The state of Michigan will increase its minimum wage from $7.15 per hour to $7.40 per hour, effective July 1, 2008, 25 cents higher than 2007. For tipped workers, the wage remains at $2.65 per hour.
Businesses can pay the young workers 85 percent of the adult minimum wage, a youth sub-minimum wage. The sub-minimum wage will be increased from $6.08 per hour to $6.29 per hour on July 1, 2008.
The state minimum wage covers employers who employ two or more persons, 16 years of age or older, and also covers some certain employees in federally-covered businesses.
If an employee is covered by both the state minimum and the federal minimum, the worker is entitled to the higher one. In Michigan, almost every employee is entitled to the state minimum wage because state minimum wage is higher than the federal rate.
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