The national minimum wage is $7.25, but many states, including Illinois pay higher hourly wages. In Illinois the hourly minimum wage is $8.25 and in Chicago it is $10 today.
Wage Increases in Chicago in the Future
In the future the minimum wage in Chicago is set to increase every year to 2019.
The minimum wage is set to increase by fifty cents July 2015 to July 2016 and then up a dollar each year from 2016 to 2019 for a final hourly amount for non-tipped workers of $13. Starting July 1, 2020, the minimum wage will then be tied to the consumer price index, which is a measure of inflation and the cost of living. The law has two caveats though. If unemployment is 8.5 percent or more than the minimum wage will not increase in an effort to increase employment rates. Also, if the consumer price index increases dramatically, the minimum wage increase will be capped at 2.5%. Similarly, tipped workers, such as restaurant servers, will also have their minimum hourly wage pegged to the consumer price index, but starting in July 2017, not July 2020.
The city believes that this wage increase will have positive effects for the working class in Chicago. The city government believes that the minimum wage increase will increase the earnings of over 400,000 workers in the city and lift 70,000 workers out of poverty.
The Chicago wages apply to all sorts of employees in the city, including delivery men who are paid for their work on the road delivering goods within the city. It also includes domestic workers and home health care workers. To qualify for the Chicago minimum wage, an employee must work two or more hours in the period of two weeks.
However, very small businesses with four or fewer employees are not covered by the city’s new wage ordinance.
Contact a Knowledgeable Attorney For Help
If you have questions about legal rights about wage compensation for hourly wage earners, such as whether you or a family member has been underpaid for time you have worked in violation of Federal, state, or local law, it may be wise to speak with a lawyer to ensure that you are being fairly compensated for your work.
Contact the Keogh law firm by calling (866)726-1092 or online to get knowledgeable legal advice from experienced attorneys in consumer and worker protection.