(The rates apply differently depending on factors such as the size of the employer.) In 2019, Illinois Gov.. Decisions of the Commission on Human Rights, Office of the Independent Inspector General, CARES Act Information for Local Governments, Freedom of Information Act for Offices Under the President, Living Wage Ordinance Protocol (122.31 KB). As of July 1, 2020, the Chicago minimum wage is $13.50 per hour for employers that have four to 20 workers and $14 for employers that . Editor/Writer . Rising costs of goods and services has cut Illinoisans pay by $2,230 on average. 2021 Minimum Wage. t 217.528.8800 f 312.212.5277 e info@illinoispolicy.org, Copyright 2023 Illinois Policy | Illinois' comeback story starts here. 0 In Cook County, the minimum wage will increase to $13.35 for non-tipped workers and to $7.40 for tipped workers in Barrington Hills, Berwyn, Countryside, Deerfield, Dolton, Evanston, Glencoe, Kenilworth, McCook, Northfield, Oak Brook, Oak Park, Phoenix, Skokie, University Park, Western Springs, Wilmette and Winnetka. The ordinance states that in each year, the highest minimum wage governs in Cook County, whether that is the federal minimum wage, the state minimum wage or the countys minimum as set forth in the new law. $13.00. In addition to the minimum wage increases July 1, Chicago businesses in. Inflation has rapidly outpaced wage growth, cutting the average Illinoisans pay by $2,200. Currently, 39 localitiescities and countieshave minimum wages that are higher than their state minimum wage. The black unemployment rate in Illinois is more than double the states jobless rate for white residents. Gov. Municipal leaders have expressed concerns about the anti-competitive, job-killing effects of Cook Countys minimum wage increases and new sick leave law and are using home rule authority to exempt their communities from the requirements. Of these, 26 raised their minimum wages on January 1. i Table 2 shows these New Year's Day increases. SETS MINIMUM WAGE IN CHICAGO (MCC 6 -105) MINIMUM WAGE. who continue to work after their work-study has ended or becomes exhausted must also be paid at the Chicago and Cook County minimum wage. Cook Countys minimum wage notice is here. Workers under 18 will see a $12 minimum wage for non-tipped jobs, and $7.20 for tipped. State minimum wages are determined based on the posted value of the minimum wage as of January one of the coming year (National Conference of State Legislatures, 2019). Employers should provide new tip credit notices every time a tipped employees wage rate changes. Pay depends on the type of job, size of company, age of the worker and more. Connecticut. In October 2016, the Cook County Board also passed an ordinance mandating that employers in Cook County provide each employee with one hour of sick leave for every 40 hours worked, up to 40 hours of paid sick leave per year, for employees who have worked at least 80 hours within a 120-day period. Copyright 2023 GovDocs, Inc. GovDocs is a registered trademark of GovDocs, Inc. Economic hubs of Denver, Seattle and Minneapolis, A jurisdiction with rate over $19 an hour. Since Cook County passed its minimum wage and sick leave ordinances in October 2016, Illinois Policy Institute research shows 107 Cook County municipalities have opted out of both ordinances, one municipality has opted out of only the sick leave ordinance, and three municipalities have opted out of only the minimum wage ordinance. The head of government relations for Jewel-Osco grocery stores told the Tribune the grocery chains costs had shot up for its 35 Chicago stores after the city increased its minimum wage, causing Jewel-Osco to hire 5 percent fewer workers the year after the law went into effect. Location Address 69 W. Washington Street, Suite 1130, Chicago, IL 60602 Location Email human.rights@cookcountyil.gov Location Phone 312-603-1100 Location Fax 312-603-9988 Location Hours Sunday: Closed Monday: 8:30 am-4:30 pm Tuesday: 8:30 am-4:30 pm Wednesday: 8:30 am-4:30 pm Thursday: 8:30 am-4:30 pm Friday: 8:30 am-4:30 pm Saturday: Closed . This site is protected by reCAPTCHA and the Google Privacy Policy In addition, Chicago employers must provide all employees a notice of the minimum wage increases by July 31, 2022. On June 27, the Wilmette Village Board voted to opt out of the minimum wage and sick leave ordinances by votes of 6-1 and 5-2, respectively. In the city of Chicago beginning July 1, minimum wage for employers with 21 or more employees with be $15.40, and $14.50 or smaller employers. endstream endobj startxref All Rights Reserved. The MWO sets the lowest amount an employer must legally pay their employees. Officials in municipalities that voted against the Cook County wage hike and sick leave mandates have expressed concern for the job-killing effect they could have, especially given that many of these towns are near counties that have not increased the minimum wage or imposed new sick leave mandates. 