Recently-filed legislation to regionalize the minimum wage increase would provide some relief to Illinois’ job creators.
Senate Bill 3396 would provide for minimum wages based upon a percentage of the otherwise required minimum wage, depending upon the region of the State. The legislation establishes six regions for purposes of determining the minimum wage.
Under the legislation, specified units of local government would be allowed to opt-out of the state-mandated minimum wage rates and opt-into a regionally adjusted minimum wage, which will be statutorily-authorized and statutorily-approved. It provides a sliding scale type of rate – so areas with historically-low unemployment or higher costs of living must keep rates closer to the state-mandated hourly rate.
The first wave of minimum wage increases took effect on Jan. 1, increasing the wage from $8.25 an hour to $9.25 an hour.