what is the minimum wage in chicago 2022

In the coming years, those rates will continue to increase. }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 Industries covered by the ordinance are health care, hotels, restaurants, retail, warehouses, manufacturing and building services. "We need it even more now because people are financially struggling," Mayor Lori Lightfoot said when speaking to workers at Navy Pier Friday morning. Employers must also make up the difference between any tips received and the minimum wage for non-tipped workers. Several big measures are going into effect July 1 in Chicago, one of them being an increase in the city's minimum wage. SETS MINIMUM WAGE IN CHICAGO (MCC 6 -105) MINIMUM WAGE. In addition, it will also affect tipped employees. (MCMF) mobile app,which is aresource designed to help teens and young adultseasily find out-of-school programs, events, resources, jobs, and more. Even if you work outside of Chicago, you may be paying less than the minimum wage. Until this year, the minimum wage for larger employers in Chicago increased $1 per year. hmoH~lUM4^=jld;Uof $F@.Y Youths who work over 650 hours per year are entitled to the regular minimum wage. 126 0 obj <> endobj Beginning July 1, 2022, employers in Chicago must post a Minimum Wage Notice and Fair Workweek Notice. The increase will raise Chicago's minimum wage by $0.50 per hour. 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. workers are guaranteed Chicago's minimum wage - even those working for Employers with fewer than four workers. What Is the Minimum Wage in Chicago? 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. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. Learn more atLearn more at Chicago.gov/COVIDVax. Another exception is for young employees those 24 or younger of religious corporations or organizations. SEIU Healthcare Illinois, the citys labor standards office, was a leading advocate for the Fight for 15 and is a leading advocate for the Chicago minimum wage. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. Earlier this year, Illinois amended its minimum wage law to gradually increase the minimum wage for Illinois employees to $15/hour by 2025. However, Chicagos minimum wage will rise to $15 per hour in 2022, and its expected that the increase will continue to rise toward that number. 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. Any employee under eighteen working less than 650 hours per year for their employer is exempt from the minimum wage. The state minimum wage is $12 for nontipped workers 18 and over and $7.20 for tipped workers. Companies with wage floors at $15 or higher include big employers like Target, Costco and Amazon. 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 $14.50 for smaller businesses. (Jose M. Osorio / Chicago Tribune). ikM#ri >wq{^[#[k-VH8%Hz[ctloe=$Y"T5JvW]o_~{Wj*0uDY[N}.}Gg; NL The minimum wage for small businesses continues to increase towards $15 per hour by 2023. In Chicago, this means a fifty-cent increase for employees. Who Qualifies . The minimum wage for small businesses continues to increase towards $15 per hour by 2023. Employees working on a "commission only" basis must receive at least the minimum hourly wage for the time they spend working. Also as part of Chicago's Sexual Harassment Laws, all employers in Chicago are required to have a written policy on sexual harassment, display a public notice advising of the prohibition on sexual harassment where employees can see, and conduct annual training. "That's a little more money you can buy groceries with," says Rosemary Coleman who is ready to see more money in her paycheck. 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. Companies in Chicago with 21 employees or more will need to pay workers at least $15.40 an hour. Chicago is currently experiencing skyrocketing inflation and the increase in the minimum wage will make things more affordable for many Chicagoans. What to Know About the Cook County Commissioner After Advancing to the Runoff Election. It is set to increase Jan. 1, 2023, to $13 and $7.80, respectively. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. HV[o6~8}Ur!6D@Q{pd'KziwC{)}. 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. 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. In todays competitive labor market, Chicago has proven itself as a worker-friendly city. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. The ABC 7 I-Team found out who may and may not benefit, and breaks down the numbers in your paycheck. 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. 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? Employers that violate the minimum wage ordinance can be fined $500 to $1,000 per day for each offense. {5Hx+"Z)= mA*{b/`Hc^ U]Z`r_h8?dH`dt?l8rWpH&B1` D 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. That number comes from a 2019 report from the Illinois Economic Policy Institute that found a $15 minimum wage could directly affect over 430,000 workers in the city. 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. If the citys unemployment rate meets or exceeds 8.5% in a given year, there will be no minimum wage increase the next year. But July 1, that rate is set to increase, according to officials. "Employers need to know that these wage increases are not optional. Ultimately, this will be a boon for low-income workers in Chicago. hbbd```b``"H; 5Dc0y L'`2D2 m_&II1`Y#)V"= 6R*Dr L W,R $8rF` !v Usage is subject to our Terms and Privacy Policy. BK 2023 Minimum Wage Rates By State Get a Federal all-in-one labor law poster That means that even though inflation hit 8.6% in May, the minimum wage increase is capped at 2.5%. 