While Illinois' state minimum wage is $13.00 per hour, Chicago has set its own, higher minimum wage And, the rate is higher outside the city limits. In Illinois, tipped employees may make $7.20 per hour in 2022. And for youth workers, the minimum wage is now $11 per hour, rising until it reaches $15 an hour by 2025, when there will no longer be an exemption to the city's minimum wage ordinance for employees under 18. If a tipped workers wages plus tips do not equal at least the full minimum wage, the employer must make up the difference. For tipped employees in Chicago, the minimum wage will be $9.24 for employers with 21 or more workers and $8.70 an hour for businesses with fewer than 21 workers. hmoH~lUM4^=jld;Uof [email protected] How That Could Change, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Who Did Your Ward Vote For? 0 Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. Employers must also make up the difference between any tips received and the minimum wage for non-tipped workers. This increase will hit most large employers in Chicago. Youths who work over 650 hours per year are entitled to the regular minimum wage. 2023: $15. Either way, this law goes into effect next month, and itll take time to see just how well it works (or doesnt) for everyone involved. Vaccines protect you and the people around you, reducing the spread of COVID-19. Fully updated for March 2017! No: Yes: would raise starting wages to $15 an hour for all workers. For companies that employ between four and 20 people, the minimum wage rises to $14 per hour. Employers that maintain a business facility within the City of Chicago or are required to obtain a business license to operate in the City are required to pay their employees at least the Chicago minimum wage. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. Anyone . The increase, of 40 cents for workers at the citys large employers, comes at a time when many Chicagoans are struggling with the effects of sky-high inflation. Scheduled changes are also coming to the citys Fair Workweek Ordinance, which requires employers in certain industries to give employees advance notice of their schedules and pay them for last-minute changes. If you are not seeing the minimum wage increase in your paycheck and you think you should be getting it, you may want to avoid confronting your boss. The Illinois minimum wage is scheduled to increase to $12-an-hour on January 1,. Starting July 1, the minimum wage for tipped employees will rise to $7.40. The minimum wage for larger employees increases annually according to the Consumer Price Index or 2.5%, whichever is lower, since reaching $15 per hour in 2021. Mayor Lightfoot has worked tirelessly to ensure that Chicagos workers, especially the most vulnerable, are protected under Chicagos labor laws. Even if you work outside of Chicago, you may be paying less than the minimum wage. What will your paycheck look like? With these new measures, the City is reaffirming its commitment to our talented workers and demonstrating why we are one of the nation's leaders in protecting workers' rights.". They must be paid at least $12 an hour. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. TheBACP OLS webpageoffers informational materials on Chicagos Labor Standards Laws. Groups like Fight for $15 have been lobbying for those increases for years, and a handful of large retailers have already boosted wages to that level or higher. ). Learn more atLearn more at Chicago.gov/COVIDVax. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. For smaller businesses with 4-20 employees, the increase is delayed until 2022. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. Retaliation is prohibited. The minimum wage for workers at companies with more than 20 employees increases to $15 per hour starting July 1 under an ordinance passed in. Anyone age 24 or younger employed by, or engaged in employment coordinated by a nonprofit organization or government agency will see a minimum wage increase to $12.00 on July 1, 2022. It's $14 . And. They plan to pay even more at all three of her locations to stay competitive and keep workers. My Future. If the tipped . This site is a free public service not affiliated with the Department of Labor or any governmental organization. In partnership with Mayor Lightfoot, we are continuing our commitment to provide working families sustainable wages and work schedule certainty.. The Chicago minimum wage also applies to Subsidized Temporary Youth Employment Programs like those catering to Chicago's youth looking