Michigan Labor Relations Laws

Michigan allows employers to award compensatory time instead of overtime.impiegato image by haruspex from Fotolia.com

Michigan provides certain guidelines for businesses that operate in the state. These guidelines explain what employers may and may not do in regard to policies such as vacation time, overtime and work limits. Michigan employers who are aware of the state's labor laws can help work toward remaining compliant.

Time Off

Michigan does not require employers to provide paid time off from work. This includes vacation time, sick time and paid holidays. Michigan requires employers to comply with all time off policies stated in their written documents. Employers must also provide accommodations to employees to observe religious holidays. The most common example of a reasonable accommodation is a flexible work schedule.

Even though Michigan does not require employers to provide paid time off, they do require employers to comply with the Family Medical Leave Act. This allows employees who have worked more than 12 months and 1,250 hours for a company to take up to 12 weeks of unpaid leave to address a serious medical condition. The employee must be allowed to return to his original job upon returning or one with equal pay and benefits.

Michigan sets its minimum wage at $7.40 per hour, which is above the federal minimum wage threshold. Employers may pay any employees younger than 18 a rate that's 85 percent of minimum wage. Employers must also pay an employee for any outstanding wages and for any unused vacation pay upon termination of employment, regardless of whether the employee quit or was fired.

Michigan allows employers to schedule any employee over 18 for as many or as few hours of work as the employer desires. Employees under 18 may not average more than eight hours per day during any work week. For example, if a minor works four days in a week, she may not work more than 32 hours for the week. In addition, minors cannot work more than 10 hours during any single day. The employer must also provide minor employees at least one day off per week.

Employees who work more than 40 hours during a week must be compensated at one-and-one-half the employee's normal wage. This can either be overtime pay or compensatory time, which can be used as vacation time. Employees with 240 hours of accrued comp time must receive overtime pay for any additional hours. The overtime policy must be established and communicated before an employee works overtime. Certain white-collared employees who make more than $455 per week may be exempt from overtime laws.

Michigan does not allow employers to discriminate on the basis of age, sex, gender or national origin. Employers may also not harass an employee on this basis or allow age, sex, gender or nationality to negatively impact his employment. Examples of negative impact include demotion, failure to promote or firing.