Changes to Michigan Earned Sick Time Act (ESTA)
Discovering
The Michigan Earned Sick Time Act (ESTA) is set to take effect on February 21, 2025, introducing expanded paid sick leave requirements for employees in Michigan.
Who Is Affected:
- Employers: All Michigan employers with one or more employees, excluding the U.S. government, are subject to ESTA.
- Employees: The Act covers all employees, including full-time, part-time, salaried (both exempt and non-exempt), and hourly workers.
Accrual and Usage of Sick Time:
- Accrual Rate: Employees accrue one hour of sick time for every 30 hours worked.
- Annual Usage Limits:
- Employers with 10 or more employees must allow up to 72 hours of paid sick time per year, subject to accrual.
- Employers with fewer than 10 employees must provide at least 40 hours of paid sick time and an additional 32 hours of unpaid sick time annually, subject to accrual.
- Carryover: Unused sick time can be carried over to the next year; however, employers may limit annual usage to 72 hours.
Permissible Uses of Sick Time:
Employees may use accrued sick time for:
- Their own or a family member’s mental or physical illness, injury, or health condition.
- Medical diagnosis, care, or treatment.
- Preventive medical care.
- Circumstances related to domestic violence or sexual assault, including medical attention, victim services, counseling, relocation, or legal proceedings.
Employer Compliance Requirements:
- Notification: Employers must inform employees about their rights under ESTA, including the amount of sick time, terms of use, and protection against retaliation.
- Recordkeeping: Employers are required to maintain records of hours worked and sick time taken by employees.
For detailed information and updates, employers and employees should consult the Michigan Department of Labor and Economic Opportunity’s resources.