Welcome

Illinois Manufacturers Urge Delay of Minimum-Wage Increase

April 15, 2020, 9:12 PM

Illinois manufacturers asked the state April 13 to delay its planned increase in the minimum wage for one year because higher wage costs could hamper recovery from the coronavirus crisis.

The request by the Illinois Manufacturers’ Association was made in a letter to Gov. J.B. Pritzker (D).

The Illinois hourly minimum wage is to rise to $10 from $9.25 on July 1, and the tipped-worker minimum wage is to rise to $6 from $5.55. The youth minimum wage is to remain $8. The state’s hourly minimum wage is to rise to $15 by 2025.

“To subject employers to another significant expense at the same time they have had to lay people off, close or operate at an extremely limited capacity, or expend tremendous resources to adapt their operations to the demands of the pandemic, is unreasonable and alarming, especially for employers who have seen their sales significantly reduced or completely eliminated,” the letter said.

t Postponing the minimum-wage increase “is a down payment on what will be needed” for employers to recover, the letter said.

Similar minimum-wage delays also are being sought and pursued in California and Virginia for reasons linked to Covid-19 virus.

To contact the reporter on this story: Christine Pulfrey in Washington at cpulfrey@bloombergtax.com

To contact the editor responsible for this story: Michael Trimarchi at mtrimarchi@bloombergtax.com

To read more articles log in. To learn more about a subscription click here.