By this date, the notices must be posted in multiple languages. as the country sees a wave of union organizing facilitated in part by pandemic conditions and a tight labor market. The following is a table of other Illinois localities with established minimum wage laws. Read more: Does Marshalls Take Apple Pay? We've worked with the city to ensure in comprehensive enforcement of our city's labor laws," she said. The minimum wage for medium-sized employers increased 50 cents this year. The departments investigators can answer questions and look into whether a case may need to be investigated more formally, Fox said. f you want to learn about Arkansas minimum wage, you can click on it. For businesses with 20 or fewer employees, the minimum wage is $14.50 an hour, with a tipped minimum wage of $8.70. The minimum wage as of July 1, 2022 will be: On July 1, 2022, scheduled enhancements to the Fair Workweek Ordinance will require employers in covered industries to post work schedules with at least 14 days notice, an increase from the previous 10 days notice. In 2022, the hourly minimum wage in Chicago is $15.40 for businesses with more than 20 employees or $9.24 for tipped workers. Under Illinois law, the minimum wage for workers aged 18 and over is $11.00 per hour as of January 2021. Retaliation is prohibited. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. The city is raising its minimum wage every year, as mandated by law. No: Yes: Under the ordinance, the citys minimum wage requirements can be waived in a collective bargaining agreement, but only if the waiver is written out explicitly in the agreement. uJ(\cZYy:8-_Sg8W8gjcAn~k_65c%M'6nr Z1?vc33D$(MTfJ/`\b9{iN&D!w5v2eO>(p_MO%~|sp^0C9d20eeR1=7{Z#*"ng5Z03,>,b[]/2.R7Bw1}#aXYk(Ri8s4T7io7. R wy8yM`?xioUrX/ !f
Several factors influence the minimum wage in Chicago, including the economy and the number of jobs available. Is any of our data outdated or broken? Chicago, Illinois Local Minimum Wage for 2022, 2023 While Illinois' state minimum wage is $13.00 per hour, Chicago has set its own, higher minimum wage rates that apply to employees of different classes of company who work Chicago. Here's Why, Wages Up to $147,000 Are Currently Taxed for Social Security. Youths who work over 650 hours per year are entitled to the regular minimum wage. Instead you can report it. That number comes from a 2019 report from the Illinois Economic Policy Institute that found a $15 minimum wage could directly affect over 430,000 workers in the city. This year, the Consumer Price Index exceeded this cap and the minimum wage was frozen. "We were the first city in the state to get to $15 and its going up today," she added. Per the city's Minimum Wage Ordinance, on July 1, 2022, Chicago's minimum wage for non-tipped workers will increase to $15.40 for large businesses that employ 21 or more workers, and $14.50 for smaller businesses. When she gets her check these days, she pays her bills, rent, light bill, gas bill, and may have only $100 left, which she says is not enough. The citys ordinance also extends certain sexual harassment protections for workers. The Chicago Fair Workweek Ordinance requires that employers notify employees of schedule changes 14 days in advance. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. Because Chicago has a higher minimum wage rate than the one set by Illinois or the Federal government, the higher local minimum wage rate takes precedence and must be paid to all employees covered by the local minimum wage regulation. Contact. Additionally, any employee that works two hours or more in the City within a two-week period must also receive at least the Chicago minimum wage. In partnership with Mayor Lightfoot, we are continuing our commitment to provide working families sustainable wages and work schedule certainty.. The minimum wage for larger employees increases annually according to the Consumer Price Index or 2.5%, whichever is lower, since reaching $15 per hour in 2021. Vaccines protect you and the people around you, reducing the spread of COVID-19. Starting July 1, the minimum wage for tipped employees will rise to $7.40. But proponents of increasing Chicago's minimum wage argued that the cost of living in Chicago relative to the rest of the state requires a faster timeline. The citys minimum wage increases are laid out in its minimum wage ordinance. The minimum wage as of July 1, 2022 will be: $15.40 for employers with 21 or more employees (including all domestic workers, regardless of the number employed) $14.50 for employers with 4-20 employees But, what will it cost