Legislation Would Add More Red Tape to Hire Students

Date: May 30, 2024

NFIB has expressed concerns regarding legislation that would change the process by which young people under 18 receive a work permit in order to be employed.

House Labor Committee heard testimony on May 16, 2024, on House Bill 5594 sponsored by Rep. Phil Skaggs (D-80).  Instead of going through the student’s school district to receive a work permit, the bill moves responsibility for issuing and revoking work permits to the Department of Labor and Economic Opportunity (LEO). A minor would have to register with LEO before starting work in an occupation regulated by the Youth Employment Standards Act, and employers would have to be authorized by LEO and in compliance with the act.  After termination of employment, a minor’s employer would have to directly notify LEO.

NFIB is concerned by the potential delay in getting young people a permit and the extra regulatory burden on employers.  Not to mention the expansion of state government and the cost to taxpayers in order to hire more state workers.

Especially troubling is the creation of a database of all the businesses employing young workers that will be both within the department and available to the public.

Unfortunately, the administration has made it clear that it wishes to increase inspections, enforcement, and fines of youth labor laws.  There is concern that this could have a chilling effect on youth employment – which would especially be harmful to young people who wish to gain crucial job experience that will help them flourish.

NFIB is continuing to work with legislators and other stakeholders to either fix or stop this legislation.

Related Content: Small Business News | Michigan

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