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HB 4781

Labor: fair employment practices; penalties and payment of back wages for violations of the whistleblowers' protection act; increase. Amends secs. 4 & 5 of 1980 PA 469 (MCL 15.364 & 15.365).

2025-2026 Regular Session Introduced by Joe Aragona and 19 co-sponsors

HB 4781 strengthens the Whistleblowers’ Protection Act by tripling potential back wages, raising fines to 2000, and allowing recovery of costs to deter retaliation.

bill electronically reproduced 08/21/2025
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Bill Summary · HB 4781

Summary — HB 4781 (Whistleblowers’ Protection Act amendments)

Sponsor: Rep. Jay DeBoyer
Introduced: March 13, 2025 (electronically reproduced Aug. 21, 2025)
Referred to: Committee on Judiciary
Related: SB 2041 (companion)

Purpose

HB 4781 would amend the Michigan Whistleblowers’ Protection Act (1980 PA 469) to increase monetary penalties and strengthen monetary remedies available to employees who successfully bring actions for retaliation after reporting violations of law. The bill seeks to enhance deterrence against employer retaliation and increase compensation for harmed employees.

Key provisions

  • Amends MCL 15.364 (Sec. 4):

    • Expands the court’s remedial authority in actions under the Act to include payment of three times (3×) the amount of back wages owed to the employee. The court may order any combination of remedies, including reinstatement, full fringe-benefit and seniority reinstatement, actual damages, and the treble back-wage award.
    • Confirms the court may award litigation costs, including reasonable attorney fees and witness fees, when appropriate.

  • Amends MCL 15.365 (Sec. 5):

    • Increases the maximum civil fine for a person who violates the Act from $500 to $2,000.
    • The introduced bill text directs that collected civil fines be deposited in the state general fund (note: the fiscal summary references existing practice and law library distributions—see Fiscal Impact / Notes).

Who is affected

  • Employees who report, or are about to report, suspected violations of state, local, or federal law, or who are asked to participate in public investigations, would have stronger financial remedies if retaliated against.
  • Employers (or other “persons” found to violate the Act) would face higher financial exposure: larger fines and potentially trebled back-wage awards plus litigation costs.
  • State and local governments could be affected indirectly (e.g., as employers or in court caseloads).

Limits and existing protections

  • The Act’s protections do not apply if the employee knows the report is false.
  • Employees must typically bring a civil action within 90 days of the alleged violation under current Act provisions (as described in the fiscal/analysis summary).

Fiscal and procedural considerations

  • House Fiscal Agency: fiscal impact is indeterminate. Additional revenue from larger fines (up to $2,000) and any increase in awards could vary depending on the number of violations and court outcomes. The fiscal note also indicates potential effects on local court caseloads and administrative costs.
  • The fiscal summary notes current distributions of civil-fine revenue (support for public and county law libraries and a $10 deposit to the Justice System Fund under the Revised Judicature Act). The introduced bill text directs fines to the general fund, which creates a discrepancy between statutory language and the fiscal discussion.

Status / Next steps

  • Introduced March 13, 2025; electronically reproduced Aug. 21, 2025; referred to the Judiciary Committee. Companion bill SB 2041 exists in the Senate. Further committee consideration and floor action would be required for enactment.

Compiled from official sources — confirm details with the bill’s official record.

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