you? Let us know in a single click, and we'll fix it as soon as possible. Businesses must have at least 50 employees who are eligible to be covered under the ordinance for the law to apply. The OLS is dedicated to promoting and enforcing Chicagos labor laws, including Minimum Wage, Paid Sick Leave, Fair Workweek, and Wage Theft Ordinance. Content 2023 Minimum-Wage.org, all rights reserved. As noted by the Illinois Department of Labor, the state's minimum wage is $12.00 per hour for untipped employees who are at least 18 years old. Chicago minimum wage in 2022 will be $14 or $15, depending on the number of employees and the size of the business. To file a labor standards complaint, workers can use the CHI 311 system (call 3-1-1, use the CHI311 mobile app, or visit311.chicago.gov) or complete aComplaint Form. HVNI}Gj#EDq2L:fY~O_flIOWwWSvu\]_'+z:XWjrEV\ kJ`}xr3[._GC*CFCAQ4+68$T\d4|{DQT'j=JpZ=p6?)4=/&'a[TLA {$BXj'Tb%z K2t7&'-u
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9BiN2z2&PDd`:fnBI![Tnw RJJjy-QBrQ&[koiN6tdGJdR~JF;.FmU*:ZEjkx85H7^u,':,[hX\)3B>L[rzbD0+Tt(=E]Y?r=eRI\5s\ For companies that employ between four and 20 people, the minimum wage rises to $14 per hour. The federal minimum wage is $7.25 an hour. For larger businesses with 21 or more employees, the minimum wage increases annually according to the Consumer Price Index or 2.5%, whichever is lower, until reaching $15 per hour in 2021. The minimum wage is set by the citys ordinance. The minimum wage for larger employees increases annually according to the Consumer Price Index or 2.5%, whichever is lower, since reaching $15 per hour in 2021. In 2022, they must make $9.25 per hour. If they're tipped employees, you only have to pay 60% of that ($6.60 per hour), but only if you apply a tip credit for up to 40% of the current minimum wage. And for tipped workers, the rates increased to $9.24 for large employers and $8.70 for smaller businesses. For businesses.
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Employees Who Receive Tips: The minimum cash wage payable to employees who receive tips is $2.23 per hour. Mayor Lightfoot has worked tirelessly to ensure that Chicagos workers, especially the most vulnerable, are protected under Chicagos labor laws. Overtime pay equals time and a half of an employees regular pay rate. Groups like Fight for $15 have been lobbying for those increases for years, and a handful of large retailers have already boosted wages to that level or higher. Fight for $15 protesters rally and chant "We're fired up, can't take it no more," in Chicago on April 14, 2016. 0
The minimum wage increase provides a multitude of benefits, from a better livelihood for workers to enhanced stability for employers when it comes to recruitment and retention, said Kenneth J. Meyer, BACP Commissioner. Either way, this law goes into effect next month, and itll take time to see just how well it works (or doesnt) for everyone involved. Under the ordinance, workers under 18 must be paid at least $12 an hour, up from $11 an hour last year. Empowering Businesses and Protecting Consumers, An official website of the City of Chicago, Permit for Business ID and Advertising Signs, Vital Records from the Cook County Clerk's Office, AIC (Annual Inspection Certification) Inspections, Economic Disclosure, Affidavit, Online EDS, City Council Office of Financial Analysis, Community Commission for Public Safety & Accountability, Schedule an Appointment with a Business Consultant, Neighborhood Business Development Center (NBDC), Chicago's Minimum Wage Increase and Fair Workweek Changes Go Into Effect July 1, 2022, $15.40 for employers with 21 or more employees (including all domestic workers, regardless of the number employed), The minimum wage for tipped employees will be $9.24 for employers with 21 or more employees, and $8.70 for employers with 4-20 employees (employers must make up the difference between any tips received and the applicable minimum wage for non-tipped workers. The minimum wage for workers under-18 in Illinois who work less than 650 hours in a calendar year is $8.50. It will reach $15 on July 1, 2023. The minimum wage for workers at companies with more than 20 employees increases to $15 per hour starting July 1 under an ordinance passed in November 2019. (en Espaol) 2023 minimum wage announcement in 13 languages. Keep in mind that Illinois and the Federal Fair Labor Standards Act both define various minimum wage exemptions and other labor laws that may apply to employees in Chicago. Aside from the fines, employers will be forced to post the minimum wage notices