HOUSE BILL No. 4047

 

January 27, 2005, Introduced by Rep. Lemmons, Jr. and referred to the Committee on Employment Relations, Training and Safety.

 

     A bill to amend 1964 PA 154, entitled

 

"Minimum wage law of 1964,"

 

by amending section 7a (MCL 408.387a), as amended by 1997 PA 1.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7a. (1) The minimum hourly wage rate of an employee  

 

shall be $2.65  is $4.65 per hour if all of the following  occur  

 

are met:

 

     (a) The employee receives gratuities in the course of his or

 

her employment.

 

     (b) The gratuities described in subdivision (a) equal or

 

exceed the difference between  $2.65  $4.65 per hour and the

 

minimum hourly wage established under section 4.

 

     (c) The gratuities are proven gratuities as indicated by the

 


employee's declaration for purposes of the federal insurance

 

contribution contributions act,  purposes 26 USC 3101 to 3128.

 

     (d) The employee was informed by the employer of the

 

provisions of this section.

 

     (2) As used in this section, "gratuities" means tips or

 

voluntary monetary contributions received by an employee from a

 

guest, patron, or customer for services rendered to that guest,

 

patron, or customer and that the employee reports to the employer

 

for purposes of the federal insurance contribution contributions

 

act, chapter 21 of subtitle C of the internal revenue code of 1986,

 

26 U.S.C. USC 3101 to 3128.