The City of Ann Arbor Living Wage Ordinance requires employers who have a contract with the City for the furnishing of services where the total amount of the contract or contracts exceeds $10,000 for any 12-month period to pay its covered employees a living wage that is annually indexed to inflation. Employers may not reduce wages or benefits to pay or fund wages or benefits required by the law. A covered employee is defined as an individual who provides personal services performed for wages under any contract calling for the performance of personal services, express or implied. Employers are required to provide payroll records or other documentation as deemed necessary within 10 business days from the receipt of the city’s request.
Any person has a right to submit a complaint to the Human Rights Office if he or she believes the employer is not complying with the requirements. A violation of the provisions is punishable by a fine of not more than $500 in addition to all costs of the action. Additionally, the City has the right to modify, terminate, cancel or suspend a contract in the event of a violation of the Ordinance.
Covered employers must display the City of Ann Arbor Living Wage Ordinance poster in a prominent place where it can be seen by employees.