SB 338 Summary

• Amends the Elliott-Larsen Civil Rights Act to require state and local government contracts over $500,000 with businesses having 40+ full-time Michigan employees to obtain an equal pay certificate or written exemption.

• Businesses must submit an equal pay compliance statement signed by board chair or CEO certifying compliance with federal equal pay laws, state penal code equal pay provisions, and demonstrating no appreciable wage gaps between male and female employees in major job categories.

• Department issues equal pay certificates valid for 4 years upon payment of $150 filing fee; certificate revenue goes to a special account to fund the certification program.

• Department can suspend or revoke certificates for non-compliance with equal pay laws and must work with businesses to reconcile any wage disparities before taking action; contracting entities may void or terminate contracts upon learning of non-compliance.

• Exempts vocational training contracts and those with health insurers, Medicaid programs, and nursing homes; allows waiver if purchasing director determines application would cause undue hardship; takes effect 90 days after enactment.