REMINDER: State Minimum Wage Increase Effective January 2026

As explained in our February 24, 2025, E-Blast, under Public Act 1 of 2025, Michigan’s minimum wage will increase as follows for staff who are not exempt from Fair Labor Standards Act minimum wage requirements (e.g., hourly staff members):

• January 1, 2026: $13.73/hour
• January 1, 2027: $15.00/hour

By November 1 of each year, starting in 2027, the State Treasurer will publish minimum wage rates for the immediately succeeding calendar year based on the Consumer Price Index for the Midwest region, CPI-U.

Effective January 1, 2026, schools must ensure that all non-exempt employees are paid at least the new State minimum wage of $13.73 per hour regardless of any collective bargaining agreement or individual employment contract that contains a lower pay rate.

If your school has implementation questions, or needs assistance navigating discussions with local bargaining units, please contact a Thrun labor attorney.