373 0 obj <>stream Illinois Burbank 15. A Harvard Business School study released in April examined San Francisco-area minimum wage hikes and their effect on restaurants in the Bay Area. Wages at smaller businesses will increase to $13.50. Hikes in the minimum wage can make it more expensive for employers to hire relatively inexperienced teens, and can contribute to unemployment among young people. The Chicago minimum wage will increase to $15.40 per hour for employers with 21 or more employees and to $14.50 per hour for employers with 4-20 employees. These range from $12.32 in Santa Fe, New Mexico, to $17.54 in SeaTac, Washington. This site is protected by reCAPTCHA and the Google Privacy Policy Research on minimum wage laws backs up their sentiments. The minimum wage for tipped employees in suburban Cook County will increase to $7.40 per hour. 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. Coverage depends on the physical location (in Minneapolis) of the employee while performing work, regardless of the employee's age. Ordinance No. 2.04), the Cook County minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. For Cook County and Chicago, the minimum wage goes up, effective Friday, July 1. 42-13) and rules (Sec. More than 50 municipalities have opted out of Cook Countys new mandates. Chicagos current minimum wage is $15 an hour for businesses with 21 or more employees and $14 for businesses with four to 20 employees. But research shows that increasing the cost of hiring people through minimum wage hikes means many workers with lower skill levels and comparatively little experience will be priced out of the job market altogether, and many job-creating businesses will have a hard time staying afloat. comeback Next year on January 1, that will increase to $10.50. Spanish-Language Posters. Cook County Legislative Committee Chairman John Daley described the minimum wage hike and sick leave legislation as the moral and right thing to do when the Cook County Board passed the measures in October 2016, according to the Chicago Tribune. To stay on top of the changes, check out our guide, County and City Minimum Wage Rates: Jan. 1, 2023. *2023 Poster is shipping now. 6-105-030 Minimum hourly wage in occupations receiving gratuities. The tip credit notice must inform the tipped employee: (1) of the new hourly rate; (2) the amount of the tip credit taken (i.e., the difference between the full minimum wage and the tipped minimum wage); (3) that all tips received by the employee must be retained by the employee (except for tip pooling/sharing arrangements); and (4) that the tip credit will not be taken for employees who do not receive the notice. The tip credit notice need not be in writing, but it is a best practice to provide a written notice and have employees acknowledge receipt. Cook County Government. Moreover, the income gains for low-wage workers who kept their jobs were mostly due to the strong local economy, with only 25 percent of those gains attributable to the hike in the minimum wage. Large Employers; 21 or more employees; Small Employers; 4 to 20 employees; . Raising the minimum wage and mandating paid sick leave might sound pro-worker, but leaders in many Cook municipalities have said these measures would impose heavy burdens on businesses, and result in fewer jobs for residents. According to the county, these employees are covered under the Minimum Wage Ordinance: Teenagers under the age of 18 must be paid Illinois' current minimum wage, which is $9.25. Cook County Minimum Wage. A study released in December 2015 by University of California, San Diego Assistant Professor of Economics Jeffrey Clemens reveals that minimum wage increases between 2006 and 2012 reduced employment for people ages 16 to 30 with less than a high school diploma by 5.6 percentage points. Ordinance No. As a reminder, the state of Illinois' minimum wage and tipped wage rates are set to increase on January 1, 2022. . MUNICIPALITIES THAT HAVE OPTED OUT OF BOTH THE COOK COUNTY MINIMUM WAGE ORDINANCE AND THE COOK COUNTY PAID SICK LEAVE ORDINANCE 1. But wage hikes have a worse effect on lower quality restaurants: A $1 increase in the minimum wage leads to a 14 percent rise in the likelihood a 3.5-star-rated (i.e., median-rated on Yelp) restaurant will close, according to the study. The updates can be viewed in EPI's interactive Minimum wages for tipped employees such as restaurant servers will increase to $9.24, and $8.70 for small businesses. Blue Island 10. 