for summer employment opportunities. Chicago's minimum wage is going up Thursday. Df&CA$g`@8/`5Lg`Z Per the city's Minimum Wage Ordinance, on July 1, 2022, Chicago's minimum wage for non-tipped workers will increase to $15.40 for large businesses that employ 21 or more workers, and. The ABC 7 I-Team found out who may and may not benefit, and breaks down the numbers in your paycheck. The citys ordinance also extends certain sexual harassment protections for workers. The federal minimum wage rate was raised to $7.25/hour in 2009. For Large Employers (501 or more employees) $17.27/hour: For Small Employers (500 or fewer employees) Does employer pay $1.52/hour toward medical benefits and/or does employee earn $1.52/hour in tips? In Chicago, the minimum wage is already $15 an hour for employers that have 21 or more employees. Domestic workers, including people who work in child care, housekeeping and home health services, must make $15.40 regardless of employer size. Beginning on July 1, 2022, the minimum wage in Chicago will be: $15.40 per hour for Employers who have 21 or more Employees ($9.24 per hour for tipped Employees like restaurant servers). Despite the increase, Chicago workers can still earn more than that wage, as long as they are working in the city. July 1, 2022. The minimum wage for medium-sized employers increased 50 cents this year. (MCMF) mobile app,which is aresource designed to help teens and young adultseasily find out-of-school programs, events, resources, jobs, and more. "Now I will have to keep going higher and higher than the minimum wage because a lot of people don't want to work for minimum wage," Owner Laricia Baker told the I-Team. It is set to increase Jan. 1, 2023, to $13 and $7.80, respectively. In the context of the fair workweek ordinance, a large employer is one that has 100 or more employees. The increase will affect tipped employees as well. %PDF-1.6 % Chicago is currently experiencing skyrocketing inflation and the increase in the minimum wage will make things more affordable for many Chicagoans. The city is raising its minimum wage every year, as mandated by law. During the pandemic, some employers, particularly those in the restaurant, retail and travel industries, have upped starting wages to $15 or higher. Last updated June 7, 2022. July 1,2022 Effective Date. hb```R ce`axpSIi~r[?; (J30X03g'w5$: 3g0`[!WX?q;l^ J`G[( H 4. Overtime pay equals time and a half of an employees regular pay rate. The citys Fair Workweek Ordinance, which went into effect in 2020, requires large employers in certain industries to give workers advance notice of their schedule and pay them for last-minute changes. Heres what you need to know. Learn more atLearn more at Chicago.gov/COVIDVax. 2021: $13.50. You can find more information about Illinois' minimum wage and labor laws on this site. 183 0 obj <>stream "We estimate they're close to 500,000 workers, that this increase will affect and help uplift and each and every one of them should see that increase in their next paycheck," said the deputy chief of staff for the Chicago Federation of Labor. endstream endobj 270 0 obj <>stream But July 1, that rate is set to increase, according to officials. If the unemployment rate is more than 8.5%, the minimum wage will not increase at all. Copyright 2023 WLS-TV. In Chicago, on July 1, 2022, the minimum wage for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. Help us keep Minimum-Wage.org up-to-date! Raising the minimum wage has lifted up thousands of workers throughout Chicago, and especially during these times of inflation and uncertainty, every cent counts, said Bob Reiter, President of the Chicago Federation of Labor. The minimum wage for employees under the age of 20 is $4.25 per hour for the first 90 days of employment, and after this, they are eligible for their Chicago minimum wage rate. What is minimum wage in Chicago 2022? Keep in mind that Illinois and the Federal Fair Labor Standards Act both define various minimum wage exemptions and other labor laws that may apply to employees in Chicago. The minimum wage as of July 1, 2022 will be: On July 1, 2022, scheduled enhancements to the Fair Workweek Ordinance will require employers in covered industries to post work schedules with at least 14 days notice, an increase from the previous 10 days notice. Groups like the Fight for $15 have pushed for higher minimum wages for years. That means that even though inflation hit 8.6% in May, Jalen Carter, a top NFL draft prospect, charged with reckless driving and racing in fatal accident in Georgia, Greek