Legislation Championed by Chamber to Preempt Local Labor Laws Sent to Gov

June 22, 2015

Despite strong opposition from local government and organized labor, legislation prohibiting local units of government from adopting laws related to employee wages or benefits, such as local leave mandates, local wage or fringe benefit mandates, local scheduling or shift mandates and local minimum or prevailing wage ordinances has been sent to Governor Snyder’s desk. We fully expect the Governor to sign this important legislation. 

House Bill 4052, introduced by Rep. Earl Poleski (R-Jackson), was developed at the Chamber's urging due to a growing movement by local units of government to pass aggressive and burdensome ordinances and laws governing private sector employers’ relations with their employees. Proponents of these laws have placed several Michigan cities on their target list, hoping to pass local laws mandating employee leave time, wages higher than the state minimum wage and the like.

Absent this legislation, Michigan’s 1800-plus local units of government could each enact different local labor law mandates on job providers. The Michigan Chamber supports this measure because it would guarantee that only the state and federal government would have the authority to enact these laws, creating one law for all businesses to comply.

In order to guarantee the Governor’s signature House Bill 4052 was amended late in the process. The bill on the Governor’s desk would not impact a case pending before the Michigan Supreme Court related to local prevailing wage laws already on the books. It also would give flexibility to local units of government when entering into agreements with vendors and for economic development projects. 

For more information, contact Wendy Block, Director of Health Policy & Human Resources, at wblock@michamber.com or (517) 371-7678.