95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
SB1700


 
Introduced 2/9/2007, by Sen. Kimberly A. Lightford
 
SYNOPSIS AS INTRODUCED:
 		














820 ILCS 105/4
  from Ch. 48, par. 1004







    Amends the Minimum Wage Law. Provides
that, beginning July 1, 2011, the minimum wage shall be annually increased by
the Department of Labor using the consumer price index for urban
wage earners and clerical workers.
















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FISCAL NOTE ACT MAY APPLY


STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT
















 


 


A BILL FOR









 











SB1700

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    AN ACT concerning employment.

 
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    Be it enacted by the People of the State of Illinois,
 
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represented in the General Assembly:


 
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    Section 5. The Minimum Wage Law is amended  by changing 
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Section 4 as follows:
 


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    (820 ILCS 105/4)  (from Ch. 48, par. 1004)



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    Sec. 4. (a)(1) Every employer shall pay to each of his 
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employees in every
occupation wages of not less than $2.30 per 
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hour or in the case of
employees under 18 years of age wages of 
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not less than $1.95 per hour,
except as provided in Sections 5 
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and 6 of this Act, and on and after
January 1, 1984, every 
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employer shall pay to each of his employees in every
occupation 
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wages of not less than $2.65 per hour or in the case of

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employees under 18 years of age wages of not less than $2.25 
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per hour, and
on and after October 1, 1984 every employer shall 
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pay to each of his
employees in every occupation wages of not 
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less than $3.00 per hour or in
the case of employees under 18 
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years of age wages of not less than $2.55
per hour, and on or 
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after July 1, 1985 every employer shall pay to each of
his 
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employees in every occupation wages of not less than $3.35 per 
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hour or
in the case of employees under 18 years of age wages of 
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not less than $2.85
per hour,
and from January 1, 2004 through 
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December 31, 2004 every employer shall pay
to
each of his or 
 


 






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her employees who is 18 years of age or older in every

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occupation wages of not less than $5.50 per hour, and from 
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January 1,
2005 through June 30, 2007 every employer shall pay 
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to each of his or her employees who is 18 years
of age or older 
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in every occupation wages of not less than $6.50 per hour, and 
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from July 1, 2007 through June 30, 2008 every employer shall 
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pay to each of his or her employees who is 18 years
of age or 
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older in every occupation wages of not less than $7.50 per 
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hour, and from July 1, 2008 through June 30, 2009 every 
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employer shall pay to each of his or her employees who is 18 
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years
of age or older in every occupation wages of not less 
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than $7.75 per hour, and from July 1, 2009 through June 30, 
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2010  every employer shall pay to each of his or her employees 
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who is 18 years
of age or older in every occupation wages of 
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not less than $8.00 per hour, and from
on and after July 1, 
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2010 through June 30, 2011 every employer shall pay to each of 
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his or her employees who is 18 years of age or older in every 
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occupation wages of not less than $8.25 per hour.

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    On and after July 1, 2011, every employer shall pay to each 
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of his or her employees who is 18 years of age or older in every 
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occupation wages of not less than the then-current adjusted 
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minimum wage rate established under this item (1) of subsection 
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(a).

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    On March 31, 2011, and on each following March
31st, the 
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Department of Labor shall calculate an adjusted
minimum wage 
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rate to maintain employee purchasing power by
increasing the 
 


 






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then-current minimum wage rate by the rate of
inflation. The 
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adjusted minimum wage rate shall be calculated
to the nearest 
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5-cent increment using the consumer price index
for urban wage 
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earners and clerical workers, CPI-W, or a
successor index, for 
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the 12 months prior to March 1st of
the then-current year as 
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calculated by the United States
Department of Labor. Each 
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adjusted minimum wage rate calculated
under this subsection (a) 
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takes effect on the following July
1st, with the first adjusted 
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minimum wage rate to take effect
on July 1, 2011.
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    (2) Unless an employee's wages are reduced under Section 6, 
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then in lieu of the rate prescribed in item (1) of this 
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subsection (a), an employer may pay an employee who is 18 years 
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of age or older, during the first 90 consecutive calendar days 
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after the employee is initially employed by the employer, a 
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wage that is not more than 50¢
less than the wage prescribed in 
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item (1) of this subsection (a).
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    (3) At no time
shall the wages paid to any employee under 
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18 years of age be more than 50¢
less than the wage required to 
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be paid to employees who are at least 18 years
of age under 
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item (1) of this subsection (a).

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    (b) No employer shall discriminate between employees on the 
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basis of sex
or mental or physical handicap, except as 
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otherwise provided in this Act by
paying wages to employees at 
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a rate less than the rate at which he pays
wages to employees 
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for the same or substantially
similar work on jobs the 
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performance of which requires equal skill, effort,
and 
 


 






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responsibility, and which are performed under similar working

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conditions, except where such payment is made pursuant to (1) a 
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seniority
system; (2) a merit system; (3) a system which 
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measures earnings by
quantity or quality of production; or (4) 
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a differential based on any other
factor other than sex or 
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mental or physical handicap, except as otherwise
provided in 
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this Act.

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    (c) Every employer of an employee engaged in an
occupation 
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in which gratuities have customarily and usually constituted 
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and
have been recognized as part of the remuneration for hire 
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purposes is
entitled to an allowance for gratuities as part of 
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the hourly wage rate
provided in Section 4, subsection (a) in 
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an amount not to exceed 40% of the
applicable minimum wage 
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rate. The Director shall require each employer
desiring an 
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allowance for gratuities to provide substantial evidence that

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the amount claimed, which may not exceed 40% of the applicable 
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minimum wage
rate, was received by the employee in the period 
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for which the claim of
exemption is made, and no part thereof 
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was returned to the employer.

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    (d) No camp counselor who resides on the premises of a 
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seasonal camp of
an organized not-for-profit corporation shall 
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be subject to the adult minimum
wage if the camp counselor (1) 
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works 40 or more hours per week, and (2)
receives a total 
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weekly salary of not less than the adult minimum
wage for a 
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40-hour week.  If the counselor works less than 40 hours per

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week, the counselor shall be paid the minimum hourly wage for 
 


 






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each hour
worked.  Every employer of a camp counselor under this 
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subsection is entitled
to an allowance for meals and lodging as 
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part of the hourly wage rate provided
in Section 4, subsection 
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(a), in an amount not to exceed 25% of the
minimum wage rate.

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    (e) A camp counselor employed at a day camp of an organized

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not-for-profit corporation is not subject to the adult minimum 
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wage if the
camp counselor is paid a stipend on a onetime or 
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periodic basis and, if
the camp counselor is a minor, the 
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minor's parent, guardian or other
custodian has consented in 
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writing to the terms of payment before the
commencement of such 
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employment.

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(Source: P.A. 93-581, eff. 1-1-04; 94-1072, eff. 7-1-07.)