As of today, Friday, February 21, 2025, Michigan’s Earned Sick Time Act (ESTA) is scheduled to take effect. Guidance on the Act as currently written is available on the Michigan Department of Labor and Economic Opportunity Wage and Hour Division’s website.
However, both the Michigan House of Representatives and the Michigan Senate have proposed amendments that, if enacted, would significantly revise the Act. These proposed changes differ substantially from each other, creating uncertainty for employers. The Michigan House has already passed its version and sent it to the Senate for consideration. Meanwhile, the Senate has held hearings on its own proposed amendments but has yet to pass either its version or the House’s amendments.
Governor Gretchen Whitmer has urged legislative leaders to reach a compromise before the Act takes effect on February 21. She has also called for a delay in implementation until July 1, 2025, to allow businesses time to adjust. Both House Speaker Matt Hall and Senate Democratic Majority Leader Winnie Brinks have expressed a commitment to finding a resolution, but the differences between the proposals may prevent an agreement before the deadline.
Given the current uncertainty, employers should be prepared to comply with ESTA in its current form starting February 21, 2025. However, it may be wise to hold off on formally rolling out any policy changes until the legislature makes a final decision.
