For Cook County and Chicago, the minimum wage goes up, effective Friday, July 1. Employers know that the new year brings minimum wage increases for dozens of jurisdictions across the U.S. On Jan. 1, 2023, 40 counties and cities will increase their minimum wage rates. Effective January 1, 2023, the minimum wage for tipped workers increases to $7.80, in alignment with the Illinois State minimum wage. Starting July 1, minimum wage in Chicago will increase by $1 to $14 per hour for employers with more than 21 workers. All Rights Reserved. Bridgeview 11. %PDF-1.6 % Starting July 1, the minimum wage in Chicago and Cook County will be $13 per hour. The Ordinance applies to hourly, salaried, and tipped employees, over the age of 18, working in Cook County, even those who may be working within the County to make deliveries or driving within the County limits. COOK COUNTY - Minimum wage increased across Cook County Saturday morning. t 217.528.8800 f 312.212.5277 e info@illinoispolicy.org, Copyright 2023 Illinois Policy | Illinois' comeback story starts here. The minimum wage for employees in suburban Cook County will also increase on July 1st to $13.35 per hour. The Washington Post summarized the 2016 study: [A]lthough workers were earning more, fewer of them had a job than would have without an increase. Back to Index. Today, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). 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 . 2023 CBS Broadcasting Inc. All Rights Reserved. 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. Cook County issues notice to Minimum Wage Ordinance, Office of the Independent Inspector General, CARES Act Information for Local Governments, Freedom of Information Act for Offices Under the President, The employee has worked for an employer in Cook County for at least 2 hours in any two-week period, and, The employer has four or more employees (or the employee is a domestic worker) and. After 2019, the minimum wage will be subject to annual increases based on the consumer price index, or CPI. For Illinoisans, this presents an unpleasant tradeoff: continued high inflation or an increase in unemployment because of rising interest rates. 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. Chicago City Council passed a minimum wage increase for Chicago in 2014, setting the minimum wage in the city at $10 per hour in 2015, and raising it incrementally every year until it hits $13 per hour in 2019. 80% of Cook County municipalities have opted out of minimum wage, sick leave ordinances, countys minimum wage and sick leave ordinances, unemployment in Chicago or Cook County, respectively, reaches 8.5 percent, highest black unemployment rate in the nation. The Chicago City Council and Cook County Board effectively admitted that wage hike mandates can depress employment when they included unemployment escape clauses in the ordinances. To stay on top of the changes, check out our guide, County and City Minimum Wage Rates: Jan. 1, 2023. The minimum wage is $6.60 for tipped employees. This is a huge victory for Chicagoans and Cook County residents looking to make higher wages. In Cook County, young black residents in particular suffer from high rates of joblessness, with more than one-third of the countys black 20-to-24-year-olds out of both school and work in 2015, according to a June 2017 report by researchers at the University of Illinois-Chicago. comeback The unemployment rate in Cook County for the previous year was equal to or greater than 8.5%. The Minimum Wage in Minneapolis has reached $15, and will rise to $15.19 on Jan. 1, 2023, for franchises and large businesses. 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. Living Wage Effective January 1, 2023 until June 30, 2023, the living wage rate is $16.50 per hour. For this reason, more than 50 municipalities in Cook County more than one-third have opted out of the pending minimum wage hike and sick leave mandate, according to the Chicago Sun-Times. 12/2021 - VESSA - Victims Economic Security and Safety Act - Will . Schaumburgs Woodfield Mall is a shopping destination with dozens of stores and eateries. Chicago and Cook County should follow suit and reconsider their minimum wage hikes. But if 8.5 percent citywide or countywide unemployment is high enough to halt increases in the minimum wage under the ordinances, shouldnt the states 12.7 percent black unemployment rate and the fact that 34.3 percent of Cook County 20-to-24-year-old black residents are out of both school and work give lawmakers pause? 2.04), the Cook County minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. (The rates apply differently depending on factors such as the size of the employer.) Today, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). Illinois labor law allows tipped employees to be paid a lower cash wage than the standard Illinois minimum wage by their employers, as up to $3.30 in tips earned per hour can be deducted from their wage as a "Tip Credit". The increases in suburban Cook County will not apply to suburbs that opted-out of the Cook County Minimum Wage Ordinance. No. CBS 2 Tipped. 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. First published on June 1, 2022 / 6:19 PM. The Seattle Times noted, For an average low-wage worker in Seattle, that translates into a loss of about $125 per month per job., This newstudy echoed findings in a 2016 University of Washington report on the effects of the first phase of Seattles increase in its 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. Midyear 2022 Minimum Wage Increases. 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. 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. Bartlett 5. 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. endstream endobj 303 0 obj <>/Metadata 26 0 R/Pages 300 0 R/StructTreeRoot 47 0 R/Type/Catalog/ViewerPreferences<>>> endobj 304 0 obj <. Each year the minimum wage increases according to a formula set by the Ordinance. CHICAGO - The minimum wage in Illinois is set to increase at the start of 2023. By comparison, employment decreased 1.2 percent for Hispanic males, and dropped 2.5 percent for white males in the same age and education categories. t 217.528.8800 f 312.212.5277 e info@illinoispolicy.org, Copyright 2023 Illinois Policy | Illinois' comeback story starts here. Subscribe to our blog for the latest employment law news. $14.00. Eagan, MN 55121 Officials in the Illinois county announced on June 7 that the standard minimum wage will remain at $13 . Minimum wages for tipped employees such as restaurant servers will increase to $9.24, and $8.70 for small businesses. 2/2/2023 Job Shadow Day & more. Currently the minimum wage in Cook County is $13 for non-tipped employees and $6.60 for tipped employees. hb```a``Abl@YsNu!e!B[*.l^\l5HmheY2E Q,PM@Z" According to Cook County's Minimum Wage Ordinance, the minimum wage each year increases according to a formula set by the Ordinance, and applies to hourly, salaried, and tipped employees, over the age of 18 working in Cook County, and those who may be working within the County to make deliveries or driving within County limits. Today, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). 42-13) and rules (Sec. 21 or more employees: Current Minimum Wage $15.40 / hour Effective 7/1/2022 Future Increase TBD The state's $10 per hour minimum wage is set to rise by $1 on Jan. 1, 2022, until it hits $15 per hour in 2025. Not to be outdone, the City of Chicago and Cook County are increasing their set minimum wages on July 1, 2022. 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. . 42-16. July 1, 2022 Minimum Wage. 42-13) and rules (Sec. May 31, 2022, 7:59 PM. 802 South 2nd Street | Springfield, IL 62704 A bill to raise the Illinois minimum wage to $15 an hour by 2022 passed the Illinois Senate and House of Representatives in May. 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). We have converted it to an hourly wage for the sake of comparison. 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. 16-5768 (MWO) was passed by the Cook County Board of Commissioners on October 26, 2016. Massachusetts laws and Terms of Service apply. After 2019, the minimum wage will be subject to annual increases based on the consumer price index, or CPI. Cook County and Chicagos annual minimum wage increases go into effect on July 1, 2022. 0 All Domestic Workers must receive at least the $15.40 minimum wage. Because the unemployment rate in Cook County was above 8.5 percent over the previous year, the standard rate will not increase on July 1, 2021, as planned. 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