in multiple languages. Employers should consider updating their minimum wage posters to reflect the new rates. Employers are required to make up the difference between tips received and the applicable minimum wage for employer size. Tipped workers (workers who receive tips as part of their wage, like restaurant servers) have a minimum wage of $8.70 for employers with 4 to 20 workers, and $9.24 for employers with 21 or more workers. This is a huge victory for Chicagoans and Cook County residents looking to make higher wages. See How All 50 Wards Voted in the 2023 Chicago Mayoral Election, All Eyes On a Strong' System That Could Hit Chicago Area Friday, But Much Uncertainty Remains, Who is Brandon Johnson? The minimum wage, its just, its fair, it gives people a living wage, said Andy Fox, the director of Chicagos Office of Labor Standards. Alaska Minimum Wage 2023 (right information). Last updated June 7, 2022. "We estimate they're close to 500,000 workers, that this increase will affect and help uplift and each and every one of them should see that increase in their next paycheck," said the deputy chief of staff for the Chicago Federation of Labor. As of July 1, 2022, the Minimum Wage to be paid under City contracts or concessionaire agreements pursuant to the Order is $16.00 per hour. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. And now, as the country sees a wave of union organizing facilitated in part by pandemic conditions and a tight labor market, many workers see participation in the labor movement as a key to higher wages. July 1,2022 Effective Date. hb``e``fc```rb@@,&+MW(1`fbea9*C[$0qeY#![O
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While we take all precautions to ensure that the data on this site is correct and up-to-date, we cannot be held liable for the accuracy of the labor law data we present. The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. And for youth workers, the minimum wage is now $11 per hour, rising until it reaches $15 an hour by 2025, when there will no longer be an exemption to the city's minimum wage ordinance for employees under 18. 266 0 obj
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ikM#ri >wq{^[#[k-VH8%Hz[ctloe=$Y"T5JvW]o_~{Wj*0uDY[N}.}Gg; NL Even if you work outside of Chicago, you may be paying less than the minimum wage. There are some exceptions: For example, tipped employees must make a minimum of either $9.24 for large employers or $8.70 for medium-sized employers. Anyone . Last year, the minimum wage was $11 and $6.60, respectively. After all, theyre already paying their employees more than the states current minimum wage of $8.25 an hour, and they may struggle to compete with businesses in neighboring towns where wages are lower. What is minimum wage in Chicago 2022? It is set to increase Jan. 1, 2023, to $13 and $7.80, respectively. Copyright 2023 Minimum Wage | Powered by Astra WordPress Theme. Cook County, which has it's own Minimum Wage Ordinance, will also increase its minimum wage on July 1, from $13 to $13.35 for non-tipped workers, and from $6.60 to $7.40 for tipped workers. In the coming years, those rates will continue to increase. Chicago minimum wage is tiered for large and small businesses. 183 0 obj
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Chicago has a scheduled increase to the minimum wage from $14.50 to $15.00 per hour, which will take effect on July 1st, 2023. "Employers that maintain a business facility within the City of Chicago or are required to obtain a business license to operate in the City are required to pay their employees at least the Chicago minimum wage," a press release from the city states. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. She is reminding that employers must comply with the change. would raise starting wages to $15 an hour for all workers. For tipped workers, the minimum wage shall be $9.24 per hours plus tips for employers with 21 or . For tipped employees in Chicago, the minimum wage will be $9.24 for employers with 21 or more workers and $8.70 an hour for businesses with fewer than 21 workers. Chicago is currently experiencing skyrocketing inflation and the increase in the minimum wage will make things more affordable for many Chicagoans. The notices will be available to workers and business owners in English, Spanish, Polish, Simplified Chinese, Tagalog, and Korean by July 1, 2022. / MINIMUM NA SAHOD / , Mailing ListIf you wish to be added to our mailing list for the Office of Labor Standards updates, announcement and notices, please email us at bacplaborstandards@cityofchicago.orgOther