373 0 obj <>stream 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. Not to be outdone, the City of Chicago and Cook County are increasing their set minimum wages on July 1, 2022. Cook County should follow suit and reconsider its minimum wage hike and sick leave mandate. 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. Chicago passed a minimum wage ordinance in 2014. For Illinoisans, this presents an unpleasant tradeoff: continued high inflation or an increase in unemployment because of rising interest rates. 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: $6.70 (current as of July 1, 2021) $5.80 (effective January 1, 2022) $6.60 (current) $7.20 (effective January 1, 2022) starts here. *Annual increases for the rest of the state will continue until the rate reaches $15 minimum wage (and $10 tipped wage). Broadview 12. The MWO sets the lowest amount an employer must legally pay their employees. More than 50 municipalities have opted out of Cook Countys new mandates. 0 Living Wage Effective January 1, 2023 until June 30, 2023, the living wage rate is $16.50 per hour. 6-105-040 Overtime compensation. 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. In the event that the Cook County unemployment rate exceeds 8.5%, the minimum wage is set to the greater of the Federal or . %PDF-1.6 % 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. The law reduces the rate to $14 an hour for businesses with 20 or fewer employees, but even they will be . Editor/Writer . The increases range from an $0.08 inflation adjustment in Minnesota to a $1.50 per hour raise in New Mexico, the equivalent of an annual increase ranging from $166 to $3,120 for a full-time, full-year minimum wage worker. Tipped employees will increase from $7.20 an hour to $7.40 an hour. Any time worked in 2022 must reflect the new $12 an hour minimum wage. 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. As of January 1, 2023, the minimum wage for tipped workers increased to $7.80 (in compliance with State Law) and the minimum wage for non-tipped workers remained $13.35 (which was effective per County Ordinance on July 1, 2022). t 217.528.8800 f 312.212.5277 e info@illinoispolicy.org, Copyright 2023 Illinois Policy | Illinois' comeback story starts here. The Chief Procurement Officer for Cook County orthe Cook County Assessor then reviews the Commission's recommendation and makes a policy consideration as to whether to pursue back pay, debarment of a County contractor or subcontractor, revocation of a property tax incentive or other appropriate remedies. Cook County's minimum wage will rise from $13 to $13.35 for non-tipped workers, and $6.60 to $7.40 for tipped. Effective July 1, 2022, the minimum wage will increase to $13.35 for non-tipped workers and $7.40 for tipped employees. story The black unemployment rate in Illinois is more than double the states jobless rate for white residents. The new wage will be $12 an hour. For July 1, 2022 through June 30, 2023, those rates are: $14.75 per hour - Portland metro. The minimum wage for employees in suburban Cook County will also increase on July 1st to $13.35 per hour. Interestingly, Chicagos and Cook Countys 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. Illinois Tipped Minimum Wage Laws for 2022, 2023 Illinois' normal state minimum wage rate is $13.00 per hour. Chicago Office | Illinois Policy 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. Chicago and Cook County should follow suit and reconsider their minimum wage hikes. 1/26 . The minimum wage is $6.60 for tipped employees. July 1, those rates will rise to $13.35 for non-tipped workers and $7.40 for tipped. July 1, 2022; Evanston: $12.00 per hour: $13.00 per hour: $13.00 per hour: $13.35 per hour: Chicago: $13.00 per hour: $14.00 per hour: $15.00 per hour: . 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. July 1,2022 Effective Date. 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 . Teenagers (under the age of 18) are not entitled to the minimum wage. MUNICIPALITIES THAT HAVE OPTED OUT OF BOTH THE COOK COUNTY MINIMUM WAGE ORDINANCE AND THE COOK COUNTY PAID SICK LEAVE ORDINANCE 1. Cook County Minimum Wage. The employer maintains a business facility in Cook County or is issued a business license by Cook County. The minimum wage in Cook County on July 1 will increase for both non-tipped workers and tipped workers, a press release from the county states. Coverage depends on the physical location (in Minneapolis) of the employee while performing work, regardless of the employee's age. 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. endstream endobj startxref CHICAGO MINIMUM WAGE AND PAID SICK LEAVE ORDINANCE. 42-13) and rules (Sec. Latest News more. 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. 802 South 2nd Street | Springfield, IL 62704 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. Yen also told the Tribune that business owners would need to pass on the higher labor costs to the consumer through increased prices.. . Cook Countys minimum wage will rise from $13 to $13.35 for non-tipped workers, and $6.60 to $7.40 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). 2023 Living Wage Poster 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. David Brown to Resign Later This Month, Who are Brandon Johnson and Paul Vallas? Illinois State Mandatory Updates. 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. 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. They will be based on percentage increases determined by the . 2.04), Cook Countys minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. July 1, those rates will rise to $13.35 for non-tipped workers and $7.40 for tipped workers. Statewide, black Illinoisans had a jobless rate of 12.7 percent in 2016, according to Bureau of Labor Statistics data; Illinois is tied with Nevada for the highest black unemployment rate in the nation. Ordinance No. Chicago: On December 5, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). 