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Do you know or suspect that your employer isn’t paying you what you’ve earned? Withheld overtime, missing tips, and late paychecks can put you in a difficult spot, but you don’t have to accept this kind of mistreatment. Michigan law gives you the right to take action when your employer shorts your wages or messes with your hours, and an experienced lawyer can help you stand up for yourself.
The attorneys at Fagan McManus, P.C., handle wage and hour claims for workers in Dearborn and across Michigan. We know how to hold employers accountable and recover every dollar of income you are owed under the law. If you suspect your employer has violated your wage and hour rights, we can review your case and help you explore your options. Contact us now to get started with a free consultation.
Michigan has numerous laws that protect Dearborn workers from unfair pay practices. The Payment of Wages and Fringe Benefits Act sets rules on when and how wages must be paid, including vacation pay and commissions, if promised. The Improved Workforce Opportunity Wage Act covers minimum wage and overtime rights. Construction workers on publicly funded projects fall under the Prevailing Wages on State Projects Act, which requires contractors to pay set wage rates. And the Youth Employment Standards Act sets restrictions on hiring minors.
These laws work alongside federal protections like the Fair Labor Standards Act. If employers fail to observe these wage and hour laws, workers can lose hard-earned income to missed paychecks, withheld overtime, or denied benefits.
Michigan law is set to increase the state’s minimum wage each year until it reaches $15 in 2027, with adjustments for inflation after that. As of February 21, 2025, the statewide minimum wage is $12.48 per hour. Employers must pay most workers at least this rate. Presently, they can pay tipped workers 38 percent of the regular minimum wage, as long as tips bring their total pay up to at least the full minimum wage. If an employee’s tips plus the lower base wage do not equal the full minimum wage, their employer must make up the difference.
For overtime, the law requires time and a half pay beyond the 40th hour worked for workers who put in more than 40 hours in a week. Some Dearborn employers try to avoid paying overtime by misclassifying workers as exempt. These tactics can short workers out of money they rightfully earned.
Michigan requires contractors on state-funded construction projects to pay workers a “prevailing wage.” This means workers’ wages and benefits must match the rates set for similar work in the local area. This requirement applies to both contractors and subcontractors and covers projects such as school, road, and public building construction.
Dearborn construction workers can lose considerable chunks of income if contractors try to cut costs by paying less than the required rate or misclassifying workers to avoid paying the proper wage. Because these projects often involve large crews and complex contracts, violations can affect many employees at once. Affected workers have the right to challenge underpayment and recover what they are owed by working with legal representation to file wage and hour claims.
The Youth Employment Standards Act sets strict rules for employing minors in Michigan. Children under 14 generally cannot be hired for paid work, with limited exceptions such as farm work or refereeing youth sports. Teens under 16 are subject to limits on how many hours they can work during school weeks and must have work permits, even when school is out. Employers also cannot place minors in hazardous jobs, and businesses must follow special rules on breaks and supervision.
These protections aim to keep minors safe while allowing them to gain work experience. However, some employers still try to skirt the rules to protect their own bottom lines. Common wage and hour violations involving young workers include employers scheduling minors for late-night shifts, hiring them without permits, or ignoring supervisory restrictions.
Tipped workers in Dearborn restaurants, hotels, and similar businesses are subject to special wage rules due to the expectation that they will derive a significant percentage of their income from gratuities. In light of this expectation, Michigan allows employers of tipped workers to pay reduced hourly rates as long as their tips are sufficient to meet or exceed the minimum wage. Employers must make up the shortfall if an employee’s tips and wages do not add up to the required rate.
Since February 21, 2025, the minimum tipped wage has been equal to 38 percent of the regular minimum wage. This minimum will gradually increase until it reaches 50 percent by 2031. Wage and hour disputes can arise for tipped employees if their employers choose to keep a portion of tips, force unlawful tip pools, or refuse to cover tip differentials.
Michigan law requires regular paydays and final wages to be delivered on schedule. If an employer withholds pay, it can disrupt a worker’s ability to cover rent, groceries, and other essentials. Employers cannot delay or refuse to pay for hours already worked. Commissions, vacation time, and bonuses must also be paid if they were promised in a contract or policy.
Common unpaid wage disputes in Dearborn include final paychecks that never arrive, altered time records, and denied sales commissions. Even small payment amounts can add up over time, especially if multiple workers face the same treatment for months or years. State law gives employees the right to file claims and pursue compensation for unpaid wages. Workers who take legal action for unpaid wages can also discourage further violations and protect other workers who might face the same mistreatment.
Many workers hesitate to speak up about wage and hour violations due to fear of retaliation. Michigan law makes it illegal for an employer to fire, demote, or punish an employee for filing a complaint, cooperating with an investigation, or asking about pay rights. Regardless, some employers still try to intimidate workers into silence by finding subtle ways to retaliate.
Retaliation can take many forms. An employer might cut a worker’s hours, start giving them less favorable schedules, or create a hostile work environment in the hopes that they’ll simply quit. These actions discourage workers from standing up for themselves and cross the line into unlawful retaliation. State law gives employees the right to take action if retaliation occurs. Wage and hour lawyers can help workers prove retaliation by showing a clear link between protected activities and employer responses.
If you’re already concerned about missing your next paycheck or losing your job, the idea of taking action against your employer might feel overwhelming. The good news is that you don’t have to do it alone. A skilled attorney can help with your wage and hour case by:
Unpaid wages and hour violations can disrupt your life, but you have the right to fight back. The team at Fagan McManus, P.C., can help. Contact us now to learn more in a free case review.
