Grand Rapids Chamber Assists Businesses in Navigating Minimum Wage Change

Significant Changes in Minimum Wage and Sick Paid Leave Laws

In Grand Rapids, a new initiative underway to assist businesses adapt to the recent changes in the state’s minimum wage and sick paid leave laws. This initiative was launched by the Grand Rapids Chamber.

Commencing from February 21, 2025, the minimum wage for both regular and tipped workers will increase to over $12 an hour in Michigan. This increase will persist annually through to 2028 with adjustments for inflation. Additionally, many businesses will now be required to provide paid sick leave to the employees.

This major reform can be traced back to a decision by the Michigan Supreme Court. The Republican-controlled Legislature had earlier in 2018 used an “adopt-and-amend” tactic that was later deemed unconstitutional by the court in a 4-3 ruling.

Grand Rapids Chamber’s Initiative

Following this, the Grand Rapids Chamber has started offering support to businesses. They conducted a webinar in collaboration with a legal expert at Smith Haughey Rice & Roegge to answer queries about the new minimum wage and sick paid time initiatives, further explaining how it compares to the prevailing law and what businesses should do to prepare.

According to Joshua Lunger, the vice president of government affairs with the Grand Rapids Chamber, there has been a massive response of concerns. Lunger stated that the chamber is working on determining the best way to proceed while providing clarity to the businesses and individuals who need it.

The Grand Rapids Chamber has already scheduled meetings with both Democrat and Republican leaders on this issue.

Implications For Businesses

Concerns are particularly rife among small employers and those working in the service industry. They are apprehensive about how these changes could affect their businesses. Some worry about the possibility of a domino effect following the wage increase. There are also contrasting reactions to the ruling from the Republican and Democrat parties.

In light of these concerns, the Grand Rapids Chamber is looking to create a bipartisan consensus to address these issues and offer fitting solutions. Meanwhile, businesses are encouraged to stay informed and prepare for these changes.