CHICAGO — Starting July 1, thousands of minimum wage earners in Chicago will see their hourly pay jump to $16.60, part of a broader labor reform package championed by Mayor Brandon Johnson. The announcement, made by the mayor in coordination with the Department of Business Affairs and Consumer Protection, outlines sweeping updates to wage laws, tip structures, paid leave policies, and employee scheduling protections.
As Mayor Johnson stated in remarks shared with ABC 7 Chicago, “These are essential steps to build safe, affordable, and thriving communities.”
Wage Increase Details
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Standard minimum wage: Will increase to $16.60 per hour
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Subsidized youth workers: Will earn $16.50 per hour
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Tipped workers (servers, bartenders): Currently earn $12.62/hour, but under the new One Fair Wage Ordinance, their wages will increase 8% annually until reaching parity with the minimum wage by July 1, 2028
As NBC Chicago reported, these changes mark a shift in the city’s stance on tip-based compensation, aligning more closely with progressive labor advocacy efforts.
Expanded Paid Leave & Sick Time Rights
In addition to the wage bump, Chicago is also implementing more generous leave provisions:
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Paid leave: Employees can now use paid time off for any reason and carry over up to 16 hours between 12-month periods
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Sick time: Workers accrue 1 hour for every 35 hours worked, up to 40 hours per year, with up to 80 hours allowed to roll over annually
New Work Schedule Protections
The city’s Fair Workweek Ordinance — which also goes into effect July 1 — will now require employers to:
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Provide predictable schedules for employees
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Offer compensation for schedule changes
This will apply to industries including healthcare, retail, food service, and more — but only to businesses with over 100 employees globally and workers meeting specified wage thresholds.
Mayor Johnson’s Pro-Worker Agenda
In his remarks, Mayor Johnson called Chicago the “most pro-worker city in the country,” emphasizing that labor reforms like these are key to restoring dignity and fairness for working families.
The city will also host educational webinars on the changes:
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June 10 & 12 at 10:00 a.m.
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June 24 & 26 at 2:00 p.m.
Interested residents and employers are encouraged to visit the City of Chicago’s official website for more information on registration and compliance guidelines.
What Do You Think?
Will the minimum wage hike and expanded leave rights improve workplace conditions in Chicago? Drop your thoughts in the comments below on ChicagoSuburbanFamily.com.
I think the pay increase is good for us workers somewhat.
I can see backfire to as restaurants in Chicago have small overhead budget as is they may cut hours for some of us workers but, they according to the article the company maybe corporate or franchise has to have 100 employees globally.
It may possible increase prices in Chicago which will pass onto us!
Glad there the sick pay wish they started year ago!
Wish minimum wage would bring vacation pay to some of us work for months or years without real vacation cause we have to pay our bills or try support families.
I’m aware minimum wage is what it is if don’t go to college or trade school but, some need this income or have hard time going elsewhere as job market very competitive in Chicago.
The information was insightful and helpful thank you.
Thank you for sharing your perspective. You bring up some very real concerns — especially about vacation pay and job market pressures in Chicago. It’s important to hear directly from workers who are affected by these changes. We appreciate your thoughtful comment!