Chicago minimum wage: $16.60/hr. CPI-adjusted every July 1.
Chicago's Minimum Wage Ordinance (MCC 1-24) requires employers with 4+ employees to pay $16.60/hr (as of July 1, 2025). The rate adjusts each July 1 based on CPI — making Chicago a higher floor than the Illinois state minimum and creating an annual uplift requirement that's easy to miss for multi-location operators. Tipped workers earn $12.62/hr cash with the gap closed by tips. Youth workers under 18 earn $16.50/hr.
Chicago Minimum Wage with Annual CPI Uplift
Enforces $16.60/hr Chicago floor for shifts within city limits. Auto-adjusts each July 1 when the city announces the new CPI rate. Differentiates standard, tipped, and youth rates.
What those rules do for shifts in Chicago city limits.
The hero card configuration: Block below floor, Flag on annual adjustment, Avoid warning on tip shortfall risk.
When a manager attempts to save a non-tipped Chicago shift at a rate below $16.60, the save fails. The shift card identifies the controlling rate as the Chicago Minimum Wage Ordinance (MCC 1-24).
When Chicago announces the new CPI rate in spring, Teambridge surfaces all Chicago workers below the new floor and offers a batch uplift workflow effective July 1. The 4-employee threshold is verified per employer.
When a tipped Chicago worker's declared tips suggest the workweek total is approaching the minimum-wage gap, Teambridge surfaces an Avoid indicator. Trueup math runs at workweek close.
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Local floor with annual indexing — and a sunset on tip credit.
Chicago's ordinance does what Illinois state law doesn't: index annually. The 2022 amendment locked in the July 1 adjustment cycle, and the 2023 One Fair Wage Ordinance is phasing out the tip credit entirely.
Coverage threshold
Employers with 4 or more employees within Chicago city limits are covered. Workers must perform at least 2 hours of work in Chicago over the course of any 2-week period to be covered. Sub-4-employee Chicago employers default to the Illinois state minimum ($15.00).
Annual CPI adjustment
The 2022 amendment to the Chicago Minimum Wage Ordinance set an annual July 1 adjustment cycle indexed to the regional CPI. The Department of Business Affairs and Consumer Protection (BACP) announces the new rate each spring; employers have until July 1 to implement.
Teambridge tracks the Chicago floor — and the annual change.
The annual July 1 cadence is the single biggest operational risk for multi-location IL employers. Teambridge handles the uplift automatically.
Chicago city-limit resolution.
When a shift is created, the work address is resolved to determine if it's within Chicago city limits. Suburban Cook County addresses route to county or state rules; Chicago addresses get the Chicago floor.
Coverage applied per employer.
The Chicago ordinance applies only to employers with 4+ employees. Teambridge tracks total employee count per employer and applies coverage automatically — sub-4 employers route to state minimum.
BACP rate published → uplift workflow.
When BACP publishes the new CPI rate in spring, Teambridge surfaces the upcoming July 1 adjustment with a batch uplift workflow. Operators see who's affected and can run the lift in one action.
One Fair Wage timeline encoded.
The 2025-2028 phase-out is encoded as date-tied rate changes. Each July 1, the maximum tip credit drops automatically: 24% → 16% → 8% → 0%. Tipped workers see the cash wage uplift each year.
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