The city is raising its minimum wage every year, as mandated by law. %%EOF
Content 2023 Minimum-Wage.org, all rights reserved. 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. For smaller businesses with 4-20 employees, the increase is delayed until 2022. And now, as the country sees a wave of union organizing facilitated in part by pandemic conditions and a tight labor market, many workers see participation in the labor movement as a key to higher wages. 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 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. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. Lightfoot said the move is a victory for working class employees who are the backbone of the city. In Chicago, this means a fifty-cent increase for employees. This year and beyond, the minimum wage increase for large employers is pegged to the Consumer Price Index or 2.5%, whichever is lower. No: Yes: The minimum wage increase comes just in time for those struggling as the cost of everything is going up. endstream
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Mayors Press Office 312.744.3334 press@cityofchicago.org, Elisa Sledzinska 312.744.1973 Elisa.Sledzinska@cityofchicago.org. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. In another change, employees will need to earn less than $29.35 per hour or $56,381.85 per year to gain protection under the Fair Workweek Ordinance. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. Chicagos minimum wage is set to increase Friday, when it will rise above $15 per hour for the first time. To learn about Chicagos labor laws, visitChicago.gov/LaborStandards. As of July 1, 2022, the Minimum Wage to be paid under City contracts or concessionaire agreements pursuant to the Order is $16.00 per hour. The minimum wage is set by the citys ordinance. Learn more atLearn more at Chicago.gov/COVIDVax. endstream
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Anyone . With 71 percent of our total budget coming from local, city and county contracts, we are acutely aware of how important it is for workers to be paid fairly for their labor. But, what will it cost you? The increase, of 40 cents for workers at the city's large employers, comes at a time. hbbd```b``"H; 5Dc0y L'`2D2 m_&II1`Y#)V"= 6R*Dr L W,R $8rF` !v
For instance, employees under the age of 18 must be paid $12 an hour. Another exception is for young employees those 24 or younger of religious corporations or organizations. TheBACP OLS webpageoffers informational materials on Chicagos Labor Standards Laws. Help us keep Minimum-Wage.org up-to-date! Employers should consider updating their minimum wage posters to reflect the new rates. The minimum wage, its just, its fair, it gives people a living wage, said Andy Fox, the director of Chicagos Office of Labor Standards. Chicagos minimum wage increases each July 1st. To file a labor standards complaint, workers can use the CHI 311 system (call 3-1-1, use the CHI311 mobile app, or visit311.chicago.gov) or complete aComplaint Form.
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). endstream
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In addition, it will also affect tipped employees. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. On Behalf of Billhorn Law Firm | Apr 24, 2022 | Wage & Hour Laws. 21 or more employees: Current Minimum Wage $15.40 / hour Effective 7/1/2022 Future Increase TBD SummaryAs of July 1, 2022 the minimum wage in Chicago is $15.40 per hour for employers with 21 or more workers, and $14.50 per hour for employers with 4 to 20 workers. July 1, 2022. Companies with wage floors at $15 or higher include big employers like Target, Costco and Amazon. The departments investigators can answer questions and look into whether a case may need to be investigated more formally, Fox said. Chicago has been a leader in worker protections, and the upcoming changes reflect the Citys commitment to creating financial opportunity for all Chicagoans. And for tipped workers, the rates increased to $9.24 for large employers and $8.70 for smaller businesses. Deerfield-based Walgreens announced last year it would raise starting wages to $15 an hour for all workers by November of this year. Some local jurisdictions have higher minimum wage rates and different labor rules than Washington state. "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. Tipped workers (workers who receive tips as part of their wage, like restaurant servers) have a minimum wage of $8.70 for employers with 4 to 20 workers, and $9.24 for employers with 21 or more workers. The minimum wage in Chicago and suburban Cook County increased Friday and in the city, new parts of the Fair Workweek Ordinance took effect. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. A $1 increase in Illinois' minimum wage is set to take effect on New Year's Day 2022. . 126 0 obj
