Is Illinois' Minimum Wage $15?
What To Know About Illinois’ Minimum Wage
The Path To A $15 Minimum Wage In Illinois
If you are a resident of Illinois or are thinking of working there, you may wonder: Is the minimum wage of Illinois really $15 an hour? The answer in a nutshell depends! While the state has been upping the wages over the years, not every worker in Illinois is guaranteed a minimum wage of $15 just yet. Let's take a deeper look at Illinois' wage laws and what they mean for workers and businesses.
A Glimpse Into Illinois Minimum Wage History
The state of Illinois has attempted for years to pass a $15 minimum wage. In 2019, Illinois passed a law that increased wages throughout the state starting from $8.25 an hour and then gradually ramped them up over time. Instead of all-at-once increases, the state pushed the envelope of increasing wages bit by bit over time.
Here is how the increases happened:
2020: Minimum wage grew to $9.25 with a further increase of $1 from July.
2021: Increased to $11
2022: Raised to $12
2023: Received $13
2024: Fixed at $14
2025: it reached $15
So are you wondering whether it is, or it is close to $15 minimum wage in Illinois? Well, not quite yet, but it is getting close, and very soon, for, by January 1, 2025, this, the said law, will reach exactly that.
Also Check Out Our: Lease Cleaners Services
Who Is Getting $15 An Hour Right Now?
While the statewide minimum won't have reached $15 yet, some workers in Illinois have or will have already begun making that much. For example, the minimum wage is or will be higher than the rest of the state in places like Chicago and Cook County.
Chicago: If you work in Chicago, you make a minimum of $15.80 an hour if you work for a company with more than 21 employees. Smaller businesses in Chicago have to pay no less than $15 per hour.
Cook County: As noted, some cities within the Cook County region have their own wage requirements and demand a $14 minimum wage in 2024 to the present.
So, you could actually already be making $15 an hour—or more, depending on where you work!
Does Minimum Wage Cover Everyone?
Not all employees in Illinois are entitled to the minimum wage. Some occupations have special rules, whereby workers can be paid below the usual minimum wage.
Tipped workers, like restaurant servers, who receive a smaller base wage but who make up most of the rest through tips on top of that base.
Teen workers (under 18) may be paid a lower rate if they work less than 650 hours a year.
Special wage rates may also apply to workers with disabilities or some trainees.
So, while Illinois is on its way to a $15 minimum wage, not every worker will see that amount automatically.
Also Check Out Our: Open Now Cleaning Services Washington DC
How Does The Minimum Wage Of Illinois Compare To That Of Other States?
Where a number of states are leading the charge to raise wages, Illinois is one; many other states still keep much lower minimum wages.
For example:
The federal minimum wage is only $7.25 and hasn't changed since 2009!
Indiana still clings to the federal minimum wage, meaning workers there earn less than half of what their peers in Illinois will soon make.
Missouri rounds out this position at $12.30 while running a little ahead of Illinois as well.
Whereas some states, like California, have reached $15 statewide, others like Texas remain at the low federal rate. So, relative to the rest of the country, Illinois is definitely toward the higher end of the wage scale!
Also Check Out Our: Deep Cleaning Services Honolulu
How Does This Affect Businesses?
Not everyone is applauding the raised wage. Primarily, businesses, particularly the small ones, are afraid that a higher wage will translate into higher costs since this could mean increased labor costs to start with, for example, within service-based businesses like Deep Cleaning Chicago. That might translate into higher prices to offset the business costs, but those who support the hike believe workers will have more money to spend, therefore benefiting businesses in the end.
That is a big debate, but what is sure is that Illinois is committed to $15 an hour for most workers by 2025.
What Happens After 2025?
But once an hourly rate of $15 is reached statewide in Illinois, what's next? Will the wages remain at that point or continue to climb?
The law currently includes automatic increases only through 2025, but many lawmakers and activists are already pushing for future raises to be pegged to inflation and the cost of living.
Places like Chicago, where wages already are above $15, would see their rate increased annually based on increases tied to inflation. If that same pattern held in Illinois, it could mean even higher wages for workers in the future.
Is $15 Enough To Live On?
Even though $15 an hour may seem like a large jump from the former minimum wage of $8.25 an hour, some say it is still not enough to cover the cost of living in expensive cities like Chicago.
Rent, food, and gas just keep increasing in price.
In Illinois, an individual adult requires at least $18-$20 per hour to meet their basic needs.
Families with children may need even more to get by.
That's why some workers believe Illinois should continue raising the minimum wage beyond 2025. Others think businesses can't keep up. It's a continuing conversation that involves millions of workers across the state.
Illinois’ Journey To A $15 Wage And Beyond
So, does Illinois have a minimum wage of $15 an hour? It won't start until 2025, though. Right now, most people make $14 an hour. If you work in Chicago or Cook County, you might make even more.
A lot of people have already said what they think about the changes: is $15 an hour enough? How will businesses handle them? Should Illinois raise wages again in the future? It won't be long before people in Illinois start making more money than people in any other state in the country. In 2025, everyone will look at Illinois again!
