Legislative Scoop: Key Employment Law Updates from Seattle, Los Angeles, Chicago, and Albuquerque

Seattle, Washington Paid Sick and Safe Time Ordinance

On May 20, 2026, the City of Seattle sent out an email to businesses, and anyone subscribed to their mailing list, letting them know that the Office of Labor Standards (OLS) and the Office of Immigrant and Refugee Affairs (OIRA) were recommending that the Paid Sick and Safe Time (PSST) ordinance be amended. The exact changes they are considering were not included in the email received, and there is no other official source of communication from the city at this time. 

Based on the limited information the city provided, it appears likely the city will be adding in new protections based on an individual’s immigration status, amending the definition of “family member” in relation to employees’ eligible reasons to use PSST, adding provisions on how PSST can be used, and other changes that were not mentioned. Public comments and the ability to learn more about the changes will be available at town halls offered by the city.  

Los Angeles delays $30 minimum wage for hospitality and hotel workers

On May 19, 2026, the Los Angeles City Council voted 11 to 4 to delay the implementation of $30 minimum wage for hospitality and hotel workers. Previously, the city council voted to implement the $30 minimum wage for hospitality workers before the Olympics arrived in the LA area in 2028.

But after fierce local business opposition, the City Council reversed course and will now have a more gradual increase to $30 by 2030. This will allow local businesses and hotels more time to plan and budget for meeting the regulatory requirements. Due to the strong backlash from the workers about this decision to delay, employers should be prepared for the city to potentially change course on this action again in the future. 

Chicago Tipped Wage Credit and Minimum Wage Updates

Here at GovDocs, we get asked a decent amount of questions regarding the Chicago tipped credit freeze. So, we wish to explain the situation so that employers may accurately know what happened in the Windy City. 

In 2023, the Chicago City Council voted to gradually decrease the tip credit employers may take out of an employee’s check to cover the minimum wage by 2028. Then in the middle of March 2026, the Chicago city council voted to freeze the tip credit permanently. However, the city council did not have enough votes to make the measure immune to a mayoral veto, which is exactly what Mayor Johnson did a few weeks later. The city council could not override the veto. However, the city council then introduced another ordinance to pause the elimination of the tip credit, which passed with a 49-1 vote on May 20th, 2026.  

The amendments to the minimum wage ordinance will allow employers to use 24% of tips to cover the minimum wage until 2028. Starting in 2030, employers with 21 or more employees will not be able to use tips to cover employees’ wages. And in 2033, all employers will be subject to this ordinance.  

Albuquerque, New Mexico Minimum Wage Rate Update

The final city we will examine is the largest city in the Land of Enchantment, Albuquerque, New Mexico. The city council recently proposed legislation increasing the city’s minimum wage from $12 an hour to $15 an hour. Much like the rest of the nation, and in other cities that have increased their minimum wage in recent years, Albuquerque has cited rising residential costs as the primary reason for wanting the increase. The city council discuss and passed an ordinance  on June 1, 2026. While the final ordinance has not been published, we expect it to take effect starting January 1, 2027.

Conclusion

Across the United States, cities and counties constantly pass ordinances that impact the local communities. Often, due to their smaller size, they are able to pass ordinances faster than state or federal governments. This can make local jurisdictions unpredictable, like with the Chicago tipped credit saga.  

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