ST. LOUIS — Some great news for workers across Missouri and Illinois! Starting Jan. 1, 2024, the minimum wage will increase across the Bi-state.
In Missouri, the minimum wage is increasing from $12 to $12.30. Across the river in Illinois, the hourly rate is jumping up from $13 to $14.
Illinois now has the highest minimum wage in the Midwest.
Both states are way above the federal minimum wage, which remains at $7.25 in the new year.
Illinois and Missouri are part of 22 states where wages are increasing in 2024.
For Missouri, the increase comes after a proposition was passed in 2018. The measure ensured the Show-Me State's minimum wage would increase by 85 cents per hour each year through 2023.
For tipped employees in Illinois, the minimum wage is also increasing from $7.80 to $8.40.
According to Forbes, inflation rates for 2024 are expected to be at 2.4%. Both Illinois and Missouri minimum wages have not only kept up with inflation rates but also exceeded them.
Missouri resident, Kara Heimburger, believes this is a great way to start the new year.
"The people who are making minimum wage are super hard workers and a lot of them tend to be in the customer focused industry and we need those people," she said.
Heimburger added that with inflation it's vital Missourians make a livable wage.
"It's important to have a livable wage so you can give your children better futures and have better opportunities and always have better than what you had," she said.
Haley Wagner knows first-hand how wage hikes can make all the difference for a family.
"I hope that everybody's being able to provide for their families, that's most important. I just got to a salary type position, so I know how it is. My daughter does cheer, so trying to provide that on an hourly wage was tough," she said.
Wagner, whose job focuses on theft, said a livable wage creates a positive impact for the community as a whole.
"With people being able to provide for their families, they don't have to resort to crime or result to purchasing at establishments that up their prices on stuff," she said.
Aaron Park, Arch Apparel owner, said a bump in his employees' pay means the price tags inside his stores could be higher.
"I'm excited for them to be able to provide more for them, but it will be interesting to see how that trickle's down into the cost at retail level for the consumer," he said.
While Park is excited to be able to offer his employees more, he is also proud that the state he lives in is focused on their workers.
"It feels nice to be a trendsetter, from a Missouri point of view, to be leading the front. I think eventually all the other states will follow," he said.
To watch 5 On Your Side broadcasts or reports 24/7, 5 On Your Side is always streaming on 5+. Download for free on Roku, Amazon Fire TV or the Apple TV App Store.