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  • ABC 7 Chicago

    New Illinois laws 2024: More laws in effect July 1, including minimum wage, tax increases

    21 days ago

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    A host of new laws went into effect in Illinois Monday, at the halfway point of the year.

    Some of the new laws mean you will pay more at the pump and at your favorite Chicago restaurants, but it also means many minimum wage workers are getting a raise.

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    Minimum wage increase

    Minimum wage workers in Chicago and Cook County will be getting a raise July 1.

    Those workers will now make a base pay of $16.20 per hour.

    Chicago tipped minimum wage phase-out

    Chicago started the first phase of cutting out tipped wages for workers. The new city ordinance will be implemented over the next five years.

    The old tipped minimum wage of $9.48 an hour plus tips, but effective Monday that goes up to $11.02 per hour.

    Supporters say both forms of higher minimum wage are good for workers.

    "Once you pay them this wage, you get much more retention, but you also get better service, in the kitchen in the front of the house, because just paying them is proof that we value their time and their energy," said Rafael Royal, co-owner of Bianca's Burgers.

    But others in the industry claims it fixes a nonexistent problem, and the costs will have to be passed along to customers in an industry with very thin profit margins.

    "Across the board of my three restaurants, my servers are making $35 an hour and they did not want an increase in tipped minimum wage. We're going to have to figure out a whole new pay structure," said David Bonomi, owner of Peanut Park Trattoria.

    PTO law changes

    Changes to Chicago's "Paid Time Off" laws also take effect July.

    Anyone who works at least 80 hours during a 120-day period will now be guaranteed up to five days of paid leave and five days of paid sick leave.

    Gas tax increase

    New Illinois laws, including a gas tax increase, take effect on July 1, 2024.

    If you drive in Illinois, it might be a good idea to fill up your car on the last day of June. The state's motor fuel tax goes up July 1.

    The gas tax will rise by two cents to $0.47 a gallon. That's the second highest in the nation.

    It will cost drivers $184 more per year to buy gas than it did in 2019, according to the Illinois Policy Institute.

    Sports wager tax increase

    New Illinois laws, including a sports wagering tax increase, take effect on July 1, 2024.

    Also increasing July 1 is the tax on sports wagering.

    The tax will now move from a 15% flat tax to a progressive rate up to 35%.

    The increase is expected to bring in an additional $200 million in state revenue.

    Undocumented immigrants' driver's license applications

    Undocumented migrants can apply for standard Illinois driver's license applications on July 1, 2024.

    Undocumented immigrants can apply for a standard driver's license starting July 1.

    The state is eliminating the Temporary Visitor Driver's License and replacing it with a Limited Driver's License.

    "Today is a win-win, today is a no-brainer, today makes us a safer state, a better state, a more equitable state a more welcoming state," Illinois Secretary of State Alexi Giannoulias said.

    Applicants must meet all the state requirements and provide proof of living in Illinois for at least one year and also provide proof of car insurance.

    The new licenses cannot be used to get a Real ID or to register to vote.

    Another set of Illinois laws went into effect earlier this year on January 1 . You can click here to see a full list of Illinois' new laws in 2024.

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