On July 1st, several new laws will take effect in Illinois, which will impact the lives of residents. While some may view this date as any other day on the calendar, the changes will be significant.
Your finances may be impacted by some of these laws, resulting in significant changes to your pay or wallet.
As we enter the month of July, there are several new laws that will come into effect, affecting different aspects of our lives. From an increase in the minimum wage to higher prices at the gas station, these changes will be noticeable.
Illinois gas tax, prices to increase
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Starting next month, drivers in Illinois will observe a marginal hike in their gas prices due to a 3% rise in the state’s fuel tax.
The Illinois Department of Revenue has announced that there will be a 3.5% increase in the tax on gasoline, from $0.454 cents per gallon to $0.47.
As per the state’s website, there will be a slight increase of just over 3% in the taxes levied on diesel fuel, which will now go up from $0.529 to $0.545 per gallon.
After experiencing a temporary halt due to the surge in inflation, the increases in price have resumed and have now risen twice in 2023, with a third increase scheduled for July 2024.
Paid Leave for Chicago workers
Employees in Chicago will now have better access to guaranteed paid leave. Those who have worked for at least 80 hours within a 120-day period will be eligible for up to five days of paid leave and five days of paid sick leave.
The city’s sick leave policy mandates that employees accumulate one hour of sick leave for every 35 hours worked. They are entitled to use their accumulated sick leave within the first 30 days of employment. Additionally, employees can carry over up to 80 hours of leave between 12-month periods.
Chicago Minimum Wage Increasing
As of July 1, individuals residing in Cook County and Chicago can expect a boost in their minimum wage, while the state of Illinois will not experience any changes in its current minimum wage rate.
City officials have announced that the minimum wage in Chicago will be increased to $16.20 per hour, an increase from the previous rate of $15.80. The increase is determined on an annual basis and is based on either the Consumer Price Index or a maximum of 2.5%, whichever is lower, as stated by the officials.
According to the city, the minimum wage for tipped workers will increase to $11.02 per hour and will gradually increase over the next five years until it equals the standard minimum wage.
Officials have announced that non-tipped workers in suburban Cook County will see an increase in their minimum wage to $14.05 per hour. Meanwhile, tipped employees will continue to receive the current rate of $8.40 per hour.
As of January 1, the minimum wage in the rest of Illinois has increased to $14 per hour.
Starting next month, Chicago’s One Fair Wage ordinance will come into effect, providing a much-needed increase in minimum wage for several service industry workers who are currently earning sub-minimum wages. These workers will witness a gradual rise in their base pay to $15.80 per hour over the next five years, with tips adding to their total earnings.
Other new laws coming to Illinois July 1
On July 1, Illinois will introduce a range of new changes, one of which includes a program that aims to provide driver’s licenses to undocumented immigrants.
HB 3882 stipulates that in order to obtain a license, one must pass a driving test, possess valid car insurance, provide identification documents and demonstrate residency in the state of Illinois for at least one year.
The Freelance Worker Protection Act is set to bring about another significant change. This act mandates companies to pay their freelance workers promptly and meet other essential requirements.
The Illinois Department of Labor receives an added boost in protecting freelance workers against intimidation and threats with the new bill. Additionally, the bill also formalizes the process of reporting violations to the department for a more streamlined approach.
SB 1782 is a new bill that aims to protect child influencers who gain popularity on social media. This legislation ensures that children under the age of 16 are entitled to a percentage of their gross earnings. Parents are also required to keep records of their children’s appearances on social media. The earnings received by child influencers must be saved in a trust fund until they reach the age of 18. This bill serves as a safeguard to protect the rights of child influencers and prevent any exploitation of their earnings.
