Your favorite Chicago bartender or server just got a raise, thanks to One Fair Wage.

Chicago’s tipped workers are receiving the largest annual raise in city history as the next phase of the One Fair Wage ordinance takes effect. Starting July 1, the base wage for tipped workers rises from $11.02 to $12.62 per hour — with tips on top — continuing the city’s historic plan to fully eliminate the subminimum wage by 2028.

This moment is backed by compelling new data. A report released by One Fair Wage finds that tipped workers in Chicago have already received more than $137 million in new wages since the ordinance began phasing in last year. Overall, workers are projected to earn an additional $235 million in the next five years under the policy.

The report also dispels industry misinformation by showing that the restaurant sector is thriving under the policy:

• 856 new food establishment licenses issued since July 2024
• 50% fewer license cancellations in 2024 compared to 2023
• 49% increase in income for tipped workers in the Chicago metro area — the fastest growth in the nation
• Strong tipping trends and job stability across the industry

“This is what happens when we value workers,” Saru Jayaraman, President of One Fair Wage, said in a news release. “Chicago’s tipped workers — the majority of whom are women and people of color — are finally seeing their labor reflected in their paychecks. It’s not just the right thing to do, it’s smart economic policy.”

The raise comes amid a growing national conversation around worker rights, with ICE raids expanding and corporate lobbying efforts attempting to derail pro-worker reforms. But in Chicago, the data is clear: when workers win, the economy grows.

For more information, visit https://www.onefairwage.org/.

Another step closer to a #LivingWageForAll 👏🏿

On July 1st, #Chicago advances to the second phase of eliminating the subminimum wage, directing $1.4 billion over the next decade to the city's tipped workers.

This is a huge win for the working people.#OneFairWage pic.twitter.com/myCC9g3THX

— One Fair Wage (@onefairwage) June 26, 2025

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