transport minister resigns after head-on train crash kills at least 36, Southtowners: Evergreen Park art students win, Lemont successful at state, and more, Do Not Sell/Share My Personal Information. The more generous minimum wage may apply in these localities: Seattle: $18.69/hr. endstream endobj 127 0 obj <. The average Illinoisan has seen wages cut by $2,200 in the past decade, while inflation has increased by 10 percent (according to the Bureau of Labor Statistics). The minimum wage is set by the citys ordinance. Nixle is increasing Chicagos minimum wage because we believe a fair days pay is part of our longstanding commitment to safety in the workplace. Fight for $15 protesters rally and chant "We're fired up, can't take it no more," in Chicago on April 14, 2016. Chicago minimum wage is set to increase to $15 per hour on July 1, 2022. Employers who violate the notices may face fines of $500 to $1,000 per day. Our city's labor laws, including the minimum wage, are an important backbone of our city's economy and provide stability to working families. This increase will be a 40 cent increase over the current minimum wage, which is $7.25 an hour. 21 or more employees: Current Minimum Wage $15.40 / hour Effective 7/1/2022 Future Increase TBD Lightfoot said the move is a victory for working class employees who are the backbone of the city. gRsg[sH~3\C? Arrest warrant issued for top NFL Draft prospect Jalen Carter, ABC7 Chicago says farewell Meteorologist Phil Schwarz, $1M winning Powerball ticket sold in Chicago. Get an Illinois all-in-one labor law poster. "Employers that maintain a business facility within the City of Chicago or are required to obtain a business license to operate in the City are required to pay their employees at least the Chicago minimum wage," a press release from the city states. If they fail to do so, they can be fined between $500 and $1,000 per day. Unfortunately, the Consumer Price Index this year exceeded that, Fox said. 312 0 obj <>stream %PDF-1.6 % Nannies and other household employees are covered by the Fair Labor Standards Act, which means they must be paid the prevailing minimum wage rate. In the coming years, those rates will continue to increase. Under the ordinance, the citys minimum wage requirements can be waived in a collective bargaining agreement, but only if the waiver is written out explicitly in the agreement. But if they don't make $15 per hour on average overall, employers must make up the difference to reach that new citywide minimum wage. Currently, Chicago's minimum wage is $15 an hour for employers that have 21 or more employees, and $14 an hour for smaller businesses. The state minimum wage in Illinois is $12; the federal minimum wage sits at $7.25. If the citys unemployment rate meets or exceeds 8.5% in a given year, there will be no minimum wage increase the next year. The citys minimum wage is not just a piece of legislation, it also influences employment. And that $15 an hour would make a difference for so many, especially for . All rights reserved, Cook County's Minimum Wage To Increase July 1, Women Are Still Paid 83 Cents for Every Dollar Men Earn. Large Employers; 21 or more employees; Small Employers; 4 to 20 employees; Youth Workers . The minimum wage, its just, its fair, it gives people a living wage, said Andy Fox, the director of Chicagos Office of Labor Standards. Another exception is for young employees those 24 or younger of religious corporations or organizations. The county minimum wage increase is also pegged to inflation or 2.5%, whichever is lower. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. The minimum wage for larger employees increases annually according to the Consumer Price Index or 2.5%, whichever is lower, since reaching $15 per hour in 2021. Beginning in 2022, the minimum wage in Chicago will increase each year at a rate tied to the consumer price index, capped at 2.5% annually. Federal Minimum Wage | Let us know in a single click, and we'll fix it as soon as possible. 126 0 obj <> endobj This year, the Consumer Price Index exceeded this cap and the minimum wage was frozen. The new ordinance also requires employers to pay younger workers more than the minimum wage. What Is the Minimum Wage in Chicago? According to state law, teenagers under the age of 18 must be paid at least Illinois' current youth minimum wage, which is $9.25. SeaTac: $19.06/hr. As noted by the Illinois Department of Labor, the state's minimum wage is $12.00 per hour for untipped employees who are at least 18 years old. As of July 1, employers with at least 21 employees must pay them at least $15.40 an hour, up from $15 last year. