity or expression, and is broader than federal law. It applies to employers with just one employee.

• Michigan has no statewide pay transparency law, though the state has considered such legislation.

• Workers' compensation is required for most Michigan employers with more than three employees.

• Michigan operates its own workplace safety program (MIOSHA) and requires Injury and Illness Prevention Programs (IIPP).

Across the US, employment laws protect employees from discrimination, exploitation, and unsafe conditions. The state of Michigan provides additional protections beyond federal requirements in key areas, particularly anti-discrimination, minimum wage, and earned sick time. Whether you're employing workers in Detroit, Grand Rapids, or elsewhere in the Great Lakes State, staying current with Michigan-specific rules is essential.

Employment vs. labor law: What's the difference?

While "employment law" and "labor law" are often used interchangeably, they cover distinct relationships. Employment law centers on the relationship between individual employees and their employers. Labor law pertains to employers and collective groups, like unions.

• Employment law covers work hours, overtime, wages, recruitment practices, retaliation, and workplace discrimination.

• Labor law is a subset covering collective action, including union membership, dues, and collective bargaining agreements.

Wages and hours in Michigan

Michigan's wage and hour laws are enforced by the Michigan Department of Labor and Economic Growth. Employers must comply with whichever standard, state or federal, is higher.

Minimum wage in Michigan

Michigan's minimum wage increases annually. As of January 1, 2026, the rates are:

• Most workers: $13.73 per hour

• Minors aged 16-17 (85% rate): $11.67 per hour

• Tipped employees: $5.49 per hour (tip credit toward full minimum wage)

• Training wage for minors aged 16-19 during first 90 days: $4.25 per hour (unchanged)

Michigan's minimum wage has increased every calendar year since 2014 and will continue to rise annually. Employers should check with the Michigan Department of Labor and Economic Growth each January to confirm the current rate.

Overtime pay in Michigan

Under the federal FLSA, non-exempt employees must be paid 1.5 times their regular rate for hours worked beyond 40 in a workweek. Exempt employees include those in administrative, executive, or professional roles, outside salespeople, and certain computer employees.

Pay transparency in Michigan

Michigan has no statewide pay transparency law. The state has considered pay transparency legislation, but no bill has passed. Under the federal National Labor Relations Act, Michigan employees have the right to discuss their compensation with coworkers and cannot face disciplinary action for doing so.

Control your headcount costs

See Rippling

Breaks and rest periods in Michigan

Michigan does not require employers to provide meal or rest breaks for adult employees. If breaks of between 5 and 20 minutes are provided, they must be paid under federal FLSA rules. Employers do not need to pay for meal periods of 30 minutes or more where the employee is fully relieved of duties, but must pay for all time worked, including during a designated "lunch break" if the employee performs tasks.

Minor employees are entitled to a 30-minute unpaid break after every five consecutive hours of work. Under the federal PUMP for Nursing Mothers Act, employers must provide reasonable unpaid break time and a private, non-bathroom space for nursing employees to express milk.

Leaves of absence in Michigan

Michigan has a limited set of state-specific leave requirements. Employers are not required to provide holiday, vacation, bereavement, or parental leave. However, the following leave types are required:

• FMLA: employers with 50 or more employees must provide eligible employees up to 12 weeks of unpaid, job-protected leave per year for serious health conditions, childbirth or adoption, or qualifying military family reasons.

• Crime victim leave: all employers must provide leave for employees who are crime victims or have immediate family members who are crime victims.

• Military, military family, and Civil Air Patrol leave: all employers must provide these leave types under federal USERRA and state law.

• Earned sick time: all employers must provide paid earned sick time under the ESTA (see below).

Jury duty is not a required leave type in Michigan, but employees' jobs are protected during jury service. While voting leave is not required by state law, employees generally cannot be penalized for voting.

Pregnancy disability leave in Michigan

Pregnancy disability leave in Michigan is covered under both the federal FMLA and the Michigan Earned Sick Time Act (ESTA). The FMLA allows eligible employees up to 12 weeks of unpaid leave for childbirth and serious health conditions, including pregnancy complications. Under the ESTA, employees may use accrued earned sick time for pregnancy-related conditions.

