On Wednesday, the
Senate Commerce Committee reported Senate
Bill 250, which would allow for individuals under the age of 20 to be paid
85 percent of the state minimum wage. The bill includes the caveat that if the
federal minimum wage is higher than 85 percent of the state minimum wage, those
affected by the bill must be paid at the federal level. The bill will also
increase the hourly training wage, which currently sits at $4.25.
The bill was reported
with four members of committee in support, while only Senator Curtis Hertel Jr.
(D-East Lansing) opposed the measure. As worded, the legislation would increase
the training hourly wage to $6.25, a $2 increase. Currently, employers can pay
newly hired workers a training wage for 90 days, something that is not changed
under SB
250.
Senator Margaret
O’Brien (R-Portage), the sponsor of the bill, stated that this legislation will
only be applicable to a small percentage of the state and would help promote
the hiring of Michigan’s younger generation. Senator Hertel stated that his
opposition stems from the fact that this legislation will affect a larger
demographic than expected, and many of those who would fall under the new
minimum wage are trying to put themselves through school or care for their
families.
The committee also
reported SB
98, SB
310, SB
369, and SB
370. These bills will allow for community colleges to award bachelor’s
degrees in certain circumstances, create a Civil Air Patrol Employment
Protection Act, and extend the use and sales tax exemption for industrial processing
of alcohol to personal property for retailers.