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. In todays competitive labor market, Chicago has proven itself as a worker-friendly city. State Minimum Wages | Save my name, email, and website in this browser for the next time I comment. The citys minimum wage increases are laid out in its minimum wage ordinance. When applying an allowance for gratuities to the wage of City concessionaire employees in positions that customarily receive gratuities, the resulting rate is $8.20 per hour. The minimum wage for workers at companies with more than 20 employees increases to $15 per hour starting July 1 under an ordinance passed in November 2019. 2019: $12. Under the ordinance, workers under 18 must be paid at least $12 an hour, up from $11 an hour last year. "Raising the minimum wage to $15.40 and requiring employers to post schedules 14 days in advance not only protects the rights of workers but creates better economic opportunity for all residents. Chicagos minimum wage increases each July 1st. While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. Mayors Press Office 312.744.3334 [email protected], Elisa Sledzinska 312.744.1973 [email protected]. Aside from the fines, employers will be forced to post the minimum wage notices in multiple languages. "That's a little more money you can buy groceries with," says Rosemary Coleman who is ready to see more money in her paycheck. ABC 7s I-Team breaks down the numbers for you. Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. For larger businesses with 21 or more employees, the minimum wage increases annually according to the Consumer Price Index or 2.5%, whichever is lower, until reaching $15 per hour in 2021. The Chicago minimum wage also applies to Subsidized Temporary Youth Employment Programs like those catering to Chicagos youth looking for summer employment opportunities. Your email address will not be published. Notice effective on July 1, 2022. Under Illinois law, the minimum wage for workers aged 18 and over is $11.00 per hour as of January 2021. In raising the minimum wage, the city continues to be a leader in advocating for equitable job opportunities to lift up residents in all of Chicago's 77 neighborhoods.". In Chicago, this means a fifty-cent increase for employees. In Chicago, on July 1, 2022, the minimum wage for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. 297 0 obj <>/Filter/FlateDecode/ID[<6E5AB61FA15CDA4C85BC0B8CF0E74592>]/Index[266 47]/Info 265 0 R/Length 139/Prev 159337/Root 267 0 R/Size 313/Type/XRef/W[1 3 1]>>stream Cook Countys minimum wage is also increasing July 1, to $13.35 for nontipped workers and to $7.40 for tipped workers. Deerfield-based Walgreens announced last year it would raise starting wages to $15 an hour for all workers by November of this year. Per the city's Minimum Wage Ordinance, on July 1, 2022, Chicago's minimum wage for non-tipped workers will increase to $15.40 for large businesses that employ 21 or more workers, and $14.50 for smaller businesses. You can find a list of highest and lowest minimum wage rates here . / MINIMUM NA SAHOD / , Mailing ListIf you wish to be added to our mailing list for the Office of Labor Standards updates, announcement and notices, please email us at [email protected] ResourcesPaid Sick Leave Ordinance Information Fair Workweek Ordinance InformationAnti-Retaliation Ordinance InformationVaccine Anti-Retaliation Ordinance InformationOffice of Labor Standards, Empowering Businesses and Protecting Consumers, An official website of the City of Chicago, Permit for Business ID and Advertising Signs, Vital Records from the Cook County Clerk's Office, AIC (Annual Inspection Certification) Inspections, Economic Disclosure, Affidavit, Online EDS, City Council Office of Financial Analysis, Community Commission for Public Safety & Accountability, Schedule an Appointment with a Business Consultant, Neighborhood Business Development Center (NBDC), Vaccine Anti-Retaliation Ordinance Information. On Behalf of Billhorn Law Firm | Apr 24, 2022 | Wage & Hour Laws. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. It will reach $15 on July 1, 2023. HV[o6~8}Ur!6D@Q{pd'KziwC{)}. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. Its expected to increase by less than 3%, a tenth of that amount. The Chicago Fair Workweek Ordinance requires that employers notify employees of schedule changes 14 days in advance. Beginning July 1, 2022, employers in Chicago must post a Minimum Wage Notice and Fair Workweek Notice. In Chicago, enhancements to the Fair Workweek Ordinance take effect, which require employers in covered industries to post work schedules with at least 14 days' notice. