Starting next year, Michigan employers will need to pay workers more than $12 an hour, following a landmark state Supreme Court ruling. The four to three decision reignites Michigan’s 2018 ballot initiatives on minimum wage and paid sick leave.

The wage will be $10 per hour, plus an adjustment for inflation since 2018. The ruling should mean higher pay for more than 800,000 in Michigan, including a 48% increase for tipped workers.

Saru Jayaraman with the advocacy group One Fair Wage, says her organization has been working for more than a decade to see a minimum wage change in Michigan.

“By 2028, 1.2 million workers will get a raise,” Jayamaran said. “But it also means that Michigan becomes the first state in 40 years and the first state east of the Mississippi to end the subminimum wage for tipped workers, which is a direct legacy of slavery.”

However, the head of Michigan’s Restaurant and Lodging Association called the court decision “tone deaf.” In a statement, Justin Winslow said 40% of full-service restaurants in Michigan are already unprofitable, and predicted the decision could force more of them to close permanently, eliminating up to 60,000 jobs.