Michigan minimum wage to rise twice in 2025

In the highest judicial office in Michigan, a complex court dispute was ultimately resolved. It was about a legislature’s constitutional limits. However, employees and entrepreneurs will be the ones affected.

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    The minimum wage in Michigan will rise twice in 2025, once in January and again in February to accommodate a new rate set by the treasury department
    
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    The increase is tied to a high court ruling that decided a previous move by the legislature to adopt and amend a ballot proposal dealing with the minimum wage was unconstitutional
    
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    The new minimum wage in 2025 will be $12.48 by Feb. 21
    

• 
  The minimum wage in Michigan will rise twice in 2025, once in January and again in February to accommodate a new rate set by the treasury department
  
• 
  The increase is tied to a high court ruling that decided a previous move by the legislature to adopt and amend a ballot proposal dealing with the minimum wage was unconstitutional
  
• 
  The new minimum wage in 2025 will be $12.48 by Feb. 21
  

(FOX 2):An raise in Michigan’s minimum wage is one of the most significant changes that will occur in the state next year.

In 2025, workers can anticipate two raises, the second of which will raise the minimum wage by over $2. The anticipated increase is linked to a court decision earlier this year, even though the state is in charge of updating the base wage rate that companies are required to pay their workers.

The minimum wage will increase from $10.33 to $10.56 per hour under the first increase. Inflation is the cause of that growth.

The second raise, which would raise the wage to $12.48 per hour, will go into effect in February. In July, a lower court decision was reversed by that increase.

Following the state Supreme Court’s judgment in a lengthy case concerning the adoption and amendment of a ballot initiative that suggested raising the minimum wage, the state’s Department of Labor and Economic Opportunity revealed the schedule for the 2025 minimum wage rate hike.

Michigan minimum wage schedule

Earlier in October, Michigan announced the 2025 minimum wage schedule.

The following minimum wage increases will occur in the order listed below after the second increase takes effect:

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  Feb. 21, 2025 – $12.48
  
• 
  Feb. 21, 2026 – $13.29
  
• 
  Feb. 21, 2027 – $14.16
  
• 
  Feb. 21, 2028 – $14.97
  

Additionally, hourly and tipped workers will get an increase in the minimum wage:

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  Feb. 21, 2025 – $5.99
  
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  Feb. 21, 2026 – $7.97
  
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  Feb. 21, 2027 – $9.91
  
• 
  Feb. 21, 2028 – $11.98
  

What’s behind the wage hike?

The Michigan Supreme Court over the summer overturned a lower court judgment that upheld the legislature’s 2018 decision to “adopt and amend” a minimum wage ballot initiative.

At first, the plan would have increased hourly workers’ earned sick leave and the state minimum wage. The legislature decided to adopt the idea before weakening it, rather than letting voters decide on it during the election.

This tactic lowered the pay increase and was eventually the subject of a lawsuit alleging unconstitutionality.

By a vote of 4-3 this past summer, the top court ruled in favor of the plaintiffs and mandated the reinstatement of the proposal’s original aim. Following the court’s clarification, the Treasury published its revised schedule, which began with $12.48 in February.

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