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NewsThe Center Square — IllinoisJuly 1, 2026United States

Minimum Wage Increases in Chicago and Cook County

Minimum wage rates for workers in Chicago and Cook County increased effective July 1. While local rates have risen, proposed state and federal legislation to further increase the minimum wage remains stalled in the legislature.

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Why It Matters

Workers in Chicago and Cook County will see higher hourly pay rates, while employers in these areas must adjust payroll budgets to comply with the new mandated minimums.

Key Facts

  • Chicago minimum wage increased to $17.05 per hour for employers with four or more workers.
  • Cook County minimum wage increased to $15.40 per hour.
  • Cook County tipped worker minimum wage increased to $9.25 per hour.
  • Chicago tipped worker minimum wage remains at $12.96 per hour following a city council pause.
  • Proposed Illinois legislation (HB 5367/SB 3821) sought to raise the state minimum wage to $27 per hour by 2032.
  • Proposed federal legislation by Rep. Delia Ramirez seeks to raise the national minimum wage to $25 by 2031 for large employers and 2038 for small employers.
  • Illinois restaurant wages rose 40.6% between 2019 and 2024 according to Clarify Capital.
  • The Chicago restaurant industry reports 10,000 fewer jobs compared to pre-pandemic levels.
  • 14% of small businesses identified labor costs as their top problem in May 2026, according to the NFIB report.

Who's Mentioned

personDelia Ramirez“U.S. Representative who introduced national minimum wage legislation.”locationChicago“City where minimum wage increased to $17.05.”organizationClarify Capital“Firm that analyzed federal restaurant wage data.”personNoah Finley“National Federation of Independent Business Illinois State Director.”locationCook County“County where minimum wage increased to $15.40.”personSam Toia“Illinois Restaurant Association President and CEO.”personKimberly Lightford“State Senator who proposed raising Illinois minimum wage to $27.”personNorma Hernandez“State Representative who proposed raising Illinois minimum wage to $27.”