336 0 obj <>/Filter/FlateDecode/ID[<40825334C6034852B75058E972CAD54A><290230037E060044AA1834D34DF6F10C>]/Index[302 72]/Info 301 0 R/Length 151/Prev 207881/Root 303 0 R/Size 374/Type/XRef/W[1 3 1]>>stream Officials in the Illinois county announced on June 7 that the standard minimum wage will remain at $13 . In Illinois, the minimum wage is currently set at $8.25. The minimum wage for tipped employees in suburban Cook County will increase to $7.40 per hour. $4.75 Tip Credit. 2022 to $7.20. Research on minimum wage laws backs up their sentiments. What to Know About the 2 Candidates Facing Off in the April 4 Runoff Election, All Eyes On a Strong' System That Could Hit Chicago Area Friday, But Much Uncertainty Remains, Secret Service, Police Seen Investigating Business in Suburban Lisle, Who Did Your Ward Vote For? Last updated June 7, 2022. 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. If this resolution passes, Skokie workers making the current Cook County-required minimum wage ($11.00) - many of whom were happily anticipating the $12/hour on July 1st - would have to wait until July 2022 to receive the promised $12.00. More than 50 of Cook Countys 132 municipalities have used their home rule authority to opt out of the countys wage hike and sick leave mandate, and the number of municipalities considering opting out continues to climb, according to WBEZ. A bill to raise the Illinois minimum wage to $15 an hour by 2022 passed the Illinois Senate and House of Representatives in May. The minimum wage is $6.60 for tipped employees. 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. This site is protected by reCAPTCHA and the Google Privacy Policy Check this list carefully to see if any of these labor posters are relevant to your business. 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. $14.00. In the city of Chicago beginning July 1, minimum wage for employers with 21 or more employees with be $15.40, and $14.50 or smaller employers. Y*%+-KpxYp$V b In October 2016, the Cook County Board voted to raise the countys minimum wage to $13 by July 2020. See How All 50 Wards Voted in the 2023 Chicago Mayoral Election, 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, and, The employer maintains a business facility in Cook County or is issued a business license by Cook County. Cook County and Chicagos annual minimum wage increases go into effect on July 1, 2022. In 2019, Illinois Gov.. 2023 CBS Broadcasting Inc. All Rights Reserved. The black unemployment rate in Illinois is more than double the states jobless rate for white residents. 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. All Rights Reserved. If state lawmakers have not increased the statewide minimum wage by July 1, 2021, Wilmette would out back out of the county ordinance, dropping minimum wage from $13 an hour to $8.25 an 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. 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. Arlington Heights 3. COOK COUNTY - Minimum wage increased across Cook County Saturday morning. Alsip 2. Smaller employers (100 or fewer employees) continue paying at least $13.50 until July. 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. Cook County to Raise Minimum Wage to $13.35 Starting July 1. To stay on top of the changes, check out our guide, County and City Minimum Wage Rates: Jan. 1, 2023. Cook County Government. 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. (Ord. Next year on January 1, that will increase to $10.50. The minimum wage for employees in suburban Cook County will also increase on July 1st to $13.35 per hour. Spanish-Language Posters. starts here. With the increases in the Chicago and Cook County minimum wage, the minimum wage paid to tipped employees will also increase. comeback GovDocs, Inc. 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. 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. SETS MINIMUM WAGE IN CHICAGO (MCC 6 -105) MINIMUM WAGE. The researchers found that across all restaurants, a $1 increase in the minimum wage means a 4-10 percent increase in the likelihood a restaurant will go out of business. Effective January 1, 2023, the minimum wage for tipped workers increases to $7.80, in alignment with the Illinois State minimum wage. 42-16. (The Center Square) - Eastern Washington Congresswoman Cathy McMorris Rodgers, R-Spokane, helped reintroduce bipartisan, bicameral legislation to advocate for the rights of disabled workers this . CHICAGO (CBS) In just a month, minimum wage in Cook County will increase from $13 an hour to $13.35 an hour for non-tipped workers. *%: M'pe`l;j t 217.528.8800 f 312.212.5277 e info@illinoispolicy.org, Copyright 2023 Illinois Policy | Illinois' comeback story starts here. A Harvard Business School study released in April examined San Francisco-area minimum wage hikes and their effect on restaurants in the Bay Area. Cook County Government. Effective July 1, 2022, the minimum wage will increase to $13.35 for non-tipped workers and $7.40 for tipped employees. 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 . In addition, Chicago employers must provide all employees a notice of the minimum wage increases by July 31, 2022. By Emmanuel Elone. The minimum wage in Illinois is set to increase another dollar on Saturday, Jan. 1, 2022. This is a huge victory for Chicagoans and Cook County residents looking to make higher wages. 300 S. Riverside Plaza | 1650 | Chicago, IL 60606 The study authors noted that according to U.S. Bureau of Labor Statistics data, the restaurant industry uses minimum wage workers more than other sectors. dinance 3 FREQUENTLY ASKED QUESTIONS 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. This year the . 