Michigan courts rule on discrimination, sick leave, minimum wage

The Michigan Supreme Court has ruled the state’s Elliott-Larsen Civil Rights Act (ELCRA) bans discrimination based on sexual orientation. In addition, the Michigan Court of Claims has halted the expansion of paid sick leave and an increase in the minimum wage. Here’s what you need to know.

Sexual orientation discrimination

On June 28, 2022, the Michigan Supreme Court ruled 5-2 that the ELCRA’s prohibition against sex discrimination covers discrimination based on sexual orientation as well. In Rouch World, LLC and Uprooted Electrolysis, LCC v. Department of Civil Rights et al., the two companies argued that the Michigan Department of Civil Rights (MDCR), an agency charged with enforcing the ELCRA, erroneously concluded in a 2018 interpretive guidance that the law bans sexual orientation discrimination. They argued the guidance and related enforcement actions were contrary to the language of the statute, intent of the legislature, and a prior Michigan Court of Appeals decision, Barbour v. Dep’t of Social Services, 198 Mich App 183 (1993).

The Michigan Supreme Court majority opinion acknowledged that while the legislature's motivation in banning “sex discrimination” in 1976 may have been to protect against gender discrimination, the outlawing of discrimination “because of” sex clearly encompasses discrimination based on sexual orientation.