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HOURLY WAGE INDEX

Let’s talk wages in Michigan

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$10.10

What is the minimum wage in Michigan?

The minimum wage in Michigan is currently $10.10 per hour and is scheduled to increase to $11.50 per hour by 2027. This increase is being phased in gradually over a period of five years and it is to ensure that all workers are paid a fair wage for their work.

The minimum wage has been a topic of debate for many years. Some people believe that the minimum wage should be increased to help low-wage workers make ends meet. Others believe that increasing the minimum wage would lead to job losses. With that being said, There is no clear consensus on the impact of increasing the minimum wage. Some studies have shown that increasing the minimum wage can lead to job losses, while others have shown that it has little or no impact on employment.

The debate over the minimum wage is likely to continue for many years to come. However, the fact remains that the current minimum wage is not enough to support a family on its own. If the minimum wage is not increased, more and more families will struggle to make ends meet.

Here are some additional facts about the minimum wage in Michigan:

  • The minimum wage was first established in Michigan in 1967.
  • The minimum wage has been increased 22 times since it was first established.
  • The minimum wage is indexed to inflation, so it automatically increases each year with the cost of living.
  • There are a number of exemptions to the minimum wage law, including tipped workers, student workers, and workers with disabilities.
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$21.22

What is the average wage in Michigan?

The average wage in Michigan is $21.22 per hour, which comes out to about $44,148 per year. This is higher than the national average.
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$9.87

What is the minimum wage in Detroit, Michigan?

In Detroit, the minimum wage is $9.87 per hour. Employees must be paid at least this amount for all hours worked, with some exceptions. Tipped employees may be paid a lower hourly wage, as long as their tips bring them up to the minimum wage.

Wages aren’t everything!

While pay is one of the main factors that hourly employees consider when choosing to join (or stay at) a company, it’s not the end all be all. Research shows that advancement opportunities, supportive management, and schedule flexibility are all incredibly important as well.

Want to learn more about this trend? We dive deep into the data behind which perks and benefits matter most to hourly workers. Check out our full conversation with expert Sara Wasserteil of Cara Collective.

Frequently asked questions

What is the difference between gross wages and net wages?

It's important to remember that the Hourly Wage Index data above reflects gross wages, or the amount of money an employee earns before accounting for payroll deductions like taxes, benefits, or wage garnishments. Due to variability in tax rates across locations, slightly lower gross wages in a certain location might result in higher take home pay, or vice versa.

What is a good hourly wage?

This question is a difficult one to answer, as a "good hourly wage" is highly subjective according to experience, work responsibilities, cost of living, and other factors. We recommend using Hourly Wage Index data as a starting point. Once you have established a baseline for certain positions, do further research into similar businesses in your area.

Lastly, consider surveying your employees. They're the best resource to help you know what is a good hourly wage, what competitive pay looks like in your location, and how competitive wages change in your industry over time.

Offering competitive pay is one of my top priorities—what other resources do you have that might help?

We know that getting applicants to pay attention to your business can be extremely challenging, and that offering competitive pay is a huge part of that. Wages aren’t everything, however! Applicant experience is another important factor that can help set you apart from your competition. A few examples include:

  • Short, easy to understand job descriptions
  • Mobile-friendliness
  • Quick communication
  • Streamlined interview stages
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A Workstream hiring specialist can help you identify high impact ways to improve your applicant experience, and even help you determine what is a good hourly wage for your location and business.

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Learn about wages in your city