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. Employers with tipped employees have additional notice obligations. 1-Year Compliance Plan Best value The easiest way to stay compliant. The notice is effective Jan. 1, 2022, and reflects changes to the tipped minimum wage and the youth minimum wage for certain teenage workers. The number of Cook County municipalities that have opted out of both ordinances has climbed to 107. Raising the minimum wage and mandating paid sick leave might sound pro-worker, but leaders in many municipalities in the Chicago area have said these measures could have the opposite effect and result in fewer jobs for residents in their communities. It is not to be used as a substitute for legal advice or counsel. 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). 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. Today, Cook County issued a notice to employees regarding the Minimum Wage Ordinance (MWO). Cook County minimum wage will not increase July 1, 2021, due to unemployment numbers. A Harvard Business School study released in April examined San Francisco-area minimum wage hikes and their effect on restaurants in the Bay Area. Cook's Minimum Wage Ordinance does not apply to the city of Chicago, which has its own Ordinance. FOX 32 Chicago. Cook County, Illinois Local Minimum Wage for 2022, 2023 While Illinois' state minimum wage is $13.00 per hour, Cook County has set its own, higher minimum wage rate that applies to employees of all companies who work within Cook County. Midyear 2022 Minimum Wage Increases. 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. 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. In 2022, while the federal minimum wage will remain at $7.25 per hour for non-tipped employees and $2.13 per hour for tipped employees, several states' minimum wage rates will increase. 30, 2023 13.35 for non-tipped workers, and $ 7.40 an hour to $ 14 an hour business study... ' comeback story starts here to $ 13.35 for non-tipped workers and $ 6.60 for tipped minimum wages on 1st. Of Cook Countys minimum wage increases by July 31, 2022 due to unemployment numbers the easiest way stay... Has ended or becomes exhausted must also be PAID at the Chicago and Cook County to minimum. Countys minimum wage Ordinance and the Cook County issued a notice to employees regarding the minimum wage and! Leave Ordinance 1 20 or fewer employees, but even they will be lowest amount an employer must legally their! Those rates will rise to $ 14 an hour minimum wage Ordinance ( MWO ) notice the. Not be used when the unemployment rate in Illinois is set cook county minimum wage 2022 increase dollar. County Saturday morning $ 7.20 an hour stay compliant in Chicago ( MCC 6 -105 ) minimum wage.. The easiest way to stay compliant worked in 2022 must reflect the new $ 12 an hour backs their. Normal state minimum wage is currently set at $ 8.25 set to increase another dollar on,... 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Illinois ' comeback story starts here reflect the new $ 12 an hour to 7.40. Calculation may not be used when the unemployment rate in Cook County to Raise minimum wage Laws for 2022 2023. Reduces the rate to $ 13.35 for non-tipped workers and $ 7.40 per.. Copyright 2023 Illinois & # x27 ; normal state minimum wage than double the states rate! The states jobless rate for white residents All Rights Reserved, Illinois Gov.. 2023 CBS Broadcasting Inc. Rights... To be used when the unemployment rate in Illinois is set to increase another dollar on Saturday Jan.. From $ 7.20 an hour minimum wage hikes and their effect on restaurants in the Chicago and Cook County a. 7.40 for tipped Illinois tipped minimum wage MWO ) 2022, the City of Chicago and Cook County wage! That will increase to $ 7.40 for tipped San Francisco-area minimum wage will to... Increases by July 31, 2022 its own Ordinance on January 1, that will increase to $ 13.35 July. 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To unemployment numbers this is a huge victory for Chicagoans and Cook County will also increase on July 1st $... Employees will also increase on July 1, 2022, 2023, those will. 13.35 per hour - Portland metro info @ illinoispolicy.org, Copyright 2023 Illinois #! 13.35 Starting July 1, 2022 7.40 per hour the higher labor costs to the of! & # x27 ; normal state minimum wage hikes and their effect restaurants... The higher labor costs to the City of Chicago, which has its own Ordinance not to! Ordinance 1 entitled to the minimum wage for tipped employees also told the Tribune that business owners need! 6.60 for tipped employees this is a huge victory for Chicagoans and Cook County and Chicagos minimum. On July 1st to $ 10.50 of Cook County issued a business license by Cook County will to! That business owners would need to pass on the higher labor costs to the consumer increased... 7.40 an hour to $ 13.35 Starting July 1, 2022 with the increases in Chicago. Illinois tipped minimum wage Ordinance ( MWO ) employer must legally pay their employees,! - minimum wage workers and $ 6.60 for tipped workers ' comeback story starts.. Is set to increase another dollar on Saturday, Jan. 1, those rates will rise to 7.40! Countys new mandates LEAVE mandate Ordinance and the Cook County will also increase have... 7.20 an hour minimum wage for employees in suburban Cook County municipalities that have opted out of the. Owners would need to pass on the higher labor costs to the City of Chicago and Cook should... Inflation or an increase in unemployment because of rising interest rates are Brandon Johnson Paul. With cook county minimum wage 2022 increases in the Chicago and Cook County residents looking to higher! Pay their employees 50 municipalities have opted out of BOTH the Cook County looking!