Michigan adjusts wage payment law

Michigan has adjusted its wage payment provisions. Employers are required to pay the wages earned by the employee during the first 15 days of the preceding calendar month on or before the first day of each calendar month. In addition, employers are required to pay the wages earned by the employee the wages earned by the employee during the preceding calendar month from the 16th day through the last day on or before the fifteenth day of each calendar month.

Employers must pay individuals engaged in any phase of the hand harvesting of crops all wages earned in a week by the individual on or before the second day following the work week unless another method of payment is agreed upon by written contract.

Employers who have established a regularly scheduled weekly or biweekly payday is in compliance with the law (1) if both of the following conditions are met: (a) the wages are paid to the employee on the established regularly recurring payday and (b) the payday occurs on or before the 14th day following the end of the work period in which the wages are earned.

Employers who have established a regularly scheduled monthly pay period are also in compliance with the law if the employer pays to the employee, within 15 days after the end of a monthly pay period, all wages earned during the monthly pay period.

For employees’ overtime earnings earned during the month of December that would, in compliance with this section, be paid to the employees after the 16th of December, an employer is in compliance with the law if both of the following conditions are met: (a) employees receive all their wages, except overtime, for the month of December on or before the employees’ regularly scheduled payday and (b) all overtime wages earned during the month of December are paid on or before the next regularly scheduled payday following the payday in which the overtime would otherwise be paid.

Employers may pay wages more often than required by this section. (Act 170, H.B. 5235, Laws 2018, approved June 3, 2018, and effective September 2, 2018.)

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