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. "We need it even more now because people are financially struggling," Mayor Lori Lightfoot said when speaking to workers at Navy Pier Friday morning. Until this year, the minimum wage for larger employers in Chicago increased $1 per year. The minimum wage in Chicago and suburban Cook County increased Friday and in the city, new parts of the Fair Workweek Ordinance took effect. According to the Department of Business Affairs and Consumer Protection, Chicago minimum wage is not keeping pace with national inflation. All rights reserved, This Map Shows Exactly How the City of Chicago Voted for Mayor in the 2023 Election, Report: Jalen Carter Arrest Warrant Issued for Racing Car, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Who Did Your Ward Vote For? Chicago minimum wage is tiered for large and small businesses. State Minimum Wage Rates 2022 vs. 2023. Is any of our data outdated or broken? All Rights Reserved. Ultimately, this will be a boon for low-income workers in Chicago. And for tipped workers, the rates increased to $9.24 for large employers and $8.70 for smaller businesses. particularly those in the restaurant, retail and travel industries, have upped starting wages to $15 or higher. 266 0 obj <> endobj Eligible youth can find qualifying opportunities by downloading the My CHI. #{b,Ap)$B9(fpBKU RV0DX:]tkY#=m^ou`11: %?\N*H(UaAy.!Nj&iN}`fL'O!dFeM4'=/![bZTtY,|G1}u? The increase will raise Chicago's minimum wage by $0.50 per hour. What is the minimum wage in Chicago? Vaccines protect you and the people around you, reducing the spread of COVID-19. The table below lists the current prevailing 2023 minimum wage rates for every state in the United States. Not to be outdone, the City of Chicago and Cook County are increasing their set minimum wages on July. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. On January 1, the Illinois minimum wage increased to $12 an hour. For medium-sized companies with between four and 20 employees, workers must make a minimum of $14.50 an hour, up from $14 last year. The COVID-19 vaccines are safe and effective, and are an important tool for ending the global pandemic. workers are guaranteed Chicago's minimum wage - even those working for Employers with fewer than four workers. Youths working less than 650 hours per year. Here's Why, Wages Up to $147,000 Are Currently Taxed for Social Security. The departments investigators can answer questions and look into whether a case may need to be investigated more formally, Fox said. So, if youre wondering: what is minimum wage in Chicago 2022? The Minimum Wage ordinance in Chicago currently provides that workers, defined as Covered Employees, shall earn $14.50 per hour if they work for an employer that has from 4 to 20 employees and $15.40 for an employer that has 21 or more employees. Alaska Minimum Wage 2023 (right information). The current minimum wage for the state of Illinois for non-tipped workers is $12, and $7.20 for tipped workers. endstream endobj startxref Employers should consider updating their minimum wage posters to reflect the new rates. Copyright 2023 NBCUniversal Media, LLC. Chicago businesses are required to post theMinimum Wage NoticeandFair Workweek Noticeat their business. A $1 increase in Illinois' minimum wage is set to take effect on New Year's Day 2022. . Additionally, any employee that works two hours or more in the City within a two-week period must also receive at least the Chicago minimum wage. endstream endobj 271 0 obj <>stream The minimum wage as of July 1, 2022 will be: $15.40 for employers with 21 or more employees (including all domestic workers, regardless of the number employed) $14.50 for employers with 4-20 employees The minimum wage for the 2022 calendar year for large and small employers is set forth in the table below: 2022 Minimum Wage. On July 1, the ordinance will require those employers to give workers 14 days notice of their schedules instead of the 10 days notice previously required. Cook County, which has it's own Minimum Wage Ordinance, will also increase its minimum wage on July 1, from $13 to $13.35 for non-tipped workers, and from $6.60 to $7.40 for tipped workers. Businesses must have at least 50 employees who are eligible to be covered under the ordinance for the law to apply. 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