Michigan’s Governor Gretchen Whitmer signed legislation that will repeal the state’s right-to-work law for private-sector employees on March 24th, 2023. For the first time since 2012, when Michigan’s right-to-work law was passed, union security clauses will be legal again in private-sector collective bargaining agreements when it takes effect in 2024. The law will require employees to pay union dues or a service fee to their bargaining representative to keep their jobs.
The law will go into effect on March 30th, 2024.
How To Prepare
Any business owner in Michigan with a unionized workforce should review each collective bargaining agreement to determine if it contains a union security clause. A unionized workplace is a process of organizing the employees of a company into a labor union which will act as an intermediary between the employees and company management. In addition, it’s essential that you determine if the contract requires the parties to reopen negotiations and bargain upon repeal or invalidation of the right-to-work law.
Partner With GMS
These ever-changing rules and regulations can take a toll on your well-being as you have many responsibilities when running your business. As this new law passes in Michigan, you must begin implementing the changes necessary to comply. When you partner with GMS, a professional employer organization (PEO), you gain access to a dedicated team of HR experts who are ready to keep you up to speed on changes. Let’s tackle this change together. Contact us today to get started.