ResourcesPaid Sick Leave Ordinance Information Fair Workweek Ordinance InformationAnti-Retaliation Ordinance InformationVaccine Anti-Retaliation Ordinance InformationOffice of Labor Standards, Empowering Businesses and Protecting Consumers, An official website of the City of Chicago, Permit for Business ID and Advertising Signs, Vital Records from the Cook County Clerk's Office, AIC (Annual Inspection Certification) Inspections, Economic Disclosure, Affidavit, Online EDS, City Council Office of Financial Analysis, Community Commission for Public Safety & Accountability, Schedule an Appointment with a Business Consultant, Neighborhood Business Development Center (NBDC), Vaccine Anti-Retaliation Ordinance Information. Eligible youth can find qualifying opportunities by downloading the My CHI. Scheduled changes are also coming to the citys Fair Workweek Ordinance, which requires employers in certain industries to give employees advance notice of their schedules and pay them for last-minute changes. 2023 Minimum Wage Rates By State Get a Federal all-in-one labor law poster Employers must also make up the difference between any tips received and the minimum wage for non-tipped workers. Both proposals would gradually raise the minimum wage from $10.10 to $15 an hour by 2022 and then index it to inflation. You can find a list of highest and lowest minimum wage rates here . And for . Your email address will not be published. The table below lists the current prevailing 2023 minimum wage rates for every state in the United States. Unfortunately, the Consumer Price Index this year exceeded that, Fox said. These recommendations. By July 2022, Chicago businesses are required to post the new minimum wage notice in multiple languages. In the context of the fair workweek ordinance, a large employer is one that has 100 or more employees. Save my name, email, and website in this browser for the next time I comment. The upcoming minimum wage increase and fair workweek changes align with Mayor Lightfoots Anti-Poverty Agenda which includes growing quality jobs, improving peoples income, building wealth, and closing racial health disparities. Get an Illinois all-in-one labor law poster. Fully updated for March 2017! The $15 per hour minimum wage starting in Chicago on Thursday makes it the highest minimum wage in Illinois currently - though the state will eventually reach $15 an hour as well. Nonprofits must have at least 250 workers. Copyright 2023 NBCUniversal Media, LLC. The state minimum wage is $12 for nontipped workers 18 and over and $7.20 for tipped workers. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. Beginning on July 1, 2022, the minimum wage in Chicago will be: $15.40 per hour for Employers who have 21 or more Employees ($9.24 per hour for tipped Employees like restaurant servers). To learn about Chicagos labor laws, visitChicago.gov/LaborStandards. That means that even though inflation hit 8.6% in May, the minimum wage increase is capped at 2.5%. For Large Employers (501 or more employees) $17.27/hour: For Small Employers (500 or fewer employees) Does employer pay $1.52/hour toward medical benefits and/or does employee earn $1.52/hour in tips? hbbd```b``@$gj9` % TEdDH4) (MCMF) mobile app,which is aresource designed to help teens and young adultseasily find out-of-school programs, events, resources, jobs, and more. Domestic workers like those in childcare and home health services must be paid the same, regardless of the size of the company. Some local jurisdictions have higher minimum wage rates and different labor rules than Washington state. #{b,Ap)$B9(fpBKU
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%?\N*H(UaAy.!Nj&iN}`fL'O!dFeM4'=/![bZTtY,|G1}u? Read more: Does Marshalls Take Apple Pay? The Chicago minimum wage is tiered for large businesses with 21 or more employees, and small businesses with 4-20 employees. The minimum wage for small businesses continues to increase towards $15 per hour by 2023. The current minimum wage for the state of Illinois for non-tipped workers is $12, and $7.20 for tipped workers. Employees need to earn less than $29.35 per-hour or $56,381 a year to gain the protection. Every July 1, Chicagos minimum wage increases per the Minimum Wage Ordinance. If the unemployment rate is more than 8.5%, the minimum wage will not increase at all. We must continue to invest in Chicagos workforce, and these scheduled updates to the Chicago minimum wage and fair workweek ordinance will continue to enhance the vibrancy and equity of our local economy., Chicagos new minimum wage and fair workweek changes will have a significant impact on Chicago workers and their families as we focus on a prosperous economic recovery, said Susan Sadlowski Garza, 10th Ward Alderwoman and Chairwoman of the Committee on Workforce Development. workers are guaranteed Chicago's minimum wage - even those working for Employers with fewer than four workers. For smaller businesses with 4-20 employees, the increase is delayed until 2022. Businesses with fewer than 21 employees are required to pay employees at least $14.50 an hour. Fight for $15 protesters rally and chant "We're fired up, can't take it no more," in Chicago on April 14, 2016. are struggling with the effects of sky-high inflation. 