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State Representative Matthew Bierlein has been appointed to a select committee focused on safeguarding the livelihoods of Michigan workers and ensuring the survival of small businesses. The Select Committee on Protecting Michigan Employees and Small Businesses aims to address pressing economic challenges as the 2025-26 term begins.

The committee's formation comes in response to a recent Michigan Supreme Court decision imposing new mandates on small businesses regarding wages and sick leave, while also phasing out the tip credit system. This ruling is expected to significantly impact service industry workers who rely heavily on tips for their income.

"Ever since that ruling came down, small business owners and their workers have told elected leaders in Lansing that they would experience incredible hardship when the court’s decision becomes effective in February," stated Bierlein, representing Vassar. "Unfortunately, Democrats did not address these issues legislatively last term despite having months to do so. We are taking prompt action and standing with workers to deliver solutions. I’m eager to get started."

Surveys indicate that two-thirds of Michigan restaurant operators anticipate staff layoffs if these mandates are enforced. Furthermore, 94% of businesses expect substantial price increases for consumers, with one in five full-service restaurants potentially facing permanent closure.

In response, House Republicans have introduced House Bills 4001 and 4002 in the 103rd Legislature. These proposals aim to balance economic growth with worker protection by preserving tipped wages, moving towards a higher minimum wage, and maintaining current earned sick leave policies. The bills also seek to prevent undue strain on small businesses with limited staff due to unexpected sick leave absences.

The select committee comprises 15 members from both Republican and Democrat backgrounds and is scheduled for its first hearing next week.