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. You have probably asked yourself this question before. On Behalf of Billhorn Law Firm | Apr 24, 2022 | Wage & Hour Laws. And. According to state law, teenagers under the age of 18 must be paid at least Illinois' current youth minimum wage, which is $9.25. 0 Last updated June 7, 2022. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. The new ordinance also requires employers to pay younger workers more than the minimum wage. The minimum wage is set by the citys ordinance. Employers who violate the notices may face fines of $500 to $1,000 per day. endstream endobj 127 0 obj <. 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. On Jan. 1, 2023, those rates will increase to $13 for non-tipped workers and $7.80 for tipped workers. 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. For businesses. We've worked with the city to ensure in comprehensive enforcement of our city's labor laws," she said. State Minimum Wage Rates 2022 vs. 2023. Last year, the minimum wage was $11 and $6.60, respectively. For more information, check out the Illinois Department of Labor and the Cook County Minimum Wage 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. Save my name, email, and website in this browser for the next time I comment. The citys minimum wage policies and exceptions can be complicated. The minimum wage, its just, its fair, it gives people a living wage, said Andy Fox, the director of Chicagos Office of Labor Standards. The departments investigators can answer questions and look into whether a case may need to be investigated more formally, Fox said. "We were the first city in the state to get to $15 and its going up today," she added. My Future. And, the rate is higher outside the city limits. New minimum wages in effect July 1 for Chicago, Cook County . Several factors influence the minimum wage in Chicago, including the economy and the number of jobs available. 2019: $12. The federal minimum wage is $7.25 an hour. 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 What is the minimum wage in Chicago? The webinar, Employer Responsibilities Under Chicagos Minimum Wage Ordinance, will take place Tuesday, June 7, at 2:00 p.m. Additionally, the webinar, Employer Responsibilities Under Chicagos Fair Workweek Ordinance, will take place Thursday, June 9, at 2:00 p.m. To register for thewebinars, visitChicago.gov/BusinessEducation. Fortunately, these fines will only be a small fraction of the amount employers will have to pay in fines for violating the ordinance. Under the ordinance, workers under 18 must be paid at least $12 an hour, up from $11 an hour last year. 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. Arrest warrant issued for top NFL Draft prospect Jalen Carter, ABC7 Chicago says farewell Meteorologist Phil Schwarz, $1M winning Powerball ticket sold in Chicago. Copyright 2023 WLS-TV. While Illinois' state minimum wage is $13.00 per hour, Chicago has set its own, higher minimum wage Copyright 2023 NBCUniversal Media, LLC. Alaska Minimum Wage 2023 (right information). %%EOF %PDF-1.6 % *> But how much money could you get? But that doesnt mean that businesses in the city dont have real concerns. For instance, employees under the age of 18 must be paid $12 an hour. Domestic workers like those in childcare and home health services must be paid the same, regardless of the size of the company. The federal minimum wage rate was raised to $7.25/hour in 2009. They must be paid at least $12 an hour. July 1, 2022. The cohort of workers covered under the ordinance will also expand. TheBACP OLS webpageoffers informational materials on Chicagos Labor Standards Laws. Fight for $15 protesters rally and chant "We're fired up, can't take it no more," in Chicago on April 14, 2016. In addition to Chicago, there are other localities in Illinois that have passed municipal minimum wage legislation. Chicago minimum wage is set to increase to $15 per hour on July 1, 2022. What will your paycheck look like? She is reminding that employers must comply with the change. For smaller businesses with 4-20 employees, the increase is delayed until 2022. 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. Required fields are marked *. 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 The Chicago Fair Workweek Ordinance requires that employers notify employees of schedule changes 14 days in advance. This year, the Consumer Price Index exceeded this cap and the minimum wage was frozen. Chicago minimum wage is tiedred, meaning that businesses with 21 or more employees must pay more than businesses with four to 20 employees. Restaurant workers and others who receive tips will now get a base rate of $9 per hour. ABC 7s I-Team breaks down the numbers for you. gRsg[sH~3\C? endstream endobj 271 0 obj <>stream At "Can't Believe It's Not Meat" in Old Town, owners said they already pay more than the minimum wage. Nannies and other household employees are covered by the Fair Labor Standards Act, which means they must be paid the prevailing minimum wage rate. For tipped workers, the rates will also increase -- to $9.24 for large employers and $8.70 for smaller businesses. 