Ill.: Minimum Wage for State Contractors and Subcontractors Raised

By SHRM Online staff Jan 23, 2015
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As one of his last acts in office, former Illinois Gov. Pat Quinn signed an executive order raising the minimum wage requirements for state contractors and subcontractors to $10 per hour.

Effective Jan. 12, 2015, all contracts awarded by a state agency must include a requirement that the winning contractor and all of its subcontractors must pay a minimum hourly wage of $10 to all employees subject to a minimum wage. In addition, all solicitations issued by a state agency must include the new minimum wage requirement, and all pending solicitations must be amended to include the new requirement. However, if a home rule municipality has a minimum wage in excess of $10 per hour, prospective vendors and their subcontractors must pay the higher minimum wage.

The preamble of the executive order stated that Illinoiscurrent minimum wage of $8.25 per hour is “insufficient to provide a living wage.” It also noted that in the most recent general election, when asked in an advisory question, Illinois voters supported increasing the hourly minimum wage to $10 per hour. The Chicago City Council recently approved a city ordinance to raise the minimum wage from $8.25 per hour to $10 per hour by next July, with incremental increases to $13 per hour by July 1, 2019.

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