Michigan FLSA Laws: Your Guide to Compliance
Safeguard Your Business with Michigan-Specific FLSA Auditing
Minimum Wage in Michigan
- Federal FLSA: $7.25/hour.
- Michigan Law: $10.33/hour (non-tipped) as of January 1, 2024, with annual CPI adjustments—$10.64/hour effective January 1, 2025 (Michigan Compiled Laws § 408.934). Tipped employees: $4.04/hour with a $6.60 tip credit. Planned increase to $12.00+ stalled by court ruling.
- What You Need to Know: Higher state rate applies—violations can lead to triple damages and fines up to $1,000 per offense.
Overtime Pay
- Federal FLSA: 1.5x regular rate for hours over 40/week.
- Michigan Specifics: Matches federal 40-hour rule. Overtime based on state minimum wage ($15.96/hour in 2025). No fluctuating workweek method allowed (Michigan Compiled Laws § 408.934a).
- Risk: Misclassifications or unpaid overtime can trigger state or DOL penalties.
Child Labor
- Michigan Rules: Minors under 14 restricted to limited roles; 14–15 capped at 3 hours/school day, 8 hours/non-school day; 16–17 barred from hazardous jobs. Work permits required under 18 (Michigan Compiled Laws § 409.103).
- Federal FLSA: Aligns, but Michigan’s permit rule is stricter—state law applies.
Recordkeeping
- Federal FLSA: 3-year retention of payroll and hours records.
- Michigan Addition: 3 years minimum, with detailed pay stubs required showing hours, wages, and deductions (Michigan Compiled Laws § 408.939).
Enforcement & Penalties
- Federal: DOL penalties, back wages, up to $1.2M average for violations.
- Michigan: Triple damages for unpaid wages (willful violations), fines up to $1,000 per violation, enforced by MI LEO (Michigan Compiled Laws § 408.940).
Why It Matters for Your Business
- CFOs and Managers: Michigan’s $10.64 minimum wage, annual increases, and triple-damage penalties create compliance complexity. A payroll error could cost thousands—or millions in a DOL audit.
- Avoid Costly Mistakes: Stay compliant with expert FLSA auditing tailored to Michigan laws.
Schedule Your Michigan FLSA Audit Today
