- Reviewing the Changes on ESTA and Minimum Wage Laws
Last week, Governor Whitmer signed bills HB 4002 and SB 8, which amended the Earned Sick Time Act (ESTA) and the tipped minimum wage law standards that were set to go into effect February 21, 2025. Now, employers will need to adjust their policies to reflect the changes set forth in the bills.
Why it Matters: Employers with 11 employees or more must offer 72 hours of paid sick leave, employers with 10 or fewer employees must offer 40 hours of paid sick leave, and employers are now allowed to frontload sick time. Minimum wage was increased to $12.48 beginning February 21, 2025, $13.71 on January 1, 2026, $15 on January 1, 2027, respectively. Beginning January 1, 2028, and each following year, the minimum wage will increase by the rate of inflation, provided unemployment remains below 8.5%. Read more from your Fraser Trebilcock attorney.
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- FinCEN Update: CTA Reporting Requirement Back On
February 18, 2025, the United States District Court in Texas that had ordered the injunction that had paused enforcement of the Corporate Transparency Act’s (“CTA”) Beneficial Owner Information Reporting (“BOIR”) requirements has granted the government’s request for a stay of that injunction pending appeal.
Why it Matters: This means that FinCEN is authorized to enforce the BOIR requirements, yet again. However, because the Department of the Treasury recognizes that reporting companies may need additional time to comply with their BOI reporting obligations, FinCEN is generally extending the deadline 30 calendar days from February 19, 2025, for most companies. Read more.
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- Fraser Trebilcock Welcomes Dakota A. Larson to the Firm
We are pleased to announce the hiring of Dakota A. Larson who will primarily work in the firm’s Lansing office.
Why it Matters: Ms. Larson focuses on insurance defense and business matters. She has experience handling complex liability, coverage, and bad faith claims in multiple lines of insurance and in multiple jurisdictions. Learn more.
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- Sixth Circuit Upholds Employment Arbitration Provisions Without Explanation Requirement
The U.S. Court of Appeals for the Sixth Circuit recently ruled in Gavette v. United Wholesale Mortgage, LLC that employment arbitration provisions are binding even when employers don’t explain them to an employee or suggest seeking legal advice before signing.
Why it Matters: This decision reinforces that employees are responsible for documents containing arbitration provisions, regardless of their understanding of the terms, giving Michigan employers greater certainty that their arbitration agreements will be enforced without additional procedural requirements.
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- Michigan Cannabis Exceeds $247 Million in January ‘25
Cannabis sales surpassed $247 million in January 2025, via the monthly report from the Michigan Cannabis Regulatory Agency. Michigan adult-use sales came in at $246,615,619.35, while medical sales came in at $710,061.91, totaling $247,325,681.26.
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.
Related Practice Groups and Professionals
Labor, Employment & Civil Rights | David Houston
Business & Tax | Robert D. Burgee
Dakota Larson
Cannabis Law | Sean Gallagher