Michigan Supreme Court Blocks $15 Minimum Wage Proposal from 2024 Ballot

The state’s Supreme Court has ruled against certifying a ballot initiative that sought to raise the minimum wage to $15 an hour. This proposal, championed by Raise the Wage MI, also aimed to align the lower minimum wage for tipped workers with the regular wage. However, in a unanimous 7-0 order, the justices declared that the initiative failed to meet the stringent legal standards required for ballot inclusion.

Justice Brian Zahra, in a concurring statement, articulated the court’s reasoning, emphasizing that the ballot committee did not demonstrate a clear legal right to warrant mandamus relief. The deadlock of the four-member Board of State Canvassers in October further complicated matters, as they were split on how to handle the petition’s problematic wording despite the Michigan Bureau of Elections’ recommendation to approve the signatures gathered.

The rejection of this ballot proposal marks a significant moment in the ongoing debate over wage policies in Michigan. Yet, this battle is far from over. A separate legal case concerning the controversial tactics employed by Republicans in 2018 to undermine minimum wage and paid sick leave laws remains unresolved. The high court is expected to deliver a ruling on the constitutionality of these maneuvers by the end of July. Should the court reinstate the original laws, both the minimum wage and the tipped wage could see substantial increases.

Against this backdrop, advocates for the $15 minimum wage continue their efforts to influence the Democratic-led Legislature and Governor Gretchen Whitmer. They are urging the enactment of a $15 minimum wage and the elimination of the tip credit, which allows servers and bartenders to be paid less than the minimum wage as long as their tips make up the difference. This push faces staunch opposition from the restaurant industry, which is keen to maintain the tipping system.

The controversy surrounding the ballot measure was exacerbated by a clerical error that fundamentally altered its scope. Originally, the proposal intended to reduce the number of workers needed to trigger minimum wage laws from two to one. However, the petition language was inadvertently changed, leading to confusion and potential misinterpretation of the initiative’s intent. This discrepancy played a crucial role in the Board of State Canvassers’ decision to block the measure, citing a failure to obtain preapproval of an accurate statement of the petition.

“Plaintiff claimed that its summary had received preapproval given, in plaintiff’s view, that the amended petition was not materially different than the version initially submitted. However, the preapproval process requires ‘a true and impartial statement’ for ‘the proposed amendment or question proposed,” Zahra wrote. “It was abundantly reasonable for the Board to conclude that plaintiff failed to obtain preapproval of an accurate statement of the petition submitted for final approval, which, rather than increasing the minimum wage for all employees, may have served to eliminate it for thousands.”

Under current law, Michigan’s minimum wage is set to gradually increase to $12.05 by 2031. In stark contrast, Raise the Wage MI’s initiative proposed a more aggressive schedule, incrementally boosting the minimum wage to $15 by 2027 and then tying future increases to inflation. The tipped wage, currently pegged at 38% of the regular wage, would have risen until it matched the regular wage by 2028.

John Sellek, spokesperson for Michigan Opportunity, a coalition of business groups opposing the initiative, welcomed the court’s decision. He argued that the proposal was “fatally flawed” and would have had significant negative impacts on the state’s economy.

In response, Saru Jayaraman, President of One Fair Wage, expressed disappointment but remained hopeful. She highlighted the Supreme Court’s upcoming decision on the 2018 adopt-and-amend strategy, which could potentially raise wages for nearly a million Michiganders. Jayaraman reiterated the importance of legislative action to achieve a $15 minimum wage, emphasizing the need to uphold the voices and rights of Michigan workers.

The struggle for a livable wage in Michigan is emblematic of a broader national movement addressing economic inequality and workers’ rights. The current minimum wage, $10.33 an hour, is inadequate for many workers struggling to make ends meet. The proposed increase to $15 an hour represents not just a financial boost, but a step towards economic justice and dignity for all workers.

The discourse around minimum wage laws is multifaceted, involving complex legal, economic, and social considerations. While opponents argue that higher wages could lead to job losses and economic downturns, proponents assert that a living wage is essential for reducing poverty and stimulating economic growth through increased consumer spending.

As the legal battles continue and advocacy efforts persist, the outcome of this debate will have profound implications for the future of labor rights and economic policy in Michigan. The fight for a fair minimum wage is not merely about dollars and cents; it is about recognizing the value of work, ensuring economic stability, and promoting social equity.

Michigan stands at a crossroads, with the potential to set a precedent for the nation. The resolution of this issue will determine not only the livelihoods of countless workers but also the moral and economic trajectory of the state. The quest for a $15 minimum wage remains a critical front in the broader struggle for economic justice, a cause that resonates deeply with the principles of fairness and opportunity that define the American dream.