03/16/2026
ACTION ALERT: On Wednesday, March 18th the City Council is expected to take up an ordinance to freeze the Chicago tip credit at the current level of $12.62 per hour and indefinitely pause the scheduled July 1st, 2026 increase to about $14.20 - $14.30 per hour for front of house tipped staff (final figure will depend on inflation adjusted full minimum wage rate that City Hall will release in early June).
As bars, restaurants, and music venues across Chicago face shrinking margins, higher property tax bills, and customers deeply concerned about affordability, here are two big things you can do to get engaged on the tip credit:
1) Contact the City Council member(s) for both where you operate and where you live and explain to them that phasing out the tip credit while suburban competitors don't is an enormous disadvantage for your Chicago small business!
2) Attend City Council on March 18th at 8:30am if you want to support a tip credit press conference hosted by the Illinois Restaurant Association or later in the morning before the expected vote on the tip credit freeze which will likely take place between 11:30am and 1:30pm. Contact us for more logistics information on either option!
Sun-Times coverage on the tip credit vote:
At next week’s City Council meeting, Far Northwest Side Ald. Samantha Nugent (39th) plans to use a parliamentary maneuver to freeze the subminimum wage at 24% of the minimum hourly wage paid to Chicago workers who do not receive tips.