Michigan Minimum Wage Set to Increase Jan. 1

December 5, 2022

Hourly Rate Will Increase to $10.10, $3.84 for Tipped Employees

On January 1, 2023, Michigan's minimum wage rate will increase from $9.87 to $10.10 per hour as set by Michigan's Improved Workforce Opportunity Wage Act of 2018 establishing the annual schedule of increases.


Effective January 1, 2023:

  • The minimum hourly wage will increase to $10.10 per hour.
  • The 85% rate for minors aged 16 and 17 will increase to $8.59 per hour.
  • The tipped employee rate of hourly pay increases to $3.84 per hour.
  • The training wage of $4.25 per hour for newly hired employees ages 16 to 19 for their first 90 days of employment remains unchanged. 


There is pending litigation that might affect this minimum wage increase:

  • In 2018, a petition initiative organized by One Fair Wage sought to allow voters to decide on raising Michigan’s minimum wage to $12 an hour by 2022 and raise the minimum wage for tipped workers to 80% of the standard minimum wage in 2022, 90% in 2023 and ultimately match it in 2024.
  • The Legislature adopted the legislation and then amended it in 2018, putting in lower wage thresholds that increased the minimum wage to $12.05 by 2030 instead of 2022 and kept the tipped minimum wage at 38% of the standard one. As a result, the state's current hourly minimum wage is $9.87 and $3.75 for workers who are expected to make up the difference in tips.
  • The Legislature’s amendment has been challenged in court as unconstitutional. On July 19, 2022, the Court of Claims issued a decision that agreed with that challenge and voided the amended versions of the Michigan Improved Workforce Opportunity Wage Act and Paid Medical Leave Act in favor of their original, unamended versions. 
  • On July 29, 2022, the Court of Claims entered an order staying the effect of this decision until February 19, 2023, to give employers and the relevant state agencies time to accommodate the changes required by the ruling.
  • The Court of Claims’ ruling has been appealed. Pending final resolution of the appeal, and lifting of the stay, under the potential implementation of the originally adopted petition, the minimum wage rate for 2023 would be $13.03 and $11.73 for tipped employees.


For further information regarding the pending minimum wage litigation, and potential amended minimum wage rates as a result of that litigation, or a copy of the Improved Workforce Opportunity Wage Act and related resources, including the required poster, visit Michigan.gov/WageHour.

April 28, 2025
Agency Is At 'Forefront Of Protecting Michigan Workers By Fostering Safe & Healthy Workplaces'
April 25, 2025
Employer-Led Collaborative Saves Department More Than $70,000 In Training Costs
April 25, 2025
Gov. Whitmer Proclaims April 27-May3, as Workplace Rights Week In Michigan
April 21, 2025
MWC launches ‘Menopause: It’s a Movement!’ statewide listening sessions
April 14, 2025
$16 Million Available To Help Michigan Businesses Grow, Retain Workforce
April 8, 2025
Pathfinder Career Exploration Tool Prepares Job Seekers For Bright Futures In Michigan
March 28, 2025
Change To Michigan Law Also Boosts Amount For Each Dependent, Additional Weeks
March 21, 2025
Using Unofficial UIA Documents Could Delay Receiving Benefits; Use Caution
March 20, 2025
We're Serving Up Hot Dogs And Hot Jobs This June! Come Hungry, Leave With A Job!
March 20, 2025
Young Professionals Initiative Offers Introduction To Career Exploration, Job Skills & earned Income
More Posts