Activists Submit Ballot Language for Minimum Wage Increase

Activists with Raise Michigan submitted language Monday to the Department of State’s Bureau of Elections for a statewide referendum to gradually raise the minimum wage to $9.50 in 2016. In order for the proposal to make the ballot, it must receive 258,088 signatures by May 28^th.

The proposal provides for a gradual increase of $2.50 over one year starting at $7.90 in January 2015, $8.50 in July 2015, and finishing a $9.50 in January 2016. The proposal also includes tipped workers, who currently have a minimum wage of $2.65 per hour. Their wages would rise by 85 cents annually until they reach full minimum wage.

Rather than pursue a constitutional amendment, activists with Raise Michigan have decided to pursue a statewide ballot initiative due in part to the “don’t mess with the Constitution message” that helped sink five proposed constitutional amendments on 2012’s ballot.

According to Frank Houston, director of the Restaurant Opportunity Center of Michigan, the strategy involves risk. Presuming supporters gather the necessary signatures, once the Board of State Canvassers certifies the petition the Legislature would have 40 days to approve the proposal. This would make put the proposal into law and keep it off the ballot. Alternatively, the Legislature could put a competing proposal on the ballot for voters to consider alongside Raise Michigan’s own proposal. The proposal that received more votes would become law under Michigan’s Constitution. If voters approve either proposal, the Legislature could amend it with a 2/3 supermajority vote in both houses and a signature from the Governor. Mr. Houston believes that the popularity of a rising minimum wage would help insulate it from such moves.

Business groups appear ready to fight the proposal. Brian DeBano of the Michigan Restaurant Association especially criticized the increase for tipped workers. Only seven states put tipped employees under the full minimum wage, and tipped employees, when accounting for wages and tips, make well more than the minimum wage already, he said. Mr. DeBano insisted that the proposed increase would force restaurant owners to raise menu prices and cut jobs.

Mr. Houston, however, said many restaurant workers do not make the equivalent of the minimum wage between their wage and tips. Instead of making workers go through several hoops to ensure their employer complies with the minimum wage law, it would be preferable to raise their wage, he said.

The Michigan Chamber of Commerce plans to become part of an opposition effort against the proposal. Wendy Block, a Chamber representative, said $9.50 would give Michigan one of the highest minimum wages in the country.

posted by PAA Online , Friday, February 14, 2014 11:14 AM
LINK DIRECTLY TO THIS ARTICLE

This Week's Newsletter

Past Newsletters