Michigan Public Act 338 (Earned Sick Time Act) and its amended form Public Act 369 (Paid Medical Leave Act) were passed in 2018 establishing the current Paid Medical Leave Act. On July 31, 2024, the MI Supreme Court ruled the amendments (PA 369 of 2018) unconstitutional for reasons stated in Mothering Justice v Attorney General, case no. 165325, rendering the amendments void and restoring the Earned Sick Time Act to its initial form as introduced in 2018.
Employer Coverage: All MI employers with 1 or more employees (US Government excluded)
Employee Coverage: All employees – Exempt and non-exempt salaried, full and part-time hourly. No Exemptions.
Minimum Requirements:
- Employers with 10 or more employees must allow at least 72 hours earned sick time.
- Employers with fewer than 10 employees must allow at least 40 hours earned sick time.
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- If an employee accumulates 40 hours of earned sick time and the employer caps paid sick time at 40 hours, the employee must be allowed to accrue an additional 32 hours of unpaid sick time.
- For additional information from the State of Michigan, please see the following link – Earned Sick Time.
Accrual & Use:
Accrual begins February 21, 2025, or the employee’s start date, whichever is later. Employees accrue sick time at a rate of at least one hour of paid earned sick time for every 30 hours worked. Sick time may be front-loaded at the beginning of the year. Sick time may be used as accrued, but employers can implement a 90-day waiting period.
- Carry Over – Employers will carry over unused paid sick time to the following year.
ACTION REQUIRED:
Please provide an accrual worksheet to the HCM Service Team to assist in setting up your Michigan Earned Sick Time plan, along with your communication to employees of the new policy. The accrual worksheet can be found here.
