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Reminder: Michigan's Minimum Wage Rate Set to Increase July 1, 2008

June 30, 2008

Effective July 1, 2008, Michigan's minimum wage rate will increase from $7.15 per hour to $7.40 per hour.  With that increase, the 85 percent sub-minimum wage rate that Michigan employers may pay to employees under 18 years of age will increase from $6.08 per hour to $6.29 per hour.

As previously reported by Miller Canfield, the sub-minimum wage rate for tipped employees will remain at $2.65 per hour so long as the employee's reported tips amount to at least $4.75 per hour, making the combined hourly rate for tipped employees equal to or greater than the new minimum wage rate of $7.40. 

Michigan's minimum wage remains higher than the federal minimum wage, which will increase from its current $5.85 per hour to $6.55 per hour on July 24, 2008.

For further information, contact Scott R. Eldridge, 517.483.4918.