Thank you for downloading Agent 77 s STATE EMPLOYMENT REGULATIONS FOR ILLINOIS. This form is provided to you as is. As provided, we believe it meets the requirements needed for state compliance, as applicable, at the time you download it. Any substantive change to the contents of this document may result in potential legal liability for you and your company. Agent 77, Inc. accepts no liability or responsibility for any of our documents that have had the contents altered beyond simply filling in the appropriate blanks and/or replacing place holder text and adding your company logo and information. This document is provided to you with the understanding it is not a legal or accounting opinion and should not be construed as such, and that Agent 77, Inc. is not engaged in the business of rendering legal or accounting services. If you need specific advice on any legal or accounting issue, the services of a competent professional should be sought. Please see www.agent77.com/legal for more information. This and all documents downloaded from our website are Copyright 2005, 2006, 2007, 2008, 2012, 2013, 2014 Agent 77, Inc. Reminder: Agent 77 s license prohibits you from copying and distributing this STATE EMPLOYMENT REGULATIONS FOR ILLINOIS to anyone outside of your company. Doing so is a violation of this license and will result in the revocation of your subscription and/or prosecution under federal copyright laws as well as possible civil litigation. Please see www.agent77.com/legal for a copy of the current license agreement. Illinois_Regs
What s New 061205 Illinois law requires that employers with 50 or more employees to grant all full time employees up to one hour of paid leave every 56 days to donate blood. 091205 Illinois now requires that where a person is given a specific date to start full-time employment with an employer but is called to active military duty prior to that start date, that they be given preference for employment with that employer upon successful completion of military duty. Also, members of the Illinois National Guard called to active duty must be given a copy of the Illinois Service Member's Employment Tenure Act. 091205 The Illinois Family Military Leave Act requires that employees who are the spouse or parent of a person called to military service longer than 30 days with the state or United States be granted unpaid family military leave. 110705 Employees must be granted two hours of paid time off for any election in which they are eligible to vote if they do not have 2 hours of unscheduled time when polls are open. 070108 The Illinois minimum wage was raised to $7.75 per hour as of July 1, 2008. 070109 The Illinois minimum wage was raised to $8.00 per hour as of July 1, 2009. 112712 - Changes were made to the following sections: Discrimination, Jury Duty, Military Leave, Minimum Wage, Family Leave, Voting Time, Payment of Wages, Minimum Wage, and Child Labor. The following new sections were added: New Hire Reporting, Job Reference Liability, Access to Personnel Files, Smoking in the Workplace and Blood Donation Leave. 041013 - Changes were made to the following section: State Continuation of Benefits. 101813 - Changes were made to the following sections: Leaves of Absence, New Hire Reporting and Work Hours and Breaks. 010114 - Changes were made to the following section: Discrimination. Illinois_Regs
Introduction Employment laws vary from state to state with some being more employee-friendly than others. Federal regulations set minimum standards of worker protections that all employers of a given size must meet. Individual states, however, are free to grant workers additional or expanded rights or protections above this federal minimum. Virtually all employers in the U.S. are subject to federal employment regulations. Only the smallest, strictly local employers are not subject to federal regulations. If an employer does any of the following, they are participating in interstate commerce and are subject to federal employment regulations: Production of goods for commerce, such as transportation or communication Use of mail over state lines Interstate communications using the telephone Use of the Internet over state lines Interstate communications using electronic mail Make purchases from out-of-state vendors Sell to customers in other states This summary of employment regulations does not include information for those few employers not subject to the federal minimum employment regulations. Many states have regulations for public employers that are different than those for employers in the private sector. This document also does not include information on regulations (federal and state) that apply only to public sector employers. In this document we summarize the workplace regulations and worker protections available in Illinois. Although not an exhaustive list, it covers the major topics small to mid-sized employers must deal with on a regular basis. Covered areas include: Wage, hour and overtime rules (including child labor and break rules); Leaves of absence (family leaves, voting time and jury duty); Discrimination and harassment regulations; and State rules on continuation of benefits. The federally mandated, but state run new-hire reporting requirements are covered under a separate document, available for download from Libretto or from the Agent 77 store. The following Quick View table summarizes these regulations. This is followed by a more detailed description of these regulations. Please be sure to read both carefully to understand your responsibilities under Illinois and federal law. Also, see the resources section below for reference websites and Libretto tools that can help you comply with these regulations. Illinous_Regs 1 of 11