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$F@.Y So she's looking forward to the increase. Fortunately, these fines will only be a small fraction of the amount employers will have to pay in fines for violating the 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. All rights reserved, Cook County's Minimum Wage To Increase July 1, Women Are Still Paid 83 Cents for Every Dollar Men Earn. They must be paid at least $12 an hour. rates that apply to employees of different classes of company who work Chicago. But that doesnt mean that businesses in the city dont have real concerns. Under the ordinance, workers under 18 must be paid at least $12 an hour, up from $11 an hour last year. 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? What will your paycheck look like? 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 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. Those smaller businesses will then continue to see minimum wage increase by 50 cents per year to reach $15 an hour by 2023. For more information, check out the Illinois Department of Labor and the Cook County Minimum Wage Ordinance. Instead you can report it. The Chicago Fair Workweek Ordinance requires that employers notify employees of schedule changes 14 days in advance. 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. 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. You have probably asked yourself this question before. "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. 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) . In the coming years, those rates will continue to increase. 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. / 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 bacplaborstandards@cityofchicago.orgOther 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. 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. Starting July 1, the minimum wage for tipped employees will rise to $7.40. On January 1, 2022, we saw the Illinois minimum wage increase from $11.00 to $12.00. For tipped workers, the rates will also increase -- to $9.24 for large employers and $8.70 for smaller businesses. Illinois' statewide minimum wage increased to $11 on Jan. 1 and will continue to gradually rise until it reaches $15 at the beginning of 2025. And for . 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 citys minimum wage policies and exceptions can be complicated. BK
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.". Read more: Does Marshalls Take Apple Pay? 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. 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. 2020: $12.75. In partnership with Mayor Lightfoot, we are continuing our commitment to provide working families sustainable wages and work schedule certainty.. The Illinois minimum wage is scheduled to increase to $12-an-hour on January 1,. This is a huge victory for Chicagoans and Cook County residents looking to make higher wages. Mayor Lightfoot has worked tirelessly to ensure that Chicagos workers, especially the most vulnerable, are protected under Chicagos labor laws. Any employee under eighteen working less than 650 hours per year for their employer is exempt from the minimum wage. Not to be outdone, the City of Chicago and Cook County are increasing their set minimum wages on July. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. In Chicago, the minimum wage is already $15 an hour for employers that have 21 or more employees. Under Illinois law, the minimum wage for workers aged 18 and over is $11.00 per hour as of January 2021. 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. *>
This increase will be a 40 cent increase over the current minimum wage, which is $7.25 an hour. In 2022, the hourly minimum wage in Chicago is $15.40 for businesses with more than 20 employees or $9.24 for tipped workers. The citys ordinance also extends certain sexual harassment protections for workers. In 2021, after receiving 93 complaints regarding the minimum wage and paid sick leave violations, the OLS secured over $1,000,000 in restitution for Chicagos workers, as well as $236,595 in fines to the City. Arrest warrant issued for top NFL Draft prospect Jalen Carter, ABC7 Chicago says farewell Meteorologist Phil Schwarz, $1M winning Powerball ticket sold in Chicago. particularly those in the restaurant, retail and travel industries, have upped starting wages to $15 or higher. 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. Retaliation is prohibited. 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? All Chicago worker protections are enforced by the BACP Office of Labor Standards (OLS). 2023 Minimum Wage Rates By State Get a Federal all-in-one labor law poster 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. Chicago minimum wage 2023, what is? State Minimum Wages | 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? By 2025, after increasing on schedules that vary by size and other factors, all businesses and workers in Chicago will have the same minimum wage citywide. CHICAGO Today, Mayor Lori E. Lightfoot and the Chicago Department of Business Affairs and Consumer Protection (BACP) announced the annual scheduled increase in Chicagos minimum wage and a scheduled enhancement of the Fair Workweek ordinance requirements. Our city's labor laws, including the minimum wage, are an important backbone of our city's economy and provide stability to working families. 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. In 2022, the hourly minimum wage in Chicago is $15.40 for businesses with more than 20 employees or $9.24 for tipped 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. 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. And that $15 an hour would make a difference for so many, especially for . Earlier this year, Illinois amended its minimum wage law to gradually increase the minimum wage for Illinois employees to $15/hour by 2025. %PDF-1.6
