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Thursday, January 9, 2025

Michigan legislature faces key issues: sick leave law reform among top priorities

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Sandy K. Baruah President and Chief Executive Officer at Detroit Regional Chamber | LinkedIn

Sandy K. Baruah President and Chief Executive Officer at Detroit Regional Chamber | LinkedIn

As Michigan's 103rd Legislature begins its session, the Detroit Regional Chamber's Public Policy and Business Advocacy team has identified key legislative priorities for the business community. The team's focus during the first 100 days includes addressing issues related to earned sick time and minimum wage, road funding, economic development, and budget considerations.

The Earned Sick Time Act (ESTA) and Tipped Minimum Wage were not resolved by the end of 2024. This leaves businesses needing to adjust their policies by February 21, 2025. "Finding a solution to this issue, especially before Feb. 21, is a top priority for the Chamber’s Public Policy and Business Advocacy team," said a spokesperson from the Chamber.

Road funding is another major concern. Speaker Matt Hall prioritizes local road funding using current resources. Discussions in the previous session included potential new revenue through corporate income tax as part of broader economic development deals.

Economic development incentives remain crucial for the Chamber. Efforts to extend SOAR stalled recently, and plans for Renaissance Center redevelopment failed to gain traction. Speaker Hall has shown little support for these projects while Senate Democrats emphasize neighborhood development and talent retention.

Governor Gretchen Whitmer will present her budget priorities in February, with expectations of investments in public education and health programs. The Senate Fiscal Agency reports a possible $1 billion surplus next fiscal year. "Chamber staff expects that the House Republican budget will focus on redirecting current spending," stated a Chamber representative.

Leadership changes in Michigan's House include Matt Hall as Speaker of the House and Ranjeev Puri as Minority Leader among others.

The Chamber supports policies that enhance Michigan's competitiveness globally by reducing business costs through streamlined government processes. Their guiding principles cover areas such as economic development, talent enhancement, mobility industry support, regional growth collaboration, and promoting democracy and equity.

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