City Council to Propose Two-Year Schedule for Elimination of ‘Below Minimum Wage’ Wages

Whether Chicago will do away with “below minimum wage” for tip workers, and for how long restaurants will do it, thanks to a progressive mayor who champions the “Fair Wage Equal” campaign That was never a problem.

The answer will come on Wednesday, at Aldo. Carlos Ramirez-Rosa (35th) and rookie Aldo. Jesse Fuentes (No. 26) introduced an ordinance giving restaurants two years (until July 2025) to phase out wages below the minimum wage for tip workers.

Ramirez-Rosa acknowledged that while the bill is being introduced, negotiations with the restaurant industry are ongoing and the phase-in period is likely to be longer.

“People have been talking about this change and possibly other adjustments to support businesses in making the transition for about three years. It’s part of the dialogue,” Ramirez-Rosa said.

“This advances a conversation that has been going on in this city for quite some time. I hope that it will lead to

Workforce Development Commissioner Mike Rodriguez (22nd) plans to introduce ordinance All Chicago private and public sector employees will be guaranteed one hour of paid vacation for every 15 hours worked.

This equates to over 15 days of paid vacation per year for the average full-time employee. Leave can be taken for any reason, not just for sickness.

Rodriguez called it the “largest paid leave expansion” granted by any U.S. city.

“Working people need this time. ‘, said Rodriguez.

Rodriguez argued that unions are gaining a foothold in ununionized companies as workers demand higher wages and benefits and more humane treatment after the pandemic.

“Companies are currently struggling to retain employees. That’s why you see UPS workers on strike, that’s why rideshare workers are trying to improve working conditions. We are doing so in accordance with this Paid Leave Policy,” he said.

“As a matter of fact, we are bleeding manpower at all kinds of jobs right now. We want to be able to bring working people into our city. It’s one way to make it happen.”

Illinois Restaurant Association president Sam Toia has spent weeks negotiating with the Johnson administration to determine how long restaurants will maintain equal treatment of tip workers and workers. Phase out the current “below minimum wage” The city’s standard minimum wage is $9.48 an hour, rising to $15.80 an hour on July 1.

Toia said he fears new orders will be imposed on top of that decree.

“You can’t just stack all these ordinances and make smaller restaurants more expensive. They are still very vulnerable to the effects of the pandemic,” Toia said.

Johnson campaigned on a promise to abolish the minimum wage for tip workers, which disproportionately affects African Americans in general and black women in particular.

The only question is how long it will take the restaurant industry to level the playing field.

“Nothing has been agreed,” Toia said on Tuesday.

“There are members who have already eliminated chips.” [differential]. Some members say, “Please prepare a long runway.” And some members are saying, ‘We have to fight this,'” Toia said.

“I have no consensus on this. I will listen to my members. I don’t know if I can afford the costs and more product costs… If both of these ordinances were promulgated at the same time, it would be very difficult for the hospitality industry to survive and thrive in the City of Chicago.”

Complaints about too many obligations are nothing new.

After former Mayor Lori Lightfoot raised the city’s minimum wage to $15 an hour, approved a predictable schedule ordinance and imposed many worker protections amid the pandemic, business leaders made the same argument.