Minimum Wage Exemption Passes House

June 30, 2006

House Bill 6213 needs to be passed by the Michigan Legislature and signed by Governor Granholm.  Because Michigan's minimum wage law will be higher than the federal minimum wage come October 1, professions that are federally exempt from overtime laws, such as truck drivers, salespeople, taxi drivers and home health care workers, might no longer be exempt. This could also mean that commission-based employees would likely not be able to choose to work more than 40 hours a week without their employers giving them time and a half pay.

The Michigan House passed House Bill 6213 on Tuesday, June 20, to maintain the current level of exemptions from the minimum wage law and keep Michigan in line with the federal minimum wage exemptions. The bill is now stuck in the Senate. Please email our state Senator, Liz Brater, at senlbrater@senate.michigan.gov and encourage her to vote for the bill.

Earlier this year, the Legislature and the Governor agreed to raise the minimum wage to $6.95 on October 1, 2006, $7.15 on July 1, 2007 and $7.40 on July 1, 2008. The Ann Arbor Area Chamber supports House Bill 6213. Michigan should remain in line with the federal fair labor standards act regarding exemptions from the minimum wage and overtime. Eliminating the exemption status of certain types of employees and requiring overtime would have a significant impact on employers in the Ann Arbor area. The Senate should pass this legislation and the Governor should sign it.

(Source: Gongwer Michigan Report)