QUICK VIEW OF STATE EMPLOYMENT REGULATIONS FOR ILLINOIS Topic Minimum Wage Overtime Payment of Wages Work Hours and Breaks Child Labor Voting Time Illinois Regulation $8.25 / hour Minimum for employees under 18 years old is $7.75 / hour for first 90 days. Tip credit may not exceed 40%. Some localities have a higher minimum. Non-exempt employees must be paid at least 1.5 times their regular rate for hours worked over 40 in a given week. Non-exempt employees must be paid at least semi-monthly, no more than 13 days after the close of the period. Exempt employees may be paid monthly, no more than 21 days after the close of the period. Final paychecks must include any accrued vacation. Final paychecks must be delivered no later than the next payday after termination. Direct deposit may not be required. Employers may not require employees to work more than 6 days in any 7-day week (employees may volunteer, however) Employees working at least 7.5 contiguous hours must be given a 20-minute or more meal break within 5 hours of starting Employers must provide nursing mothers break time and a private place to express breast milk Employers employing minors under 16 must keep an employment certificate on file (issued by Superintendent of Schools) Required 30-minute break for every 5 hours worked Federal and Illinois law prohibit minors in certain occupations. See the U.S. Department of Labor and the Illinois Department of Labor for information on these prohibitions (contact information is in the reference section). See the details section below for restrictions on hours minors may work 2 hours for any election where employee is qualified to vote Request must be made prior to Election Day Employer can specify times for leave Pay may not be deducted Employees taking time off to vote must be penalized in any way. Illinous_Regs 2 of 11
QUICK VIEW OF STATE EMPLOYMENT REGULATIONS FOR ILLINOIS Family Leave Employers with 50 or more employees: o Must provide up to 8 hours of unpaid leave in a given school year for employees to attend school conferences (must be provided only if employee has exhausted all vacation or other personal leave) o Must grant up to 12 weeks of unpaid family medical leave to employees who have completed a year of service or 1250 hours Leave must be granted for birth or adoption of a child, serious medical condition of the employee, to care for a family member with a serious medical condition, qualifying exigency for military leave and serious illness/injury of covered service members for military leave. Employee must be reinstated to same or equivalent position after completion of leave Benefits must be maintained during leave o Must allow victims of violence to use up to 12 weeks of unpaid leave (concurrent with other family leave) to attend court, get medical attention for themselves or a family member or receive other services necessary to remedy a domestic crisis. o Changes have been added through the Workplace Violence Protection Act. o Must grant all full time employees up to one hour of paid leave every 56 days to donate blood. Employers with 15 or more employees must grant sick or disability leave for pregnancy-related disability. The Illinois Family Military Leave Act requires that employees who are the spouse or parent of a person called to military service be granted unpaid family military leave. Employers with 15 to 50 employees must provide up to 15 days of family military leave Employers with more than 50 employees must provide up to 30 days of family military leave Eligible employees have completed a year of service and 1250 hours (the law does not apply to independent contractors) For leaves of 5 or more consecutive workdays, employers must be given at least 14 days notice For leaves of less than five days, the employee should give notice as soon as practical Whenever possible, employees should consult with their employer All other accumulated leaves must be exhausted before taking family military leave Blood Donation Leave Eligible employees must provide full-time employees who have been employed for six months one hour unpaid leave every 56 days. Illinous_Regs 3 of 11
QUICK VIEW OF STATE EMPLOYMENT REGULATIONS FOR ILLINOIS Military Leave Jury Duty Access to Personnel Files Job Reference Liability New Hire Reporting The Federal Military Leave law (USERRA) is outlined below Employers must grant up to 5 years of military leave Employee must be reinstated to same or equivalent position after completion of military leave Employers may not terminate or threaten to terminate any employee called to military service Special benefit rules apply for military leave In addition, Illinois has the following additional protections for individuals who have been offered a position, but who have not yet started employment before being called to military duty The individual must be give a written copy of the employment offer including the date employment was to begin, the job title or duties, the salary or hourly rate, and the employer's signature. If the individual reapplies for employment after completing military service and is still qualified, they must be given preference for employment. If this is not possible or unreasonable to employ the individual immediately, the individual must remain eligible for employment for up to one year from the date of reapplication Leave is required, but is unpaid Night or evening shift employees may not be required to work their shift while on jury duty Employee must be reinstated to same position after completion of jury duty Employees may view their personnel files within seven days of a written request. An employer is generally immune from disclosing truthful information about a former employee's job performance. Information about new hires/rehires must be reported to the state within 20 days of hire. Smoking in The Workplace Smoking is prohibited in places of employment. Posting requirements apply. Continuation of Benefits Details and contact information is listed below. Illinous_Regs 4 of 11
