State Rep. William Bruck this week voted for a bipartisan solution that will maintain Michigan’s tip credit, implement fair earned sick time policies, and provide stability for small businesses and the workers they employ.

The plan, which includes Senate Bill 8 and House Bill 4002, strikes a balance between protecting workers and supporting Michigan’s job providers. The agreement comes after lengthy negotiations between the House Republicans and Senate Democrats, reaching a compromise just ahead of the Feb. 21 deadline when changes ordered by a Michigan Supreme Court ruling were set to take effect.

“This solution is far from perfect, but it’s better than the alternative, which would have sent our businesses over a cliff,” said Bruck, R-Erie. “We had two options: let bad policies take effect and watch small businesses get carried to hell in a handbasket, or step in with a plan that gives them a fighting chance. This deal isn’t ideal, but it keeps businesses afloat and protects the livelihoods of hardworking people, small business owners and their employees.”

Senate Bill 8 ensures tipped workers continue earning their base wage plus tips, keeping the tip credit at 38% through 2025 while implementing gradual increases, ultimately capping at 50% of the minimum wage by 2031. The bill also strengthens penalties for employers who fail to properly compensate their employees.

House Bill 4002 fixes Michigan’s Earned Sick Time Act to provide flexible earned leave options for workers while recognizing the challenges faced by small and family-owned businesses. The plan also safeguards businesses from baseless lawsuits and protects employers from no-call, no-show absences that could leave workplaces short-staffed, particularly important in emergency services and other critical industries.

“Waiting until the last minute to fix this mess put a lot of people on edge,” Bruck said. “While this isn’t the solution any of us would have drawn up in a perfect world, it at least gives our businesses a way forward instead of pushing them into chaos. That’s especially important in my district, where bad policies that make it harder to run a business don’t just hurt local employers — they send them packing just a few miles across the border into Ohio. We can’t afford to keep making Michigan a less competitive place to work and do business.”