266 0 obj <> endobj 2021: $13.50. Heres what you need to know. 312 0 obj <>stream Not to be outdone, the City of Chicago and Cook County are increasing their set minimum wages on July. 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. 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. 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). No: Yes: %%EOF If the unemployment rate is more than 8.5%, the minimum wage will not increase at all. 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. 2020: $12.75. And that $15 an hour would make a difference for so many, especially for . hbbd```b``@$gj9` % TEdDH4) Chicago's current minimum wage is $15 an hour for businesses with 21 or more employees and $14 for businesses with . This increase will hit most large employers in Chicago. 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. Eligible youth can find qualifying opportunities by downloading the My CHI. 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. 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. 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. 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.". 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 CHICAGO (WLS) -- The minimum wage in Chicago and suburban Cook County increased Friday. The citys minimum wage increases are laid out in its minimum wage ordinance. Covered industries include building services, healthcare, hotel, manufacturing, restaurant, retail, or warehouse services. July 1,2022 Effective Date. Teens under the age of 18 will see a new minimum wage of $12 for non-tipped employees, and $7.20 for tipped employees. endstream endobj 270 0 obj <>stream 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. 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. ). The city estimates that more than 400,000 people will be affected by the minimum wage increase. endstream endobj startxref Copyright 2023 NBCUniversal Media, LLC. The minimum wage for the 2022 calendar year for large and small employers is set forth in the table below: 2022 Minimum Wage. This is a huge victory for Chicagoans and Cook County residents looking to make higher wages. Local Minimum Wage Rates. 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. For companies that employ between four and 20 people, the minimum wage rises to $14 per hour. Chicago's minimum wage is going up Thursday. There are some exceptions: For example, tipped employees must make a minimum of either $9.24 for large employers or $8.70 for medium-sized employers. In the context of the fair workweek ordinance, a large employer is one that has 100 or more employees. 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. By July 2022, Chicago businesses are required to post the new minimum wage notice in multiple languages. 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 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. We must continue to invest in Chicagos workforce, and these scheduled updates to the Chicago minimum wage and fair workweek ordinance will continue to enhance the vibrancy and equity of our local economy., Chicagos new minimum wage and fair workweek changes will have a significant impact on Chicago workers and their families as we focus on a prosperous economic recovery, said Susan Sadlowski Garza, 10th Ward Alderwoman and Chairwoman of the Committee on Workforce Development. In suburban Cook County, the minimum wage for non-tipped workers will increase to $13.35 an hour and $7.40 for tipped workers. Cook Countys minimum wage is also increasing July 1, to $13.35 for nontipped workers and to $7.40 for tipped workers. 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. And for tipped workers, the rates increased to $9.24 for large employers and $8.70 for smaller businesses. 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. 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. Our city's labor laws, including the minimum wage, are an important backbone of our city's economy and provide stability to working families. Your email address will not be published. Learn more atLearn more at Chicago.gov/COVIDVax. 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. 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. 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? F @.Y Youths who work more than forty hours in a week only a! Ols webpageoffers informational materials on Chicagos labor Standards Laws outside the city limits Illinois Department of and. 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Is tiedred, meaning that businesses with 4-20 employees, the rates will increase $..., the increase is delayed until 2022 per the minimum wage is tiered for large employers $. Increasing Chicagos minimum wage rises to $ 15 or higher include big employers like Target, Costco Amazon. Has proven itself as a worker-friendly city July 1, 2023, those rates will to... Wage for small businesses with 4-20 employees, and small employers is set to towards... Several big measures are going into effect July 1, 2023, to $ 1,000 per.... Those working for employers with fewer than four workers we 've worked with the dont... An hour many Chicagoans is part of our longstanding commitment to safety in the context the. Low-Income workers in Chicago, there are other localities in Illinois that have passed municipal minimum wage for workers. $ what is the minimum wage in chicago 2022 for tipped workers, the minimum wage in Chicago those working for employers fewer... 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