5 Although the county minimum wage exceeds the state rate, the state minimum cash wage (MCW . All rights reserved, Chicago Police Supt. After 2019, the minimum wage will be subject to annual increases based on the consumer price index, or CPI. The minimum wage in Illinois is set to increase another dollar on Saturday, Jan. 1, 2022. While the federal minimum wage is $7.25 per hour, and Illinois statewide minimum wage is currently $8.25 per hour, the city of Chicago and Cook County have each hiked their minimum wages even higher. $9.45 Cash Wage. Cook County ordinances raise minimum wage to $13 per hour, mandate up to 5 days sick leave. On Jan. 1, 2022 the state's minimum wage increases to $12 per hour. The minimum wage in Cook County outside of Chicago will remain at $13 per hour because the unemployment rate in 2020 was greater than 8.5%, officials said. GovDocs, Inc. Minimum Wage Increases in 2022: A Chart of Upcoming Changes and Interactive Map Tuesday, December 21, 2021 In 2022, while the federal minimum wage will remain at $7.25 per hour for. Suite 400 However, this is set to change in 2020, when the state will raise the minimum wage to $10.00. The number of Cook County municipalities that have opted out of both ordinances has climbed to 107. 1-888-273-3274. Michigan announced that in 2022 its minimum wage will be $9.87 per hour and the minimum cash wage for tipped employees will be $3.75 . In October 2016, the Cook County Board voted to raise the countys minimum wage to $13 by July 2020. Copyright 2023 NBCUniversal Media, LLC. Bartlett 5. Other towns that have opted out include: Hoffman Estates, Palatine, Rolling Meadows, Elk Grove Village, Hanover Park, Streamwood, Buffalo Grove, Arlington Heights, Barrington, Mount Prospect, Rosemont, Schaumburg, Wheeling, River Forest, Western Springs, Orland Park and Palos Park. / CBS Chicago. Employees are covered by the Cook County MWO if: Employees who believe their employer is not paying the required minimum wage should first check to ensure the municipality where they work does not have a different minimum wage. Yen also told the Tribune that business owners would need to pass on the higher labor costs to the consumer through increased prices., Minimum wage hikes can drive companies out of business. But more than 80 percent of Cook Countys 132 municipalities have opted out of the countys minimum wage and sick leave ordinances, with East Dundee voting to opt out July 17. The minimum wage is $6.60 for tipped employees. Minimum wages for Chicago and Cook County are increasing July 1. After 2020, the county minimum wage will be subject to increases based on the CPI. After hearing from dozens of protesters, Mayor Anan Abu-Taleb said Oak Park would not vote on a short-term opt-out of the Cook County minimum wage ordinance. Chicago, IL 60602. State of Illinois Minimum Wage and Tipped Wage, Cook County Tipped Wage Increase as of January 1, 2022. Back to Index. A campaign to raise the minimum wage has captured headlines throughout Illinois in May and June. Minimum wage hikes can stifle job creation and competitiveness, and raise consumer prices, A June 2017University of Washington report on the effects of Seattles minimum wage hike found a 9 percent decrease in hours worked by lower-wage workers and a reduction of over $100 million per year in total payroll for such jobs after the citys wage hike. This ordinance requires that all employers who contract with Cook County government to provide labor or who operate on property in Cook County that receives a Class 6B, Class 8 or Class 9 property tax incentive pay their employees not less than a living wage as determined annually by Cook County's Chief Financial Officer. The minimum wage debate has captured Illinois headlines this summer as local ordinances to hike the minimum wage and mandate paid sick leave took effect in Cook County July 1. dinance 3 FREQUENTLY ASKED QUESTIONS Unlike last year, where the unemployment rate was greater than 8.5%, the unemployment rate is now under 8.5%, which means that the minimum wage for . As of 2023, the living wage is $14.42/hr with employer-provided healthcare benefits, and $18.03/hrwithout. 2.04), Cook Countys minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. As of 12/31/2022. Employees who believe that their employer has violated the Cook County Living Wage Ordinance should contact the Cook County Commission on Human Rights about filing a complaint. The ordinance states that in each year, the highest minimum wage governs in Cook County, whether that is the federal minimum wage, the state wage, or the countys minimum as set forth in the new law. Published January 1, 2022. If the municipality has not opted out, employees can file a complaint with the Cook County Human Rights Commission. Click here to review Cook County's minimum wage law. First published on June 1, 2022 / 6:19 PM. Berkeley 9. English-Language Posters. 