Wage, Hour and Overtime Rules Employers are subject to the federal minimum wage, hour and overtime rules through the Fair Labor Standards Act. This act specifies that businesses that do at least $500,000 in gross revenue, as well as all health care facilities and schools are subject to the federal rules. Also, employers involved in interstate commerce are subject to the federal rules. Minimum Wage Illinois minimum wage is $8.25 per hour. A special minimum wage of $7.50 per hour may be used for employees under 18 years old. A training wage of $7.75 for the first 90 days of employment may be used. Employers may take a tip credit of 40% of the minimum wage (or a minimum wage of $4.95 per hour), provided that the total wages plus tips come to at least the minimum of $8.25 per hour. Be aware that certain local governments in Illinois have a higher minimum wage for employees in their jurisdictions. Be sure to contact your city or county government to see if there are any local minimum wage rules for your business. Finally, both federal and Illinois regulations allow employers to apply for licenses to pay subminimum wages to certain disabled persons. Please contact the U.S. Department of Labor or the Illinois Department of Labor for more information on applying for these licenses. (Contact information for both are listed in the reference section below.) Overtime Illinois has the same overtime rules as the federal government. That is, for any hours worked over 40 in a given week, non-exempt employees must be paid at least one and onehalf times their regular pay. Like the federal rules Illinois exempts certain employees from minimum wage and overtime rules. Excluded employee classes include: executive, administrative, professional, outside salespeople and computer professionals. (Use Libretto s FLSA Resource Package for help in determining whether a given employee is exempt). Illinois also permits exemptions for certain small employers not involved in interstate commerce. See the Illinois Department of Labor web site for a list of these exemptions. Payment of Wages Illinois law requires that employees be paid at least semi-monthly. Executives, administrative, professional employees and others (as defined by the FLSA) may be paid monthly. Commission checks may also be paid monthly. Payment must be made no more than: 13 days after the close of that period, if paid semi-monthly or bi-weekly 7 days after the close of that period if paid weekly 21 days after the close of that period if paid monthly Illinois requires that a terminating employee be paid for any accrued vacation in addition to all wages earned. Final paychecks must be delivered at the time of separation if possible, but in no case later than the next regular payday after termination. Deductions from the final paycheck may not be made without the employees written consent, unless required by law. The cost of Employers may not require that employees be paid electronically. Illinous_Regs 5 of 11
Work Hours and Breaks Illinois prohibits employers from requiring employees to work more than 6 days in any calendar week (Sunday through Saturday); they are required to have 24 consecutive hours of rest. Illinois regulations allow employers to apply for relaxations of this rule, provided that all work on a 7 th day must be voluntary on the part of the employee. Illinois also requires employees working 7½ contiguous hours to have at least a 20 minute meal break no later than 5 hours after starting a work period (unless otherwise established through a collective bargaining agreement). Illinois Nursing Mothers in the Workplace Act requires employers with 5 or more employees to make a reasonable effort to provide a private place near the workplace (not a toilet stall) for a nursing mother to express breast milk. Employers must also provide reasonable unpaid break time to a nursing mother for the purpose of expressing breast milk, which, whenever possible, should be concurrent with any break time already scheduled. Child Labor The Illinois Child Labor Law requires all employers employing minors under the age of 16 to have employment certificates on file (issued by a city or county superintendent of schools). Employers who employ minors less than 16 years of age are subject to strict limits for hours worked per day and per week for their minor employees: 1. Children 14 and 15 years of age may NOT work: More than 6 consecutive days per week; More than 8 hours per day More than 48 hours per week, Or be so employed or allowed to work between 7:00AM and 7:00 PM from Labor Day until June 1 or Between 9:00 PM and 7:00 AM from June 1 until Labor Day. The combined hours of school and work may not exceed 8 hours per day. The number of hours worked outside of school hours must not exceed 3/day when school is in session There are no work hour restrictions for minors 16 and 17 years of age. Minors between 14 and 16 years of age may be employed to work outside school hours and during school vacations, but not in dangerous or hazardous factory work or in any occupation otherwise prohibited by law. A minor under the age of 16 years of age may work both Saturday and Sunday for not more than eight (8) hours each day if the following conditions are met: 1) the minor does not work outside school more than six (6) consecutive days in any week; and 2) the number of hours worked by the minor outside school in any week does not exceed 24. There are specific regulations relating to minors under 12 and 10 years of age. Employers must post in a conspicuous place where minors under 16 years of age are employed a printed abstract of the child labor law and a list of the occupations prohibited to such minors, to be furnished by the Department of Labor. Employers must post in a conspicuous place where minors are employed, a printed notice stating the hours of commencing and stopping work, the hours when the time or times allowed for meals begin and end, and the Department's toll free telephone number. Illinous_Regs 6 of 11
