Illinois Minimum Wage Increase: A Step Forward for Workers
Illinois workers are in for a positive change as the state’s minimum wage is set to increase on January 1. This increase marks the final scheduled raise after six years of consistent growth, bringing hope and financial relief to many individuals across the state.
Minimum Wage Progression in Illinois
Back in 2019, Illinois passed a new minimum wage bill, setting the hourly pay rate at $8.00. Since then, the rate has steadily increased annually, with the upcoming adjustment on January 1, 2025, being the last planned raise in this cycle.
Currently, workers aged 18 and above in Illinois earn a minimum wage of $14 per hour. This rate is due to climb to $15 per hour at the beginning of the new year, as stipulated by state law. For workers under 18, the current minimum wage of $12 per hour will also see a raise to $13 per hour, marking the final scheduled increase at this time.
Considerations for Tipped Workers
Tipped workers in Illinois are entitled to a minimum of 60% of the state’s minimum wage, which currently translates to an hourly pay of $8.40. It’s essential to note this provision to ensure fair compensation for workers in this category.
As of now, there hasn’t been any new legislation passed for further minimum wage hikes beyond the upcoming increase. The possibility of such a bill being considered by the General Assembly in 2025 remains uncertain, leaving the future of minimum wage adjustments open for speculation.
Variances in Chicago’s Minimum Wage
Workers in Chicago benefit from slightly higher minimum wage rates compared to the rest of Illinois. The city’s ordinance mandates a minimum pay of $16.20 per hour for regular employees and $11.02 per hour for tipped workers. This unique legislation ensures that workers in Chicago receive fair compensation in line with the city’s standards.
The city’s minimum wage is subject to annual adjustments based on the Consumer Price Index or a flat rate of 2.5%, whichever is lower. This mechanism, overseen by the Business Affairs and Consumer Protection office, guarantees that the minimum wage in Chicago remains aligned with economic trends and standards.
As Illinois prepares for this significant minimum wage increase, workers and businesses alike are bracing for the impact of these changes. It’s a pivotal moment for the state’s labor landscape, signaling progress and support for its workforce.