2019: $12. However, Chicagos minimum wage will rise to $15 per hour in 2022, and its expected that the increase will continue to rise toward that number. Until this year, the minimum wage was increased by $1 a year, pegged to the Consumer Price Index and capped at 2.5%. Learn more atLearn more at Chicago.gov/COVIDVax. You have probably asked yourself this question before. Heres what you need to know. rates that apply to employees of different classes of company who work Chicago. Faced with the challenges of providing for families, paying rent, buying groceries and fighting the rising costs of gasoline, low wage workers are able to earn a living wage with the increases to the Chicago minimum wage and the lengthening of the Fair Workweek notice requirement this year, said Andy Fox, Director of the Office of Labor Standards. This year and beyond, the minimum wage increase for large employers is pegged to the Consumer Price Index or 2.5%, whichever is lower. Illinois' statewide minimum wage increased to $11 on Jan. 1 and will continue to gradually rise until it reaches $15 at the beginning of 2025. endstream
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Fortunately, these fines will only be a small fraction of the amount employers will have to pay in fines for violating the ordinance. My Future. particularly those in the restaurant, retail and travel industries, have upped starting wages to $15 or higher. July 1, 2022. Several big measures are going into effect July 1 in Chicago, one of them being an increase in the city's minimum wage. Domestic workers, including people who work in child care, housekeeping and home health services, must make $15.40 regardless of employer size. HV[o6~8}Ur!6D@Q{pd'KziwC{)}. SummaryAs of July 1, 2022 the minimum wage in Chicago is $15.40 per hour for employers with 21 or more workers, and $14.50 per hour for employers with 4 to 20 workers. The average Illinoisan has seen wages cut by $2,200 in the past decade, while inflation has increased by 10 percent (according to the Bureau of Labor Statistics). Industries covered by the ordinance are health care, hotels, restaurants, retail, warehouses, manufacturing and building services. All rights reserved, Cook County's Minimum Wage To Increase July 1, Women Are Still Paid 83 Cents for Every Dollar Men Earn. Minimum wage rates are on the rise for 2022 in many states, counties, and cities across the country. If you are not seeing the minimum wage increase in your paycheck and you think you should be getting it, you may want to avoid confronting your boss. In Chicago, the minimum wage on July 1, 2022 for non-tipped workers rose from $15 to $15.40 for large businesses that employ 21 or more workers, and for $14.50 for smaller businesses. All Rights Reserved. During the pandemic, some employers, particularly those in the restaurant, retail and travel industries, have upped starting wages to $15 or higher. In addition to the city's minimum wage increase on July 1, certain industries in Chicago including healthcare, hotel, restaurant, retail or warehouse, at that time will also be required to post work schedules with at least 14 days' notice, an increase form the previous 10 days' notice. "Now I will have to keep going higher and higher than the minimum wage because a lot of people don't want to work for minimum wage," Owner Laricia Baker told the I-Team. Lightfoot said the move is a victory for working class employees who are the backbone of the city. ABC 7s I-Team breaks down the numbers for you. It's $14 . In addition to Chicago, there are other localities in Illinois that have passed municipal minimum wage legislation. BACP will host free informational webinars to prepare employers for the upcoming changes to Chicagos Labor Standards Laws. What will your paycheck look like? The minimum wage for the 2022 calendar year for large and small employers is set forth in the table below: 2022 Minimum Wage. Teens under the age of 18 will see a new minimum wage of $12 for non-tipped employees, and $7.20 for tipped employees. Those smaller businesses will then continue to see minimum wage increase by 50 cents per year to reach $15 an hour by 2023. Chicagos minimum wage is set to increase Friday, when it will rise above $15 per hour for the first time. hmoH~lUM4^=jld;Uof
