As Michigan prepares to roll out a new scheduled increase to the minimum wage paid to workers, many tipped workers and restaurant owners are skittish.

Michigan workers will adopt a minimum wage schedule originally approved by voters in 2018 before it was amended by lawmakers. That practice is referred to as "adopt and amend."

Today, the minimum wage in Michigan stands at $10.33 per hour and is scheduled to increase to $10.56 on January 1. Under the new ruling, the minimum will now increase to more than $12 on February 21 and go above $13 in future years.

Minimum Wage Increase for Michigan Tipped Workers

On February 21, Michigan's minimum wage will increase by $2 for most employees, including those who rely on tips. The minimum wage will increase each year until restaurant employees are paid the same as other minimum wage workers by 2030.

This is cause for concern, as tipped workers fear tips may dry up as a result.

A new poll from the Michigan Restaurant and Lodging Association shows support for keeping Michigan's current pay structure for tipped workers as it is. Many tipped workers say that with tips, they're able to make far more than Michigan's eventual higher minimum wage.

Justin Winslow is the President and CEO of the MRLA. He tells WWMT-TV that the future is uncertain for restaurant owners and tipped workers.

"Right now, this industry is paralyzed," Winslow said. "It doesn't know what the future holds right now, it can't make decisions on hiring, it can't expand locations, it can't grow."

Winslow says the new pay structure could signal the end for many struggling restaurants and bars in our state.

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