Illinois minimum wage hits $13 an hour; Iowa steady at $7.25

CREDIT ILLINOIS DEPARTMENT OF LABOR

The Illinois minimum wage for all but tipped workers rose from $12 to $13 per hour effective Jan. 1. That sets the floor for the state’s lowest paid workers at $5.75 higher than in the Land of Lincoln’s neighboring states of Iowa, Indiana and Wisconsin.

In addition, the minimum wage for all workers who regularly earn tips increased to $7.80 an hour on Jan. 1. Those workers must still earn the minimum wage after receiving tips, or the employer is required to make up the difference. Beginning on Jan. 1, workers under age 18 who work fewer than 650 hours a year should earn $10.50 an hour.

This week, Illinois Gov. J.B. Pritzker’s office also issued a news release urging minimum wage workers to keep a close eye on their paychecks in the new year to ensure that any time worked in 2023 reflects the new $13 an hour minimum wage.

The latest minimum wage hike is the fifth since the governor signed legislation in 2019 to create a schedule for hiking the minimum wage to $15 an hour by 2025, the release said. It stood at $8.25 an hour when Mr. Pritzker signed the law creating the series of step increases.

“Illinois workers deserve a minimum wage that keeps up with the rising costs of living,” Mr. Pritzker said. “That’s why, during my first year as governor, we raised the minimum wage with a gradual ramp to $15 an hour.”

State officials also reminded employers and employees to post the “Your Rights Under Illinois Employment Laws” poster in the workplace where notices to employees are regularly posted. The color poster, which also covers other Illinois labor laws, can be found here in English, Spanish, and Polish.

“Minimum wage laws improve the standard of living for all workers of our state,” said Jane R. Flanagan, director at the Illinois Department of Labor. “Employers and employees should be aware of the increase to the minimum wage in Illinois.”

Employees can file a minimum wage complaint with IDOL here or by calling the Minimum Wage Toll Free Hotline at (800) 478-3998.

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