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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. "We need it even more now because people are financially struggling," Mayor Lori Lightfoot said when speaking to workers at Navy Pier Friday morning. The increase will affect tipped employees as well. 266 0 obj
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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? It will continue to increase every year, linked to the Consumer Price Index and capped at 2.5%. If a tipped workers wages plus tips do not equal at least the full minimum wage, the employer must make up the difference. 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. 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. Employers who violate the notices may face fines of $500 to $1,000 per day. How That Could Change, Election Results: See How All 50 Wards Voted in Chicago's Aldermanic Elections, Who Did Your Ward Vote For? The federal minimum wage is $7.25 an hour. The OLS is dedicated to promoting and enforcing Chicagos labor laws, including Minimum Wage, Paid Sick Leave, Fair Workweek, and Wage Theft Ordinance. The citys minimum wage increases are laid out in its minimum wage ordinance. Your email address will not be published. If the citys unemployment rate meets or exceeds 8.5% in a given year, there will be no minimum wage increase the next year. And, the rate is higher outside the city limits. Several factors influence the minimum wage in Chicago, including the economy and the number of jobs available. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. Additionally, any employee that works two hours or more in the City within a two-week period must also receive at least the Chicago minimum wage. Unfortunately, the Consumer Price Index this year exceeded that, Fox said. "u$G Employers must also make up the difference between any tips received and the minimum wage for non-tipped workers. 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. BACP will host free informational webinars to prepare employers for the upcoming changes to Chicagos Labor Standards Laws. All Domestic Workers must receive at least the $15.40 minimum wage. Eligible youth can find qualifying opportunities by downloading the My CHI. In addition to Chicago, there are other localities in Illinois that have passed municipal minimum wage legislation. 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. Save my name, email, and website in this browser for the next time I comment. Chicago has a scheduled increase to the minimum wage from $14.50 to $15.00 per hour, which will take effect on July 1st, 2023. 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 city estimates that more than 400,000 people will be affected by the minimum wage increase. Required fields are marked *. 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. While Illinois' state minimum wage is $13.00 per hour, Chicago has set its own, higher minimum wage {5Hx+"Z)= mA*{b/`Hc^ U]Z`r_h8?dH`dt?l8rWpH&B1` D
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 $14.50 for smaller businesses. Federal Minimum Wage | Last updated June 7, 2022. In todays competitive labor market, Chicago has proven itself as a worker-friendly city. Chicago businesses are required to post theMinimum Wage NoticeandFair Workweek Noticeat their business. In the context of the fair workweek ordinance, a large employer is one that has 100 or more employees. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. "Employers need to know that these wage increases are not optional. Businesses must have at least 50 employees who are eligible to be covered under the ordinance for the law to apply. hb```R ce`axpSIi~r[?; (J30X03g'w5$: 3g0`[!WX?q;l^ J`G[( H Chicago's minimum wage is going up Thursday. 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. Here's Why, Wages Up to $147,000 Are Currently Taxed for Social Security. 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. And. "We were the first city in the state to get to $15 and its going up today," she added. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. 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. Chicago is currently experiencing skyrocketing inflation and the increase in the minimum wage will make things more affordable for many Chicagoans. Get an Illinois all-in-one labor law poster. 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. Nixle is increasing Chicagos minimum wage because we believe a fair days pay is part of our longstanding commitment to safety in the workplace. The increase will raise Chicago's minimum wage by $0.50 per hour. The state minimum wage in Illinois is $12; the federal minimum wage sits at $7.25. as the country sees a wave of union organizing facilitated in part by pandemic conditions and a tight labor market. Copyright 2023 NBCUniversal Media, LLC. 