LANSING, Mich. – The state of Michigan has announced the minimum wage will increase from $9.87 to $10.10 per hour on Jan. 1, 2023.
The new increased wage is set by Michigan’s Improved Workforce Opportunity Wage Act of 2018.
Along with the $0.23 per hour increased minimum wage, the 85% rate for minors aged 16 and 17 will increase to $8.59 per hour, which is $0.20 higher than the previous wage. For tipped employee rate of hourly pay increases to $3.84 per hour.
The training wage of $4.25 per hour for newly hired employees ages 16 to 19 for their first 90 days of employment remains unchanged.
Along with Michigan, there are 12 other states that are raising their minimum wage in 2023, according to the Economic Policy Institute:
- New Jersey
- New Mexico
- Rhode Island
There’s pending litigation that might affect Michigan’s minimum wage increase in 2023. This litigation includes a petition that One Fair Wage organized in 2018, which looked to increase the minimum wage to $12 in 2022. According to the state, the legislature adopted this legislation and then amended it, estimating that the minimum wage will increase to $12.05 by 2030 instead of 2022. The Court of Claims will be coming together on Feb. 19, 2023, to accommodate changes required by the legislature ruling, as the original ruling has been appealed.
To learn more about minimum wage in Michigan, click here.
Related: New bill introduced to slow minimum wage increase for tipped workers in Michigan