Illinois Minimum Wage Rules 2026: Chicago, Cook County & State Preemption
Published by the StateWageCalc Editorial Team • Current as of October 2026
1. Statutory Overview: 820 ILCS 105
The foundation of minimum wage law in Illinois is the Illinois Minimum Wage Law (IMWL), 820 ILCS 105/1 et seq. In 2019, Illinois enacted Public Act 101-0001, establishing a multi-year schedule of statutory wage increases that culminated on January 1, 2025, when the statewide adult minimum wage reached $15.00 per hour.
Under 820 ILCS 105/4(a)(1), every employer in Illinois must pay each employee who is 18 years of age or older not less than $15.00 per hour for all hours worked, unless a statutory exception or a higher municipal or county ordinance applies.
2. Current Minimum Wage Rate Schedule Across Illinois
| Jurisdiction | Effective Date | Standard Minimum Wage | Governing Authority |
|---|---|---|---|
| Illinois Statewide | Jan 1, 2025 – Present | $15.00 / hr | 820 ILCS 105/4(a)(1) |
| City of Chicago | July 1, 2025 – June 30, 2026 | $16.60 / hr | Chicago MCC § 6-105-020 |
| City of Chicago | July 1, 2026 – June 30, 2027 | $17.05 / hr | Chicago MCC § 6-105-020 |
| Cook County (Non-Opted-Out) | July 1, 2025 – June 30, 2026 | $14.05 / hr | Cook County Code § 42-13 |
| Cook County (Non-Opted-Out) | July 1, 2026 – June 30, 2027 | $15.40 / hr | Cook County Code § 42-13 |
| Cook County (Opted-Out Municipalities) | Jan 1, 2025 – Present | $15.00 / hr | Statewide Default |
3. Cook County Municipal Opt-Out Dynamics
Unlike states that mandate statewide preemption (preventing local governments from regulating wages), the Illinois Constitution grants home-rule powers to municipalities and counties. Under the Cook County Minimum Wage Ordinance, suburban home-rule municipalities have the legal right to opt out of county wage regulations.
More than 80 Cook County municipalities have exercised this option. Major examples include:
- Arlington Heights, Palatine, and Mount Prospect
- Schaumburg and Elk Grove Village
- Tinley Park, Orland Park, and Oak Forest
- Northbrook, Glenview, and Wheeling
When an employer operates within an opted-out municipality, Cook County's $15.40 wage rate does not apply; the employer is bound by the Illinois state minimum wage of $15.00 per hour.
4. Subminimum Wage Exceptions (Youth & Training)
Illinois law recognizes two statutory subminimum wage classifications under 820 ILCS 105/4:
- Youth Subminimum Rate (820 ILCS 105/4(a)(2)): Employees under 18 years of age who have worked fewer than 650 hours for that employer in a calendar year may be paid $13.00 per hour. Once the employee accumulates 650 hours for that employer in that calendar year, or turns 18, the employer must immediately raise their pay to the standard adult minimum wage ($15.00/hr).
- Adult 90-Day Training Rate (820 ILCS 105/4(a)(3)): Employees aged 18 or older may be paid a training wage of $14.50 per hour during their first 90 consecutive calendar days of employment with an employer, provided the employer has not previously employed them.
5. Enforcement, Penalties & Triple Damages
Illinois enforces wage standards through the Illinois Department of Labor (IDOL) and private civil litigation under 820 ILCS 105/12. Penalties for noncompliance are among the most severe in the country:
Statutory Recovery Under 820 ILCS 105/12
- 100% Back Pay: Full difference between the amount paid and the statutory minimum wage.
- 300% Punitive Damages (Triple Damages): Statutory damages equal to 300% of the unpaid shortfall.
- 5% Monthly Penalty: A statutory penalty of 5% per month on the unpaid balance payable directly to the employee.
- Attorney Fees & Costs: Mandatory award of reasonable attorney fees and litigation costs to prevailing workers.
- Statute of Limitations: 3 years from the date of underpayment under 820 ILCS 105/12(a).