On July 19, 2022, the Michigan Court of Claims reinstated the Earned Sick Time Act (ESTA) and Improved Workforce Opportunity Wage Act as originally adopted in 2018. This voids the amendments made to those acts, which created Michigan’s Paid Medical Leave Act (PMLA). Unless reversed on appeal, the ESTA will become effective in February 2023, impacting Michigan employers of all sizes.
Unlike the PMLA, the ESTA will apply to virtually all employers – not just those with 50+ employees. Employers with less than 50 employees who were not covered by the PMLA will need to ensure they have an earned sick time policy in place to meet the ESTA’s requirements. Employers who have a policy covering earned sick time or other forms of paid leave will need to review and likely revise their policy to ensure compliance with the ESTA, which has broader requirements than the PMLA.
So what does the ESTA change for employers? Unlike the PMLA, the ESTA does not exclude temporary employees, exempt employees or any part-time employees. The ESTA also changes accrual rates, overall leave entitlements, covered family members, qualifying reasons and more.
Just this afternoon, Warner presented the webinar “The Return of the Earned Sick Time Act as Originally Adopted,” where attorneys Allyson Terpsma and Anne Steen addressed many of these changes. If you didn’t attend the webinar and would like to receive the recording, please click here.
Due to the urgency and complexity of the changes, employers will need assistance in making updates to their policies or will need to create new policies that adhere to the ESTA’s requirements. This is where Warner can help!
Warner’s Labor and Employment Practice Group has developed an ESTA policy template for a purchase price of $350.00. We are also available to help employers revise existing policies to ensure compliance.
If you are interested in purchasing the template for a fixed price of $350.00, or need assistance in revising your current policy, please contact your Warner attorney or Liz Burnson at email@example.com or 616.752.2450.