State Minimum Wage Increases This Wednesday

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Illinois’ minimum wage will make its second increase this year to $10 per hour beginning Wednesday, July 1. The Illinois Department of Labor urges minimum wage earners to make sure their checks reflect the increase following July 1.

Governor JB Pritzker signed legislation passed by the General Assembly providing a path to a $15 minimum wage by 2025. Minimum wage earners received the first increase of $1 to $9.25 per hour on Jan. 1, 2020.

Prior to the January increase, the last time Illinois increased its minimum wage was a decade ago. In 2010, the minimum wage was raised from $8 to $8.25 per hour. Cook County has a higher minimum wage than the state, with the Cook County minimum wage increasing to $13 per hour beginning July 1. The city of Chicago minimum wage will also increase on July 1, to $13.50 per hour for small employers (four to 20 employees) and $14 per hour for large employers (21 or more employees).

The state’s minimum wage is scheduled to increase an additional $1 per hour each year on Jan. 1, until it reaches $15 per hour in 2025.

“While IDOL fully expects employers to abide by the new minimum wage, it is important for workers to inspect their checks to make sure they reflect the increase,” said Michael Kleinik, director of the Illinois Department of Labor.

The new law maintains provisions for employers to count gratuities to offset wages for workers, such as food servers, who regularly earn tips. Tipped employees may be paid a minimum of 60 percent of the hourly minimum wage. These workers must still earn the minimum wage after receiving tips.

Workers who are under 18 years of age and work fewer hours in a year, earn a minimum wage of $8 per hour.

For more on the minimum wage, including frequently asked questions, visit www2.illinois.gov/idol/Laws-Rules/FLS/Pages/minimum-wage-law.aspx.

New minimum wage rates are as follows. On July 1, 2020, minimum wage will be $10 an hour; $6 for tips; and $8 for youths under 18, working less than 650 hours per calendar year.

As of Jan. 1, 2021, minimum wage will increase to $11 per hour; $6.60 for tips; and $8.50 for youths (under 18) working less than 650 hours per calendar year.

Beginning Jan. 1, 2022, minimum wage will increase to $12 per hour; $7.20 for tips; and $9.25 for youths (under 18) working less than 650 hours per calendar year.

By Jan. 1, 2023, minimum wage will increase to $13 per hour; $7.80 for tips; and $10.50 for youths (under 18) working less than 650 hours per calendar year.

On Jan. 1, 2024, minimum wage will increase to $14 per hour; $7.80 for tips; and $12 for youths (under 18) working less than 650 hours per calendar year.

As of Jan. 1, 2025, minimum wage will increase to $15; $9 for tips; and $13 for youths (under 18) working 650 hours per calendar year.

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