Earned Sick Time Act (ESTA): Michigan paid sick leave

Effective February 21, 2025, Michigan's restored Earned Sick Time Act (ESTA) significantly expanded mandatory paid sick leave coverage:

• Employers with 11 or more employees: must provide up to 72 hours of paid earned sick time per year

• Employers with 10 or fewer employees: must provide up to 40 hours of paid earned sick time plus 32 hours of unpaid earned sick time per year

Leave accrues at 1 hour per 30 hours worked, starting from the first day of employment. Employees may use accrued time after 90 days. Eligible uses include:

• The employee's own mental or physical illness, injury, or health condition

• Caring for a family member with a mental or physical illness, injury, or health condition

• Matters related to domestic violence, sexual assault, or stalking affecting the employee or a covered family member

• Public health emergencies

Automate and customize your leave policy

See Rippling

Workplace safety in Michigan

Michigan operates its own OSHA-approved state safety program through the Michigan Occupational Safety and Health Administration (MIOSHA). Employers must be MIOSHA compliant, which requires conducting worksite analyses to identify hazards, implementing hazard prevention and control, and training employees on safety procedures.

Michigan requires employers to develop Injury and Illness Prevention Programs (IIPP). Workers' compensation insurance is required for most employers with more than three employees.

Discrimination and harassment laws in Michigan

Michigan's Elliott-Larsen Civil Rights Act prohibits employment discrimination based on the following characteristics, and applies to employers with even a single employee:

• Race, color, national origin

• Religion

• Age

• Sex

• Sexual orientation

• Gender identity or expression

• Pregnancy status

• Height or weight

• Marital status

The Elliott-Larsen Act also prohibits sexual harassment. The Michigan Civil Rights Act extends pay discrimination protections to include disability status and genetic information.

Michigan does not specifically require sexual harassment prevention training for private employers, but the EEOC strongly recommends it. Training requirements vary by state. Employers are liable for harassment committed by their employees even if unaware of it.

Unions in Michigan

Labor unions advocate for better wages, benefits, and working conditions through collective bargaining. Under the National Labor Relations Act (NLRA), all US employees have the right to organize, bargain collectively, take collective action, or refrain from union activity. Employers cannot prohibit, punish, or threaten employees who join or support unions.

Michigan repealed its right-to-work law, effective February 13, 2024. Michigan is no longer a right-to-work state. Employers and unions may now negotiate contracts requiring union membership or the payment of union dues as a condition of employment.

How Rippling supports Michigan labor law compliance

Michigan has been significantly expanding employee protections in recent years: right-to-work was repealed in 2024, the restored Earned Sick Time Act now applies to all employers (effective February 2025), and the minimum wage continues to rise annually (reaching $13.73/hour in 2026). Rippling helps Michigan employers stay ahead of these evolving requirements without building compliance infrastructure from scratch.

• Rippling HR Services: helps Michigan employers manage HR administration, onboarding, and compliance workflows, including support for the Earned Sick Time Act's expanded coverage and workers' compensation enrollment.

• Rippling Payroll: automates Michigan's annual minimum wage updates, FLSA overtime compliance, paid sick leave deductions under the ESTA, and state income tax withholding, flagging violations based on each employee's work location.

• Rippling HRIS: centralizes employee records and compliance documentation, supporting audit readiness for the Michigan Department of Labor and Economic Growth or federal EEOC inquiries.

• Rippling Time and Attendance: tracks hours worked and earned sick time accrual (1 hour per 30 hours worked under ESTA) for all employees. This is essential now that paid sick leave applies to employers of every size in Michigan.

• Rippling Headcount Planning and Compensation Bands: centralizes headcount planning and compensation management so employers can maintain pay equity, set consistent salary ranges, and stay ahead of pay transparency laws.

• Rippling LMS: delivers ready-to-use compliance and harassment training courses, helping employers meet training best practices and reduce legal risk across their workforce.

FAQs about Michigan labor and employment laws