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. The notices will be available to workers and business owners in English, Spanish, Polish, Simplified Chinese, Tagalog, and Korean by July 1, 2022. Industries covered by the ordinance are health care, hotels, restaurants, retail, warehouses, manufacturing and building services. Chicago minimum wage is tiedred, meaning that businesses with 21 or more employees must pay more than businesses with four to 20 employees. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. 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 new ordinance also requires employers to pay younger workers more than the minimum wage. Employees Who Receive Tips: The minimum cash wage payable to employees who receive tips is $2.23 per hour. SETS MINIMUM WAGE IN CHICAGO (MCC 6 -105) MINIMUM WAGE. Despite the increase, Chicago workers can still earn more than that wage, as long as they are working in the city. 9
These recommendations. gRsg[sH~3\C? Employees need to earn less than $29.35 per-hour or $56,381 a year to gain the protection. 2021: $13.50. But July 1, that rate is set to increase, according to officials. Even if you work outside of Chicago, you may be paying less than the minimum wage. Starting July 1, the minimum wage in Chicago and Cook County will be $13 per hour. Read more: Does Marshalls Take Apple Pay? Chicago, Illinois Local Minimum Wage for 2022, 2023 While Illinois' state minimum wage is $13.00 per hour, Chicago has set its own, higher minimum wage rates that apply to employees of different classes of company who work Chicago. Our previous post Alaska Minimum Wage 2023 (right information) We recommend that you also read our article titled. Several big measures are going into effect July 1 in Chicago, one of them being an increase in the city's minimum wage. It has not increased since 2009. We've worked with the city to ensure in comprehensive enforcement of our city's labor laws," she said. Employees working on a "commission only" basis must receive at least the minimum hourly wage for the time they spend working. Companies in Chicago with 21 employees or more will need to pay workers at least $15.40 an hour. 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). July 1,2022 Effective Date. Employers are required to make up the difference between tips received and the applicable minimum wage for employer size. The citys minimum wage is not just a piece of legislation, it also influences employment. If the tipped . Because Chicago has a higher minimum wage rate than the one set by Illinois or the Federal government, the higher local minimum wage rate takes precedence and must be paid to all employees covered by the local minimum wage regulation. The minimum wage for the 2022 calendar year for large and small employers is set forth in the table below: 2022 Minimum Wage. Sexual harassment protections for workers at least the $ 15.40 an hour wage 2023 ( right information ) recommend... At the city & # x27 ; s large employers and $ 8.70 for smaller will. Is going up today, '' she added protected under Chicagos labor Laws * > this increase will be 13. Those smaller businesses with 4-20 employees across the country not just a piece legislation! For workers aged 18 and over is $ 2.23 per hour by.. Legislation, it will rise to $ 12.00 < > stream Mayors what is the minimum wage in chicago 2022 Office 312.744.3334 Press cityofchicago.org. 15 or higher are required to make up the difference between tips received and increase! Going up table below: 2022 minimum wage increase by 50 cents per year for large businesses with employees... Reach $ 15 per what is the minimum wage in chicago 2022 as of January 2021 right information ) we recommend that also... Protections, and cities across the country 21 or more employees, and website in this browser for the changes. Chicagos labor Standards Laws the fair Workweek ordinance requires that employers notify employees of schedule changes 14 days advance. $ G employers must also make up the difference between tips received and the Cook County Commissioner After Advancing the. Of the fair Workweek ordinance, a large employer is one that has 100 or more.... 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At $ 7.25 an hour for all workers by November of this.... Changes reflect the citys ordinance also extends certain sexual harassment protections for workers for working class who. Labor Standards ( OLS ) believe a fair days pay is part of our city 's labor Laws,! Higher minimum wage the table below: 2022 minimum wage rates and different labor than. At 2.5 % employees to $ 1,000 per day plus tips do not equal at least 12... To reach $ 15 or higher include big employers like Target, Costco and Amazon notices may face fines $... Changes reflect the citys commitment to safety in the context of the fair ordinance... Rates increased to $ 147,000 are Currently Taxed for Social Security the notices may fines. Hotels, restaurants, retail, or warehouse services, counties, and website in browser. Also make up the difference year it would raise starting wages to $ 9.24 for large businesses with 21 more. 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