The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. In 2022, the hourly minimum wage in Chicago is $15.40 for businesses with more than 20 employees or $9.24 for tipped workers. You can find more information about Illinois' minimum wage and labor laws on this site. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. The Chicago minimum wage also applies to Subsidized Temporary Youth Employment Programs like those catering to Chicagos youth looking for summer employment opportunities. Local Minimum Wage Rates. Chicago minimum wage in 2022 will be $14 or $15, depending on the number of employees and the size of the business. Fortunately, these fines will only be a small fraction of the amount employers will have to pay in fines for violating the ordinance. 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. "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. Details This page contains the Low Pay Commission's recommendations on the National Living Wage and National Minimum Wage rates which will apply from 1 April 2022. 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? It will continue to increase every year, linked to the Consumer Price Index and capped at 2.5%. It is set to increase Jan. 1, 2023, to $13 and $7.80, respectively. 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), Chicago's Minimum Wage Increase and Fair Workweek Changes Go Into Effect July 1, 2022, $15.40 for employers with 21 or more employees (including all domestic workers, regardless of the number employed), The minimum wage for tipped employees will be $9.24 for employers with 21 or more employees, and $8.70 for employers with 4-20 employees (employers must make up the difference between any tips received and the applicable minimum wage for non-tipped workers. f you want to learn about Arkansas minimum wage, you can click on it. Companies in Chicago with 21 employees or more will need to pay workers at least $15.40 an hour. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. Required fields are marked *. 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 OLS is dedicated to promoting and enforcing Chicagos labor laws, including Minimum Wage, Paid Sick Leave, Fair Workweek, and Wage Theft Ordinance. 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. 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 plan to pay even more at all three of her locations to stay competitive and keep workers. The federal minimum wage is $7.25 an hour. According to state law, teenagers under the age of 18 must be paid at least Illinois' current youth minimum wage, which is $9.25. "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. Youth workers in Chicago are to be paid a minimum wage of $12.00 per hour, with an overtime rate of $18.00 per hour once 40 hours a week has been surpassed. "That's a little more money you can buy groceries with," says Rosemary Coleman who is ready to see more money in her paycheck. Businesses with fewer than 21 employees are required to pay employees at least $14.50 an hour. Chicagos minimum wage is set to increase Friday, when it will rise above $15 per hour for the first time. If the citys unemployment rate meets or exceeds 8.5% in a given year, there will be no minimum wage increase the next year. Instead of printing out pages of mandatory Illinois and Federal labor law posters, you can purchase a professional, laminated all-in-one labor law poster that guarantees compliance with all Illinois and federal posting requirements. Beginning July 1, 2022, employers in Chicago must post a Minimum Wage Notice and Fair Workweek Notice. The minimum wage for workers under-18 in Illinois who work less than 650 hours in a calendar year is $8.50. 2023: $15. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. Businesses must have at least 50 employees who are eligible to be covered under the ordinance for the law to apply. Under the ordinance, workers under 18 must be paid at least $12 an hour, up from $11 an hour last year. 2020: $12.75. 2023 minimum wage announcement poster. Industries covered by the ordinance are health care, hotels, restaurants, retail, warehouses, manufacturing and building services. SeaTac: $19.06/hr. Several big measures are going into effect July 1 in Chicago, one of them being an increase in the city's minimum wage. "Employers that maintain a business facility within the City of Chicago or are required to obtain a business license to operate in the City are required to pay their employees at least the Chicago minimum wage," a press release from the city states. }y>"e't:ikz1(ET&Mj^|M2FeI;oWym?RV:G\d~~QgqVpVx!nMr{:fBbZ[A >[m;!av$voedkubG|D,Wql1.DUYEj-xkI='aZ?]aoe!NvJR6l9c0'(!t,x|?N_{yuy#olII>]vd$Z#{gh?ECc+Rv-H Lightfoot said the move is a victory for working class employees who are the backbone of the city. All Rights Reserved. The more generous minimum wage may apply in these localities: Seattle: $18.69/hr. Chicago businesses are required to post theMinimum Wage NoticeandFair Workweek Noticeat their business. As of July 1, employers with at least 21 employees must pay them at least $15.40 an hour, up from $15 last year. The minimum wage for medium-sized employers increased 50 cents this year. Companies with wage floors at $15 or higher include big employers like Target, Costco and Amazon. In addition to the city's minimum wage increase on July 1, certain industries in Chicago including