Chicago company offers model as Illinois phases out subminimum wages
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Cody Wass and Jordan McNeal at HB Threads. Photo: Carrie Shepherd/Axios
Illinois is in a multi-year rollout to ensure companies pay all workers a fair wage.
The big picture: Gov. JB Pritzker signed the Dignity in Pay Act last year, requiring companies to pay workers with disabilities at least minimum wage by 2029.
Between the lines: The state law diverges from the U.S. Department of Labor's 14(c) waiver program, which allows employers to pay less than minimum wage to workers whose disabilities, employers argue, limit their productivity.
Zoom in: Easterseals' HB Threads apparel company has always paid its workers above minimum wage, and all associates make at least Chicago's $15 hourly minimum wage, director Korrey Kooistra told Axios during a visit.
- HB Threads makes buttons, magnets and apparel for clients like the White Sox, Huntington Bank and Rockford Ice Hogs and focuses on hiring workers of all abilities. Its current associates are all on the autism spectrum.
- "We want to really have this integrated workforce. That's not just employing people with disabilities," Kooistra said. "We're a regular business [that has] people that have disabilities and don't have disabilities, and they work together, and it takes that stigma away."
How it works: Associates at HB Threads start each day with a team meeting and a prompt to get the conversation going. During our visit in January, an HB Threads staffer asked each person to share a personal and professional goal for 2026.
- Associate Rachel is aiming to get a driver's license because she's sick of other passengers smoking on the CTA, and Terry shared that he wanted to walk more.
- After the meeting, associates head to different stations.
Flashback: The Engnell family started Harry's Buttons in 1998 when their son, Harry Jr., couldn't land a job after finishing school. The family bought a couple of button makers and invited Harry's Special Olympics friends over and it grew from there.
- The Engnells handed the business to Easterseals in 2009 to give it more support to grow.
State of play: The Illinois Council on Developmental Disabilities is providing technical support to companies to move away from subminimum wage by the 2029 deadline.
What they're saying: "No longer will individuals who have untapped potential be subject to a one-size-fits-all assumption and unfair treatments just because of a disability," the law's lead sponsor, state Rep. Theresa Mah said at a press conference last year.
What's next: Mah, an HB Threads associate and advocates will discuss the topic on Tuesday, March 10, "Building Stronger Workforces Through Disability Inclusion", at Impact House in the Loop.
- It's free, but registration is required.
Editor's note: This story has been updated to reflect that Chicago's minimum wage is $16.60 (not $15). Full disclosure: Carrie will moderate the discussion next Tuesday.