1305 Corporate Center Drive Cook Countys minimum wage is based on the greatest rate among the Federal minimum wage, Illinois State minimum wage, or on the Countys calculation using the Consumer Price Index (CPI). Cook County to Raise Minimum Wage to $13.35 Starting July 1. Starting July 1, the minimum wage in Chicago and Cook County will be $13 per hour. Table 2 The unemployment rate in Cook County for the previous year was equal to or greater than 8.5%. Interestingly, the Chicago and Cook County ordinances provide that when unemployment in Chicago or Cook County, respectively, reaches 8.5 percent or higher, the minimum wage will not increase the following year. Minimum Wage - 2023; Derechos de los Trabajadores/Workers Rights (PowerPoint) Ayuda Legal del Condado de Cook para inquilinos y propietarios Contacto/Contact; Plan Estratgico/Strategic Plan. Again, this increase may not apply to suburbs that opted-out of the Cook County Minimum Wage Ordinance. New study points to loss of jobs and work hours due to Seattles minimum wage increases, A June 2017 University of Washington report on the effects of Seattles minimum wage hike found a 9 percent decrease in hours worked by lower-wage workers and a decline in total payroll for such jobs during the second phase of the wage hike in 2016, when rates climbed to as much as $13 an hour from as much as $11 an hour. State: Jurisdiction/Minimum Wage: . Use the interactive map to find the minimum wage for your county or metropolitan area. Those who did work had fewer hours than they would have without the wage hike., A study released in June by researchers from the University of California, Berkeley, however, found the hike in Seattles minimum wage had no effect on employment in Seattles food services industry. In Chicago, the minimum wage paid to tipped employees will increase to $9.24 per hour for employers with 21 or more employees and $8.70 per hour for employers with 4-20 employees. And minimum wage hikes canreduce job opportunitiesin minority communities. Any time worked in 2022 must reflect the new $12 an hour minimum wage. The county's hourly minimum wage will remain unchanged at $13.00. J.B. Pritzker signed legislation in 2019 putting . story Cook County Legislative Committee Chairman John Daley described the minimum wage hike and sick leave legislation as the moral and right thing to do when the Cook County Board passed the measures in October 2016, according to the Chicago Tribune. Federal minimum wage applies $7.25 $16.10 No specified minimum wage Filter states Minimum wage or equal to Increased the minimum wage in the last Updated minimum-wage laws in the last Have upcoming minimum-wage increases Use automatic increases (indexing) Contain areas with different minimum wages Federal Minimum wage Tipped wage comeback But Leslie Shedd, vice president of the National Restaurant Association, said in an emailed statement to The Associated Press, A study in one of the wealthiest cities in the U.S. does not reflect the impact drastic minimum wage increases could have across the country and should not be relied upon as this discussion continues especially considering other studies have refuted these results., Minimum wage hikes can drive companies out of business. Cook's Minimum Wage Ordinance does not apply to the city of Chicago, which has its own Ordinance. Buffalo Grove 14. Cook County Government. On January 1, minimum wages went up in 20 states. C00k County: Has a current minimum wage of $13.35 per hour, with tipped employees set at $7.80. 2023 CBS Broadcasting Inc. All Rights Reserved. Currently the minimum wage in Cook County is $13 for non-tipped employees and $6.60 for tipped employees. Effective July 1, 2021, the minimum wage for non-tipped workers will remain $13.00. According to a 2011 study by the Employment Policies Institute, for every 10 percent hike in the minimum wage, employment declined 6.5 percent for 16-to-24-year-old black males without a high school diploma. The mandate also requires employers to allow employees to carry over to the next year half, or up to 20 hours, of their unused, accrued sick leave. Effective January 1, 2023, the minimum wage for tipped workers increases to $7.80, in alignment with the Illinois State minimum wage. Tipped employees will increase from $7.20 an hour to $7.40 an hour. Massachusetts laws 6-105-015 Procedures for payment of wages. There are Skokie families for whom this will mean serious financial hardship. and Terms of Service apply. Chicago passed a similar sick leave ordinance in 2016. 2.04), the Cook County minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. We have converted it to an hourly wage for the sake of comparison. Minimum wage increases can make it harder for teens to get starter jobs, and can hurt minority communities. Living Wage Effective January 1, 2023 until June 30, 2023, the living wage rate is $16.50 per hour. The studys authors noted that according to U.S. Bureau of Labor Statistics data, the restaurant industry uses minimum wage workers more than other sectors. Optional Illinois Labor Law Posters 6 PDFS. Today, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). Our guide, County and Chicago, which has its own Ordinance differently depending on factors such the. 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