Michigan Employment Law

On September 5, 2018, the Michigan Legislature enacted the initiative called the “Earned Sick Time Act,” which generally required employers to provide paid sick leave to employees. The newly enacted “Paid Medical Leave Act” replaces and greatly alters the “Earned Sick Time Act” passed in September. Michigan’s new Paid Medical Leave Act (“Act”) will go into effect on March 29, 2019.

On July 19, 2022, the Michigan Court of Claims held that this adopt-and-amend procedure was unconstitutional.  Unless this decision is stayed by the appeals court, the ruling will reinstate the initial, unamended laws, broadening paid sick leave available to employees. Employers with 10 or more employees must comply with the Paid Medical Leave Act (PMLA).

Accrual and Leave Carry Overs

Paid medical leave is accrued at a rate of 1 hour for every 35 actual hours worked; however, an employer is not required to allow accrual of over 1 hour in a calendar week or more than 40 hours in a benefit year. A benefit year is any consecutive 12- month period used by an employer to calculate an eligible employee’s benefits. Employees can carry over up to 40 hours of unused accrued paid medical leave from one benefit year to the next; however, employers are not required to allow employees to use more than 40 hours in a single benefit year. The time begins to accrue on the effective date or date of hire, but the employer may allow new employees to wait 90 days before using their time.

Employers can also pro-rate time for new employees. The law creates a rebuttable presumption that an employer is in compliance with the law if the employer provides the requisite hours annually. This time can include, paid vacation days, personal days, and paid time off.  The law specifies time may be used in 1-hour increments unless the employer has a different increment policy and that policy is in writing in an employee handbook. The law requires the employer to pay at a pay rate equal to the greater of either the normal hourly wage, the base wage, or the applicable minimum wage rate.

This and FMLA leave of absence for employees who become parents of newly born, adopted or fostered child(ren); or who request leave to care for their newborn child. An eligible employee is entitled to a total of 12 workweeks of FMLA leave during a 12 month period. Parental leave must conclude within 12 months of the birth or placement. After exhausting FMLA leave entitlement, an employee may be eligible for a parental leave of absence for birth or adoption for up to six months, as provided in CS Regulations or the applicable collective bargaining agreement. Sick leave may not be used to substitute unpaid Parental Leave for paid leave. Parental leave taken under the FMLA may count against other parental leave entitlements.

Long Term Disability (LTD) is a self-funded program that provides income protection if you should lose wages as a result of a medical injury, illness, or pregnancy that results in a total disability of a least 14 calendar days.

Employers may not discharge or discipline an employee for taking time off from work to serve on a jury. Leave is generally unpaid.

An employee who is a victim of a crime or a representative of a crime victim is entitled to take time off from work to testify in or attend a judicial proceeding. Leave is unpaid.

Members of state or U.S. uniformed services called into active state or federal duty may take unpaid leave; the employee may also take unpaid leave to take a physical, enlist, be inducted, or attend training. The returning employee must be reinstated to the former position. An employer may not in any way discriminate against an employee or threaten to prevent an employee from enlisting in the state armed forces.