Michigan to Increase State Minimum Wage to $15 by 2027, Federal Rate Remains at $7.25
Michigan is set to raise its statewide minimum wage to $15.00 per hour by January 1, 2027, an increase from its current rate of $13.73. This confirmed statutory increase makes Michigan the only state with a finalized minimum wage hike for that year, as many other states with indexed rates have yet to publish their final amounts. The federal minimum wage, however, will remain at $7.25 per hour for covered nonexempt employees, a rate that has been unchanged since 2009. This means that in states like Michigan, the higher state or local minimum wage will supersede the federal floor. Other states, such as Pennsylvania, also maintain their minimum wage at the federal rate of $7.25 per hour. Employers are advised to verify indexed notices before the first 2027 payroll runs, especially those operating across state or city lines, as local ordinances can also exceed statewide floors.