WeVote
Log In

Bill

Bill

HB 6009

Public employees and officers: compensation and benefits; severance pay for executive and legislative branch employees and officers; limit, and require reporting if greater than a certain amount. Creates new act.

2025-2026 Regular Session Introduced by Timmy Beson and 13 co-sponsors

The bill caps severance at 12 weeks, prohibits nondisclosure, and requires public disclosure of high-severance contracts for state employees and officers.

REFERRED TO COMMITTEE ON OVERSIGHT
#publicemployeesandofficers:compensationandbenefits
0
WeVote Research Nonpartisan
Bill Summary · HB 6009

Overview

HB 6009, introduced in the Michigan Legislature for the 2025-2026 session, creates the State Employment Contract Regulation Act. Its central aim is to regulate compensation agreements, specifically severance pay, for public employees and officers in the executive and legislative branches, and to require disclosure or publication of certain public employment contracts. The act applies to contracts entered into, amended, extended, or renewed on or after its effective date.

Purpose and intent

  • Limit severance pay for state employees and state officers.
  • Prohibit or condition nondisclosure provisions related to employment contracts.
  • Require public disclosure of contract terms when severance pay is equal to or greater than six weeks of wages.
  • Ensure transparency by mandating disclosure to legislative leadership and, in certain cases, publication on public bodies’ websites and public dissemination to key leaders.

Key provisions

Definitions (Sec. 3)

  • Severance pay: compensation paid upon or after termination, in addition to wages or generally applicable retirement benefits.
  • State employee: someone employed in the executive or legislative branch, excluding state classified civil service.
  • State officer: an elected or appointed official in the executive or legislative branch.

Restrictions on severance pay and contract terms (Sec. 5)

  • General prohibition on entering into employment contracts with state employees if:
    • Severance pay exceeds 12 weeks of the employee’s normal wages.
    • The contract restricts disclosure of: (a) legal violations in the workplace, (b) the contract’s existence, or (c) portions or all of the contract text.
    • The contract does not state that it is the complete and exclusive agreement between the parties.
  • Prohibition on severance pay greater than the 12-week threshold.

Exceptions for excess severance (executive and legislative branches) (Sec. 5)

  • If the Attorney General (for executive branch) or the public body’s legal counsel (for legislative branch) determines that higher severance is needed to serve the state's best interests (e.g., risk of litigation, minimize public expenditures), the state may:
    • Enter into a contract with higher severance pay, releasing claims to the extent allowed by law; or
    • Pay the higher severance as provided in the contract.
  • Any such exception is subject to subsection (4), which requires transparency.
  • When an above-threshold contract is entered:
    • The public body must, within 28 days, make the full contract text available to the public on its website.

Disclosure requirements for officers (Sec. 7)

  • Similar prohibitions as for employees apply to state officers, including restrictions on severance pay and nondisclosure provisions, and on nondisclosure or confidentiality agreements about official duties (with limited exceptions if required by law).
  • Exceptions for excess severance for executive branch officers and, with conditions, for legislative branch officers, under the same “best interests” criteria.
  • If excess severance is approved, the public body must submit the full contract text to legislative leaders within 3 days of both entering the contract and the agreement being in effect, provided by electronic means:
    • Speaker of the House
    • House Republican and Democratic Leaders
    • Senate Majority Leader
    • Senate Minority Leader

Effective date (Sec. 9)

  • The act applies to contracts entered into, amended, extended, or renewed on or after the act’s effective date.

Who is affected

  • State employees in the executive and legislative branches (excluding state classified civil service).
  • State officers (elected or appointed within the executive or legislative branches).
  • Public bodies and agencies that enter into employment contracts with state employees or officers.
  • Legislative leadership for disclosure purposes.

Procedural and timeline aspects

  • When severance equals or exceeds six weeks of wages, the full contract must be published on the employing public body’s website within 28 days of contract execution (Sec. 5(4) for employees) and within 3 days to legislative leaders for officers (Sec. 7(4)).
  • The act specifically applies to contracts entered into, amended, extended, or renewed on or after the act’s effective date (Sec. 9).
  • High-severance exceptions require determinations by the Attorney General (executive) or public body legal counsel (legislative) and must still adhere to the disclosure requirements.

Potential impacts

  • Increased transparency around high-severance contracts and overall compensation terms.
  • Constraint on severance packages for public employees and officers, with a default cap of 12 weeks of wages, absent a state-approved exception.
  • Administrative burden on public bodies to publish contract terms and report to key legislative leaders.
  • Possible deterrence of aggressive severance packages due to disclosure and public scrutiny.

Note: This summary reflects the bill text as filed and does not account for amendments that may be adopted during committee or floor debates.

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

Sign in to ask a question.