State Rep. Ken Borton on Thursday voted in support of House Bills 4001 and 4002, the first two bills of the legislative term, which will restore the tip credit and protect small businesses from intrusive paid sick time mandates. The bills passed the House with overwhelming bipartisan support.
“The people spoke, and House Republicans delivered. Now, the ball lays solely at the feet of Senate Majority Leader Winnie Brinks. She has a choice to make: either help us deliver for the people of Michigan or kick our plan to the curb and leave restaurants and small business owners from Grand Rapids to Gaylord out in the cold, facing imminent shutdown,” said Borton, R-Gaylord. “I don’t think the small-town entrepreneurs I know in Gaylord are all that different from those who operate in Grand Rapids. Their businesses may be smaller, and our community may be a bit more rural, but I know we’re facing the same terrifying reality as those folks right in Majority Leader Brink’s backyard.”
HB 4001 ensures the tip credit is maintained at 38% while allowing for reasonable annual minimum wage increases. Leaving the tip credit at its current level allows servers and other tipped wage workers to continue earning far beyond minimum wage through their tips.
House Bill 4002 allows workers and small businesses to retain the paid leave options that work for them. The plan also clarifies the looming rules, viewed by many as a one-size-fits-all mandate that is unrealistic and so confusing even lawyers can’t understand.
“House Republicans took the bull by the horns, and we delivered,” Borton said. “I could not be prouder to be a part of our Republican caucus. We stood unified a month ago when we demanded action on these policies, and we stood unified again today in passing these bills. The work is not done, but we’re definitely leading with confidence.”
Borton recently served on the House Select Committee on Protecting Michigan Employees and Small Businesses, which was formed with the sole focus of addressing tipped-wage and earned sick time legislation. Last week, the committee approved both HB 4001 and 4002 with near unanimous support.
Both bills now move to the Senate for further consideration.
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