Section 408.9002. Definitions; A to I. Rule 2. (1) As used in these rules:  


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  • (a)     "Act" means 1978 PA 390, MCL 408.471 to 408.490, and known as the payment of wages and fringe benefits act.

    (b)      "Complainant" means an employee who submits a written complaint alleging a violation of the act and who provides the information required by the department.

    (c)     "Department" means the department of licensing and regulatory affairs.

    (d)    "Voluntary payment in full" means either of the following:

    (i)           Payment  of  wages  and   fringe  benefits  claimed  before  the  issuance  of   a departmental determination.

    (ii)      Payment of the full amount of wages and fringe benefits due, plus the 10% per annum penalty and any exemplary damages assessed within 14 days of the date of the determination. If the last day of the 14-day period is a Saturday, Sunday, or a state holiday, then that day is excluded and the period extends until the end of the next day that is not a Saturday, Sunday, or state holiday.

    (2) As used in the act:

    (a)        “Administrative capacity” means an employee to whom all of the following apply:

    (i)     Is compensated on a salary basis at not less than $455.00 per week.

    (ii)       Has the primary duty of performing office or non-manual work that is directly related to the management or general business operations of the employer.

    (iii)     Uses discretion and independent judgment in matters of significance.

    (b)      "An employee employed in a bona fide executive capacity" means an employee to whom all of the following apply:

    (i)     Compensation is on a salary basis at not less than $455.00 per week.

    (ii)     The employee's primary duty is management.

    (iii)     The employee supervises 2 or more employees.

    (c)          "An employee employed in a bona fide professional capacity" means an employee who is compensated on a salary or fee basis at not less than $455.00 per week and whose primary duty is any of the following:

    (i)       Work in a field of science or learning that requires knowledge acquired by a prolonged course of specialized instruction.

    (ii)     Work in a recognized field of artistic endeavor that depends upon the talent of the employee.

    (iii)     Work in an educational institution as a teacher, tutor, instructor, or lecturer.

    (d)    "Bonus" means a premium or extra or irregular remuneration in addition to wages that is awarded to an employee under a written contract or written policy.

    (e)       "Director"  means  the   director  of  the  department   or  his  or  her  authorized representative.

    (f)    "Informally resolve" means any of the following:

    (i)     Voluntary payment in full as defined in R 408.9002.

    (ii)     A settlement agreement as described in R 408.9026.

    (iii)     Withdrawal of the complaint as described in R 408.9027.

    (iv)         Dismissal  of  the  complaint  due  to  lack  of   jurisdiction,  as  described  in  R 408.9036.

History: 1982 AACS; 1998-2000 AACS; 2003 AACS; 2006 AACS; 2014 AACS.