North Michigan News

State Representative Ken Borton criticized legislative Democrats on Friday for their focus on what he termed "radical policy" rather than addressing pressing issues affecting the hospitality industry and small businesses. Borton highlighted concerns over potential mass layoffs and business closures in early 2025 if legislative action is not taken.

"We’re right up against the buzzer on this lame duck legislative session and Democrats are still completely ignorant to the dire situation faced by our tipped wage workers and small businesses," stated Borton, R-Gaylord. He emphasized that Republicans have been actively negotiating with Governor Whitmer and legislative Democrats, but accused them of being preoccupied with unrelated initiatives such as criminal justice reform and immigration policies.

A survey conducted by the Michigan Restaurant and Lodging Association underscored these concerns, revealing that 66% of restaurant owners might need to lay off employees, while 20% could be forced to close down. Additionally, 42% might reduce operating hours, and over 92% would likely increase prices significantly by early next year.

Furthermore, another survey indicated strong support among Michigan restaurant servers for maintaining the current tipping system. According to the findings, 82% preferred to keep tips in place, while 79% expressed anxiety about potential job losses if tip credits were abolished.

Borton's remarks reflect ongoing tensions between Republican lawmakers seeking to preserve existing economic structures within the state’s service industry and Democratic efforts aimed at broader policy changes.