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. Eagan, MN 55121 2.04), Cook Countys minimum wage calculation may not be used when the unemployment rate in Cook County is 8.5% or greater. The 2016 study revealed that the employment rate for low-wage workers fell by 1 percentage point, and the number of hours worked by low-wage workers lagged behind those of similar workers in the region. 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. The ordinance phases in the increase: On July 1, 2017, the minimum wage rose to $10, and the level goes up by $1 each year after that until it reaches $13 in July 2020. 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. 302 0 obj <> endobj The minimum wage is $6.60 for tipped employees. 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). Next year on January 1, that will increase to $10.50. Table 2 The MWO sets the lowest amount an employer must legally pay their employees. 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. 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. All Rights Reserved. 16-5768 (MWO) was passed by the Cook County Board of Commissioners on October 26, 2016. endstream endobj 303 0 obj <>/Metadata 26 0 R/Pages 300 0 R/StructTreeRoot 47 0 R/Type/Catalog/ViewerPreferences<>>> endobj 304 0 obj <. 42-16. MIT labor economist David Autor said in a statement reported by the Los Angeles Times, [The study] suggests we should be proceeding cautiously when we start pushing minimum wages into ranges where they are pretty significant., The June 2017 study echoed the 2016 report by University of Washington researchers on the effects of the first phase of Seattles increase in its minimum wage, when the rate increased to as much as $11 an hour from $9.47 an hour. 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. 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. Currently the minimum wage in Cook County is $13 for non-tipped employees and $6.60 for tipped employees. The hourly minimum wage in Cook County, Illinois, will increase to $13.35 for nontipped employees and $7.40 for tipped employees effective July 1, according to the county's minimum wage webpage on May 31. . Cook County Government. All Domestic Workers must receive at least the $15.40 minimum wage. 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. Effective July 1, 2022. 6-105-040 Overtime compensation. 42-13) and rules (Sec. It is not surprising that so many municipalities are rejecting ordinances that can make it even harder for businesses to stay afloat, and to provide job opportunities for residents who need them. Of these, 26 raised their minimum wages on January 1. i Table 2 shows these New Year's Day increases. 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. Subscribe to our blog for the latest employment law news. For Cook County and Chicago, the minimum wage goes up, effective Friday, July 1. CHICAGO - The minimum wage in Illinois is set to increase at the start of 2023. Cook County. Minimum wage workers are being encouraged to keep a close eye on their paychecks in the new year. Increases in minimum wages can drive some firms out of business entirely. In suburban Cook County, the minimum wage for non-tipped workers will increase to $13.35 an hour and $7.40 for tipped workers. Illinois However, the applicable tipped minimum wage in Cook County will be the state's tipped minimum wage of $7.20 per hour, the county said . 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 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. Cook County and Chicago's annual minimum wage increases go into effect on July 1, 2022. 107 localities opt out of both Cook County ordinances. On January 1, 2022, we saw the Illinois minimum wage increase from $11.00 to $12.00. With the increases in the Chicago and Cook County minimum wage, the minimum wage paid to tipped employees will also increase. 6-105-050 Wage theft. Bartlett 5. 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. 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. 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. All Rights Reserved. $4.75 Tip Credit. $9.45 Cash Wage. Illinois Starting 2021, the annual increases will be published by the Commissioner of Labor on or before October 1. c`f^ g`f@W00ke` E 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. And the Glenview board of trustees voted 4-1 on June 8 to opt out of Cook Countys minimum wage hike and sick leave ordinances, according to the Chicago Tribune. 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. In Cook County the . 373 0 obj <>stream It is not to be used as a substitute for legal advice or counsel. 42-13) and rules (Sec. The Washington Post summarized the study: [A]lthough workers were earning more, fewer of them had a job than would have without an increase. comeback *2023 Poster is shipping now. Cook County Minimum Wage. The notice is effective Jan. 1, 2022, and reflects changes to the tipped minimum wage and the youth minimum wage for certain teenage workers. They will be based on percentage increases determined by the . These updated notices should also be posted with other legally-required posters. 0 The minimum wage is $6.60 for tipped employees. 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 $13.00 (No Change) $7.20 5 (60) $5.80 (-60) Maine. Click here to review Cook County's minimum wage law. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. Employers should provide new tip credit notices every time a tipped employees wage rate changes. 2021 Minimum Wage. Editor/Writer . And while a large chain might be able to absorb the costs of a minimum wage hike by hiring fewer new employees, these costs impose greater hardships on small businesses. 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. starts here. 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? 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. Employers can contact the Cook County Bureau of Finance for advice regarding compliance with the Cook County Living Wage Ordinance. GovDocs, Inc. Therefore, even if an employer provided a tip credit notice in the past, employers must provide an updated tip credit notice with the new minimum wage rates. 2023 CBS Broadcasting Inc. All Rights Reserved. The minimum wage increase rate is capped at no more 2.5% per year and will not rise if Cook County experiences unemployment of at least 8.5% the previous year. 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). 6-105-020 Minimum hourly 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 ordinances raise minimum wage to $13 per hour, mandate up to 5 days sick leave. First published on June 1, 2022 / 6:19 PM. The 1-Year Compliance Plan offers required Federal and State posters plus 12 months of mandatory updates for free! starts here. 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