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Five Stories That Matter in Michigan This Week – January 24, 2025

  1. Michigan House Passes Bills on Minimum Wage, Paid Sick Leave

This week, the Michigan House of Representatives passed HB 4001 and 4002, which address the coming changes to the minimum wage law and the Earned Sick Time Act (ESTA), respectively, and which are set to go into effect on February 21, 2025. Now the bills are sent to the Senate for consideration.

Why it Matters: This comes in response to a significant Michigan Supreme Court from last summer that reimplemented a citizen initiated law mandating raising minimum wage to $15 by 2028,  phasing out the tipped minimum wage system, and requiring paid sick time for nearly every Michigan worker.

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  1. Corporate Transparency Act Update – U.S. Supreme Court Lifts Nationwide Injunction –

On January 23, 2025, the United States Supreme Court granted the government’s request to lift one of the nationwide injunction that had been preventing enforcement of the Corporate Transparency Act (“CTA”). However, due to another similar injunction that was not addressed by the Court, FinCEN has provided the following guidance.

Why it Matters: As a separate nationwide order issued by a different federal judge in Texas (Smith v. U.S. Department of the Treasury) still remains in place, reporting companies are not currently required to file beneficial ownership information with FinCEN despite the Supreme Court’s action in Texas Top Cop Shop. Reporting companies also are not subject to liability if they fail to file this information while the Smith order remains in force. However, reporting companies may continue to voluntarily submit beneficial ownership information reports. Read more.

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  1. Federal Court Strikes Down 2024 Title IX LGBTQ+ Protections 

A federal judge in Kentucky recently invalidated the Biden administration’s 2024 Title IX regulations that would have expanded protections for LGBTQ+ students nationwide. The ruling found that the U.S. Department of Education exceeded its authority in attempting to broaden Title IX’s scope to include gender identity discrimination.

Why it Matters: While this ruling reverts federal standards back to 2020, Michigan schools must still comply with the state’s Elliott-Larsen Civil Rights Act, which protects students from discrimination based on gender identity, sexual orientation, and gender expression.

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  1. Michigan Cannabis Exceeds $265 Million in December ‘24

Cannabis sales surpassed $265 million in December, via the monthly report from the Michigan Cannabis Regulatory Agency. Michigan adult-use sales came in at $264,689,198.93, while medical sales came in at $815,759.74, totaling $265,504,958.67.

Why it Matters: While the prices of cannabis and cannabis-related products continue to decrease and make consumers happy, growers on the other hand are seeing profits decrease resulting in them seeking ways to halt new licenses to be granted in an effort to steady prices.

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  1. Business Education Series: Your Comprehensive Guide to Driving Employee Engagement

The workforce is facing challenges like talent shortages and quiet quitting, making it crucial to attract, engage, and retain employees. With 75% of turnover preventable, employers who create engaging environments focused on essential needs can better retain and attract talent.

Why it Matters: During the January Business Education Series, facilitated by Cheryl Kuch, Senior Consultant, Rehmann, discover what top organizations do to foster engagement and gain best practices to protect your most valuable asset—your people. Hosted at the Lansing Regional Chamber of Commerce. More information.

Related Practice Groups and Professionals 

Labor, Employment & Civil Rights | David Houston
Business & Tax | Robert D. Burgee
Cannabis Law | Sean Gallagher