SPRINGFIELD, Ill. (WCIA) — A bill in the capitol to end the sub-minimum wage is moving forward, despite protests from several restaurant owners and tipped staff.
Tipped workers, like wait staff at restaurants, can be paid a lower minimum wage in Illinois at $8.40 per hour so long as their tips make up the difference, according to the Illinois Department of Labor.
Democratic lawmakers have worked on a bill eliminating the sub-minimum wage to ensure tipped workers can get the same minimum wage. On Wednesday, the bill passed the Illinois House Labor Committee with a 17-11 vote.
“The advancement of HB 5345 represents a historic step towards justice for tipped workers in Illinois,” Saru Jayaraman, the president of One Fair Wage, an advocacy group focused on eliminating states’ subminimum wages nationwide, said. “For too long, the subminimum wage has perpetuated income inequality and economic insecurity among service workers and remain committed to ensuring that all workers in Illinois have the opportunity to earn a fair and living wage.”
On Wednesday, restaurant owners and tipped workers gathered in Springfield to argue against the bill. They said the change would lead to more expensive meals and less money for employees.
“This bill corners us into a no-win situation,” Dominique Juarez, a server at Alexander’s Steakhouse said. “It will force my employers to increase increased prices that will not be pleasant, pleasing or affordable to our guest. Plus, it will read out the heart of what dining is all about.”
Republican lawmakers warn increased wages can also lead to restaurants closing their doors.
“This legislation would cause turmoil in the service industry, causing job creators to cut good-paying positions and putting these businesses at risk of closure,” Rep. Mike Coffey (R-Springfield) said. “Ultimately, consumers who are already feeling the higher cost of living in this state will have to pay more to offset the higher labor costs.”
Seven states already have a single minimum wage for all jobs. Advocates also noted those states did not see a change in tipping averages when the subminimum wages were phased out.
