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Michigan Overtime Laws

Michigan Overtime Laws

Michigan Overtime Laws: A Detailed Guide

Michigan is one of the states in the USA with a law that governs overtime pay. The law requires employers to pay their employees one and a half times the regular rate of pay for any hours worked over 40 hours in a workweek. In this article, we will delve deeper into the Michigan Overtime laws to give you a detailed guide.

Understanding Overtime laws

Overtime laws are regulations that govern the payment of employees when they work beyond their normal working hours. These laws differ from state to state. In Michigan, the overtime law is codified under the Michigan Payment of Wages and Fringe Benefits Act, also known as the WPWA (MCL 408.471–408.488).

The United States Fair Labor Standards Act (FLSA) also provides overtime regulations with which employers must comply. These regulations from both the state and federal levels ensure that employees are adequately compensated for their extra efforts and time given to work.

Exemptions from Overtime Pay in Michigan

Not all employees are entitled to overtime pay in Michigan. There are exemptions to the overtime law, and they include:

· Salaried Employees: Exempt salaried employees include executives, administrative, and professional employees. These employees must meet specific criteria, including a salary of not less than $684 per week.

· Independent Contractors: Independent contractors are not considered employees under Michigan overtime laws.

· Teachers: Teachers in public and private institutions are exempt from overtime pay under the Federal Labor Standards Act.

· Agricultural Employees: Some agricultural employees are not eligible for overtime pay under Michigan’s MCL 408.481 Section 1(c).

Michigan’s regular hourly rate for overtime pay

Michigan’s regular hourly rate is the hourly rate a worker earns before any overtime pay. In Michigan, the regular hourly rate is calculated by dividing the employee’s weekly pay by their normal working hours. A worker who earns $480 a week and works 40 hours will have a regular hourly rate of $12 per hour.

Calculating overtime pay in Michigan

Michigan’s overtime laws state that employers must pay their employees 1.5 times their regular hourly rate for any hours worked above 40 hours in a workweek. Here’s an example:

If an employee earns $15 per hour and works 50 hours a week, their employer must pay them $22.50 per hour ($15 per hour x 1.5) for the ten extra hours of work, in addition to their regular hourly rate (40 hours x $15 per hour).

Employers can also choose to give their employees comp time (compensatory time) instead of overtime pay. This means that instead of paying their employees for the extra hours worked, they offer them paid time off work at a later date. However, this option is only available in the public sector and not for private sector employees.

Expected annual earnings after overtime pay in Michigan

If an employee works 10 hours of overtime per week for one year at a rate of $15 per hour, they can expect to earn $7,800 in overtime pay that year. This is calculated as follows: ($15 x 10 hours per week) x 52 weeks in a year. Therefore, the employee’s total annual earnings would be $39,000. This is calculated as follows: ($15 per hour x 40 hours per week) x 52 weeks in a year + $7,800 in overtime pay.

Penalties for Violating Michigan’s Overtime Laws

If an employer violates Michigan’s overtime laws, they may be subject to both civil and criminal penalties, including fines and imprisonment. The Michigan Department of Labor and Economic Opportunity (LEO) enforces Michigan’s overtime laws, and complaints can be made to their agency.

Employers who deny overtime pay to their employees may also face a legal action against them in court. The employee can file a claim, and if they win the case, they become entitled to back pay, attorney fees, and court costs. The court could also levy fines and additional penalties on the employer.

Michigan’s Minimum Wage and overtime

Michigan state’s minimum wage rate is $9.65 per hour. However, if an employee is eligible for overtime pay, their hourly rate increases to $14.48 per hour ($9.65 x 1.5) for any overtime hours worked.

Michigan’s minimum wage is subject to increases as per the state’s regulations, but the set overtime rate remains at 1.5 times the hourly rate for hours in excess of 40 hours per workweek.


In conclusion, Michigan’s overtime laws are in place to protect employees and ensure that they are adequately compensated for their extra efforts and time given to work. Employers are required to pay their eligible employees 1.5 times their hourly rate for any hours worked over 40 hours in a workweek.

It is essential for employees to understand Michigan’s overtime laws to ensure that they are compensated fairly and for employers to understand these laws to avoid any legal action. The Michigan Department of Labor and Economic Opportunity (LEO) is available to enforce the state’s overtime laws and address any violations.

Overall, Michigan’s overtime laws offer employees protection, enabling them to balance their work-life schedule and pay their bills. Employers who follow this law correctly foster a positive work environment, motivate employees, and grow their business by avoiding legal penalties and astute turnover.

Quick Guide to Michigan Overtime Laws 

Specific Michigan Overtime Laws

As defined by Michigan statute 408.384(a) Compensation for overtime; exemptions; unpaid minimum wages; appropriation, compensatory time in lieu of monetary overtime compensation, all regular overtime in the state of MI is “1-1/2 times the regular rate at which the employee is employed for employment in a workweek in excess of 40 hours.”

Section 2 of this Michigan overtime law provides specific overtime rules for public service employees as well.  In respect to and fire protection employees and law enforcement employees, Michigan overtimes laws apply to these duties in the following way:

“(a) In a work period of 28 consecutive days, the employee receives for tours of duty, which in the aggregate exceed 216 hours, compensation for those hours in excess of 216 at a rate not less than 1-1/2 times the regular rate at which the employee is employed.  The employee’s regular rate shall be not less than the statutory minimum hourly rate.”

There are numerous other parts to this Michigan overtime law, and this article will cover the majority of popular topics within this law.  You will also find information about filing an overtime wage claim at the end of this article.  In order to make such a claim, your job cannot be exempt from Michigan overtime laws, and you

What is the Minimum Overtime Wage in MI?

Under Michigan overtime time and minimum wage laws in the state, the minimum overtime wage in MI is currently $11.10 per hour.

Certain workers automatically qualify under Michigan overtimes laws and the Fair Labor Standards Act, but some employees are also exempt from such law.  Those who automatically qualify under Michigan overtime law are listed below:

• all manual labor

• all first –responders

• certain nurses and paralegals

Some nurses and paralegals won’t qualify for overtime, and even those employees who still qualify may not receive overtime pay in certain cases like catastrophic events and disasters.

Those who are automatically exempt from overtime pay under Michigan overtime laws are listed below:

• Executives, administrators, and other professionals who earn at least $455 per week under Section 13(a)(1) of the Fair Labor Standards Act

• Independent contractors

• transportation workers

• certain agricultural and farm workers

• live-in employees

• some computer-related workers

If you are unsure whether you qualify for overtime under Michigan overtime laws, you should regard Section 4 of the following statute.

Michigan Overtime Law for Filing Claims

If you believe you are entitled to overtime wages under Michigan overtime law, you should contact the Department of Licensing and Regulatory Affairs under the state of Michigan immediately.  You can fill out an electronic form on the internet if you believe Michigan overtime laws have been violated.

If you are contacting department about unpaid wages or fringe benefits, the form must be completed within 12 months of the violation.  If you have not been paid minimum wages or overtime, you can file a complaint up to 3 years after the violation.  The form can be found at the following link.