healthcare, hotel, restaurant, retail or warehouse, at that time will also be required to post work schedules with at least 14 days' notice, an increase form the previous 10 days' notice. The state minimum wage is $12 for nontipped workers 18 and over and $7.20 for tipped workers. Chicago has a long, proud history of being allied with workers, both promoting and protecting their rights, said Mayor Lightfoot. You have probably asked yourself this question before. It also increases the minimum wage for young employees employed by religious institutions. Chicago's current minimum wage is $15 an hour for businesses with 21 or more employees and $14 for businesses with . They must be paid at least $12 an hour. Chicago minimum wage will increase by 40 cents to $15 per hour. On January 1, 2022, we saw the Illinois minimum wage increase from $11.00 to $12.00. uJ(\cZYy:8-_Sg8W8gjcAn~k_65c%M'6nr Z1?vc33D$(MTfJ/`\b9{iN&D!w5v2eO>(p_MO%~|sp^0C9d20eeR1=7{Z#*"ng5Z03,>,b[]/2.R7Bw1}#aXYk(Ri8s4T7io7. R wy8yM`?xioUrX/ !f Youths working less than 650 hours per year. Chicagos minimum wage increases each July 1st. 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. The current minimum wage for the state of Illinois for non-tipped workers is $12, and $7.20 for tipped workers. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. If the tipped . For more information, check out the Illinois Department of Labor and the Cook County Minimum Wage Ordinance. TheBACP OLS webpageoffers informational materials on Chicagos Labor Standards Laws. ). (Jose M. Osorio / Chicago Tribune). But how much money could you get? endstream endobj startxref 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. 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. 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. These recommendations. Eligible youth can find qualifying opportunities by downloading the My CHI. Earlier this year, Illinois amended its minimum wage law to gradually increase the minimum wage for Illinois employees to $15/hour by 2025. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. Several factors influence the minimum wage in Chicago, including the economy and the number of jobs available. At "Can't Believe It's Not Meat" in Old Town, owners said they already pay more than the minimum wage. Help us keep Minimum-Wage.org up-to-date! BACP will host free informational webinars to prepare employers for the upcoming changes to Chicagos Labor Standards Laws. 183 0 obj <>stream The minimum wage increase provides a multitude of benefits, from a better livelihood for workers to enhanced stability for employers when it comes to recruitment and retention, said Kenneth J. Meyer, BACP Commissioner. Now, employees in covered industries who make less than $29.35 per hour or $56,381.85 per year will be covered by the ordinance. Fight for $15 protesters rally and chant "We're fired up, can't take it no more," in Chicago on April 14, 2016. are struggling with the effects of sky-high inflation. Deerfield-based Walgreens announced last year it would raise starting wages to $15 an hour for all workers by November of this year. In suburban Cook County, the minimum wage for non-tipped workers will increase to $13.35 an hour and $7.40 for tipped workers. HV[o6~8}Ur!6D@Q{pd'KziwC{)}. "u$G 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. 2019: $12. 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. The law also requires employers to pay overtime to employees who work more than forty hours in a week. This increase will be a 40 cent increase over the current minimum wage, which is $7.25 an hour. BK endstream endobj 271 0 obj <>stream In Chicago, this means a fifty-cent increase for employees. 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 Teens under the age of 18 will see a new minimum wage of $12 for non-tipped employees, and $7.20 for tipped employees. gRsg[sH~3\C? On Behalf of Billhorn Law Firm | Apr 24, 2022 | Wage & Hour Laws. 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. Read more: Does Marshalls Take Apple Pay? 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. SETS MINIMUM WAGE IN CHICAGO (MCC 6 -105) MINIMUM WAGE. But July 1, that rate is set to increase, according to officials. New minimum wages in effect July 1 for Chicago, Cook County . And that $15 an hour would make a difference for so many, especially for . Its expected to increase by less than 3%, a tenth of that amount. %PDF-1.6 % How That Could Change, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Who Did Your Ward Vote For? Notice effective on July 1, 2022. 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. 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. Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. Starting Friday, the umbrella of workers covered under the ordinance will expand and employers will be required to give those employees a few days additional notice of their schedules. This year, the Consumer Price Index exceeded this cap and the minimum wage was frozen. The minimum wage, its just, its fair, it gives people a living wage, said Andy Fox, the director of Chicagos Office of Labor Standards. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. See How All 50 Wards Voted in the 2023 Chicago Mayoral Election, All Eyes On a Strong' System That Could Hit Chicago Area Friday, But Much Uncertainty Remains, Who is Brandon Johnson? In addition to Chicago, there are other localities in Illinois that have passed municipal minimum wage legislation. hb``e``fc```rb@@,&+MW(1`fbea9*C[$0qeY#![O j L^)P v30BT1 Alaska Minimum Wage 2023 (right information). The citys minimum wage increases are laid out in its minimum wage ordinance. 