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Granholm: Minimum wage increase gives Michigan workers well-deserved raise

LANSING: In her weekly radio address, Governor Jennifer M. Granholm reminded Michigan citizens that a higher state minimum wage went into effect Sunday, July 1, 2007, as the result of legislation she called for and signed into law last year.  The increase will result in a raise for more than half a million Michigan workers.

“What a great step forward for Michigan’s families,” Granholm said.  “This increase will put a little more money in the pockets of Michigan citizens who are working hard every day to pay for rent, to fill up their gas tanks, and to put food on the table for their kids.”

Governor Jennifer M. Granholm

The state minimum wage will rise from $6.95 to $7.15 an hour.  It will rise once again to $7.40 an hour on July 1, 2008, the third and final increase mandated by the new law.  Before Granholm signed the 2006 measure, the state minimum wage was $5.15 an hour, the federally-mandated minimum which had not been increased since 1997.

Granholm emphasized the importance of the minimum wage to families and Michigan’s economy, noting that economists report that rising wages can stimulate economic activity throughout the state.

She also underscored that increasing the minimum wage is merely one aspect of her comprehensive plan to diversify and grow Michigan’s economy.  Other critical aspects of the plan include the state’s new earned income tax credit, higher standards in our public schools, measures to make college more affordable, such as the Michigan Promise scholarship, the 21st Century Jobs Fund to diversify Michigan’s economy, and the continued effort to ensure universal access to affordable health care.

“In these tough economic times, we need to make smart decisions for Michigan’s future,” Granholm said.  “Our plan is smart, it is comprehensive, and we are seeing positive signs across the state as new companies choose Michigan as the place to grow and create jobs.”

For more information about the increase, or other provisions of the minimum wage and overtime law, contact the Wage & Hour Division of the Department of Labor and Economic Growth at www.michigan.gov/wagehour or by calling 517-335-0400.






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