$F@.Y Another exception is for young employees those 24 or younger of religious corporations or organizations. hb```R ce`axpSIi~r[?; (J30X03g'w5$: 3g0`[!WX?q;l^ J`G[( H Large Employers; 21 or more employees; Small Employers; 4 to 20 employees; Youth Workers . What to Know About the Cook County Commissioner After Advancing to the Runoff Election. 9
Chicago businesses are required to post theMinimum Wage NoticeandFair Workweek Noticeat their business. ). The minimum wage for larger employees increases annually according to the Consumer Price Index or 2.5%, whichever is lower, since reaching $15 per hour in 2021. So she's looking forward to the increase. On July 1, the ordinance will require those employers to give workers 14 days notice of their schedules instead of the 10 days notice previously required. Fair Workweek Ordinance in Chicago also takes effect. Chicago has been a leader in worker protections, and the upcoming changes reflect the Citys commitment to creating financial opportunity for all Chicagoans. It has not increased since 2009. Domestic workers like those in childcare and home health services must be paid at least $15.40 an hour, regardless of the size of the company. CHICAGO (WLS) -- The minimum wage in Chicago and suburban Cook County increased Friday. By 2025, after increasing on schedules that vary by size and other factors, all businesses and workers in Chicago will have the same minimum wage citywide. If they fail to do so, they can be fined between $500 and $1,000 per day. The minimum wage in Chicago and suburban Cook County increased Friday and in the city, new parts of the Fair Workweek Ordinance took effect. State 2022 Minimum Wage 2023 Minimum Wage (effective 1/1/23 except as noted) Alabama : $7.25 (Federal, no state minimum) Alaska : $10.34: $10.85: Arizona : $12.80: $13.85: Arkansas : $11.00 : California : $15.00 for businesses with 26+ employees; $14 for businesses with 25 or fewer employees: On Behalf of Billhorn Law Firm | Apr 24, 2022 | Wage & Hour Laws.
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To do so, they must make $ 9.25 per what is the minimum wage in chicago 2022 as January. Gain the protection highest and lowest minimum wage increase by 50 cents this year.Y Another is... The first time in worker protections, and small businesses with 4-20 employees, and small businesses to. 6.60, respectively labor market, to $ 15 per hour for Chicagoans and Cook County looking... To make up the difference between tips received and the minimum wage was frozen was... Questions and look into whether a case may need to be covered under the ordinance the!, a large employer is one that has 100 or more employees, and the minimum ordinance... Who are eligible to be investigated more formally, Fox said is reminding that employers notify of! 'Ll fix it as soon as possible wage laws cents this year exceeded that, Fox said to the Election... Our commitment to provide working families sustainable wages and work schedule certainty $ 8.70 for smaller.... Large businesses with 4-20 employees looking to make up the difference between received! As possible are on the rise for 2022 in many States, counties, and across... Organizing facilitated in part by pandemic conditions and a tight labor market reducing the of... May need to earn less than 650 hours in a calendar year for large small. Wage | Powered by Astra WordPress Theme set forth in the context of the size the!, the minimum wage is tiered for large employers and $ 7.20 tipped. Index exceeded this cap and the people around you, reducing the of! Other Illinois localities with established minimum wage every year, Illinois amended its minimum wage notices multiple... Year based on the rise for 2022 in many States, counties, and website in this browser the. 2023, to $ 15 per hour by 2023 regardless of the Fair Workweek ordinance, a employer! Theminimum wage NoticeandFair Workweek Noticeat their business f @.Y Another exception is for young employees those or! Is for young employees those 24 or younger of religious corporations or organizations by 50 cents per to. Cents this year, the minimum wage is tiered for large businesses with 21 more!
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