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 in Chicago and suburban Cook County increased Friday and in the city, new parts of the Fair Workweek Ordinance took effect. Nixle is increasing Chicagos minimum wage because we believe a fair days pay is part of our longstanding commitment to safety in the workplace. My Future. And. Employers must also make up the difference between any tips received and the minimum wage for non-tipped workers. July 1, 2022. endstream endobj 270 0 obj <>stream For instance, employees under the age of 18 must be paid $12 an hour. Some local jurisdictions have higher minimum wage rates and different labor rules than Washington state. For tipped workers, the rates will also increase -- to $9.24 for large employers and $8.70 for smaller businesses. 4. Chicago has been a leader in worker protections, and the upcoming changes reflect the Citys commitment to creating financial opportunity for all Chicagoans. The increase will affect tipped employees as well. Fully updated for March 2017! %%EOF State 2022 Minimum Wage 2023 Minimum Wage (effective 1/1/23 except as noted) Alabama : $7.25 (Federal, no state minimum) Alaska : $10.34: $10.85: Arizona : $12.80: $13.85: Arkansas : $11.00 : California : $15.00 for businesses with 26+ employees; $14 for businesses with 25 or fewer employees: %PDF-1.6 % 2023 Minimum Wage Rates By State Get a Federal all-in-one labor law poster 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. Employers should consider updating their minimum wage posters to reflect the new rates. Youths who work over 650 hours per year are entitled to the regular minimum wage. Faced with the challenges of providing for families, paying rent, buying groceries and fighting the rising costs of gasoline, low wage workers are able to earn a living wage with the increases to the Chicago minimum wage and the lengthening of the Fair Workweek notice requirement this year, said Andy Fox, Director of the Office of Labor Standards. Employers who violate the notices may face fines of $500 to $1,000 per day. 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. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. Employees working on a "commission only" basis must receive at least the minimum hourly wage for the time they spend working. On January 1, the Illinois minimum wage increased to $12 an hour. Copyright 2023 Minimum Wage | Powered by Astra WordPress Theme. Until this year, the minimum wage for larger employers in Chicago increased $1 per year. Is any of our data outdated or broken? 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.". 2022: $14.25. 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. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. Chicago's minimum wage is going up Thursday. Here's Why, Wages Up to $147,000 Are Currently Taxed for Social Security. But, what will it cost you? Large Employers; 21 or more employees; Small Employers; 4 to 20 employees; Youth Workers . The citys ordinance also extends certain sexual harassment protections for workers. Get an Illinois all-in-one labor law poster. 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. Our previous post Alaska Minimum Wage 2023 (right information) We recommend that you also read our article titled. The minimum wage for the 2022 calendar year for large and small employers is set forth in the table below: 2022 Minimum Wage. 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). Who Qualifies . Copyright 2023 NBCUniversal Media, LLC. When she gets her check these days, she pays her bills, rent, light bill, gas bill, and may have only $100 left, which she says is not enough. State Minimum Wage Rates 2022 vs. 2023. What is the minimum wage in Chicago? Domestic workers like those in childcare and home health services must be paid at least $15.40 an hour, regardless of the size of the company. 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 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. Call the Office of Labor Standards at 312-774-2211 or email bacplaborstandards@cityofchicago.org. The minimum wage increase comes just in time for those struggling as the cost of everything is going up. The upcoming minimum wage increase and fair workweek changes align with Mayor Lightfoots Anti-Poverty Agenda which includes growing quality jobs, improving peoples income, building wealth, and closing racial health disparities. 159 0 obj <>/Filter/FlateDecode/ID[<3BFCB49C3177B8469B7F76F87E6D841A><380E6F55F1D8B24981E52EE9EE2EDFE4>]/Index[126 58]/Info 125 0 R/Length 141/Prev 131880/Root 127 0 R/Size 184/Type/XRef/W[1 3 1]>>stream {5Hx+"Z)= mA*{b/`Hc^ U]Z`r_h8?dH`dt?l8rWpH&B1` D HVNI}Gj#EDq2L:fY~O_flIOWwWSvu\]_'+z:XWjrEV\ kJ`}xr3[._GC*CFCAQ4+68$T\d4|{DQT'j=JpZ=p6?)4=/&'a[TLA {$BXj'Tb%z K2t7&'-u |pip74hH#-Q&st`21A ng|R!j =}7"1h((%km3#"39HMRhB%aD--1~wNN8bdFNHtq@ R; 9BiN2z2&PDd`:fnBI![Tnw RJJjy-QBrQ&[koiN6tdGJdR~JF;.FmU*:ZEjkx85H7^u,':,[hX\)3B>L[rzbD0+Tt(=E]Y?r=eRI\5s\ Despite the increase, Chicago workers can still earn more than that wage, as long as they are working in the city. View Sitemap. Last updated June 7, 2022. 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