Section R. 390.1775 - Eligible employersRule 5.
(1) Postsecondary schools may enter into written MWSG employment agreements with nonprofit employers who meet all of the following criteria: (a) Provide not less than 20% of the wages earned by each MWSG student placed.(b) Do not use MWSG recipients to displace employed workers.(c) Do not employ MWSG recipients to construct, operate, or maintain facilities of sectarian instruction or religious worship.(d) Do not pay MWSG recipients at a rate less than the prevailing federal minimum wage.(e) Enter into a signed written agreement with the postsecondary school to provide such employment for students recommended by the school.(f) Postsecondary schools employing MWSG students on campus will be considered nonprofit employers for purposes of these rules.(2) Postsecondary schools may enter into written MWSG employment agreements with profit-making employers who meet all of the following criteria:(a) Provide not less than 50% of the wages earned by each MWSG student placed.(b) Do not use MWSG recipients to displace employed workers.(c) Do not employ MWSG recipients to construct, operate, or maintain facilities of sectarian instruction or religious worship.(d) Do not employ MWSG recipients at a rate less than the prevailing federal minimum wage.(e) Enter into a signed written agreement with the postsecondary school to provide such employment for students recommended by the school.(3) The written employment agreement shall specify whether the employing organization or the postsecondary school is considered the student's employer and which entity is responsible for any fringe benefit payments and the employer's share of any welfare or insurance programs associated with MWSG employment. State MWSG funds shall not be used to pay for any of the following:(a) The employer's share of social security, workman's compensation, unemployment insurance, retirement, or any other welfare or insurance that the employer pays on behalf of the student employee.(b) Fringe benefits, such as paid sick days, paid vacations, or paid holidays.(c) Job-related injuries or illnesses.(4) The employment agreement shall further specify whether the postsecondary school or the employer shall be responsible for actually paying the student and the frequency of payment.(5) In other areas not specified in the act or these rules or by the authority, the employment agreement format and content shall follow prevailing federal college work-study practices.(6) All such written employment agreements shall be maintained by the postsecondary school for audit purposes.Mich. Admin. Code R. 390.1775