Retention records regulations are also provided by the Department of Labor. Both federal and Illinois law prohibits minors from working in hazardous or certain other occupations. Please contact the U.S. Department of Labor or the Illinois Department of Labor for more information on restricted occupations for minor employees. Illinois law also requires that any minor working 5 or more continuous hours in a day be given a 30-minute break. Employers who are subject to both federal and state laws must comply with the more stringent of these laws. Smaller, strictly local businesses not subject to the federal rules are governed only by state regulations concerning employment of minors. Leaves of Absence Voting Time Employees must be granted two hours of paid time off for any election in which they are eligible to vote if the employee does not have 2 hours of unscheduled time when polls are open. Requests for voting time off must be made prior to Election Day, and the employer may specify the hours during which an employee may vote. Employees taking time off to vote may not be penalized in any way. Jury Duty Employers must provide leave for jury duty, but need not pay for the leave. Employees whose regular shift is outside of the normal daytime hours of jury duty may not be required to work their shift while on jury duty. Also, employers may not terminate or threaten to terminate any employee called to jury duty or to be a witness in court, unless they are acting as a defendant, and employees must be restored to their position within the company as if they had been on furlough. Employers may not require night shift workers to work while doing jury duty in the daytime. Employees covered by FLSA exemptions serving on a jury must be paid their full salary (minus jury stipend) or risk losing their exemption status. Family Leave Employers with 50 or more employees must: Offer employees the opportunity to take up to 8 hours of unpaid leave in a given school year to attend school conferences. Eligible employees must have completed 6 months of service of at least half time employment. This leave may not be taken for more than 4 hours on one day and may only be taken if the employee has exhausted all vacation, personal leave and compensatory time off (but not sick or disability leave). This time must be scheduled so to not unduly interrupt the employer s operations. Employees who use school visitation leave may choose to make up the time on a different day or shift. If they choose not to do so, then leave is unpaid. Employers must make good faith efforts to permit an employee to make up the time. Grant up to 12 weeks of unpaid federal family medical leave to employees who have completed a year of service or 1250 hours. This leave must be granted for the birth or adoption of a child, serious medical condition of the employee, to care for a family member with a serious medical condition, qualifying exigency for military leave and serious illness/injury of covered service member for leave. After completion of the leave the employee must be reinstated to the same or an equivalent position (with Illinous_Regs 7 of 11
regards to salary, benefits and seniority). Also, benefits, such as health care coverage and retirement benefits must be maintained during leave. Grant victims of domestic violence up to 12 weeks of unpaid leave (coinciding with the federal family medical leave) to attend court, obtain medical treatment for himself or herself or a family member, or to obtain other services to remedy a crisis of domestic violence. Employers with between 15 and 49 employees must provide up to eight (8) weeks of unpaid leave per 12-month period. Effective January 1, 2014, employers with five (5) or more employees may seek an order of protection to prohibit further violence or threats of violence by a person in the workplace. A protection order may be sought if: 1) an employee has suffered unlawful violence or a credible threat of violence from the person; 2) the unlawful violence was carried out at the employee's place or work or the credible threat of violence can be reasonably constructed to be carried out at the workplace. Grant all full time employees up to one hour of paid leave every 56 days to donate blood. Employees must get approval from their employer before taking this leave. All records related to an employee's request for victim leave must be kept confidential. Employers with 15 or more employees must grant employees sick or disability leave for pregnancy-related disability, not less than that granted any other temporary disability. The Illinois Family Military Leave Act requires that employees who are the spouse or parent of a person called to military service longer than 30 days with the state or United States be granted unpaid family military leave. Employers with 15 to 50 employees must provide up to 15 days of family military leave to an employee during the time federal or state deployment order is in effect. Employers with more than 50 employees must provide up to 30 days of family military leave during the federal or state deployment order. Eligible employees must have completed a year of service or 1250 hours during the 12-month period immediately preceding the military leave. The law does not apply to independent contractors. For leaves of 5 or more consecutive workdays, employers must be given at least 14 days notice of the intended leave. For leaves of less than five days, the employee should give notice as soon as practical. Whenever possible, employees must consult with their employer so as to not unduly disrupt operations before taking leave. All other accumulated leaves except for sick leave and disability leave must be exhausted before the employee can make use of the family military leave. After restoration, employees cannot be discharged without cause for one year. Certain regulations affect the re-instatement of employees-to-be. Employees of covered employees who are volunteer emergency workers are protected from firing for responding to an emergency. The time off may be unpaid. Blood Donation Leave Employers with at least 51 employees must provide full-time employees who have been employed for six (6) months or more and who donate blood is eligible for leave. Eligible employees may use up to one (1) hour, or more if authorized by employer or a collective Illinous_Regs 8 of 11
bargaining agreement, to donate blood every 56 days. This leave is without pay. Employees may use blood donation leave only after obtaining approval from their employer. Military Leave Federal law requires that employees must be granted up to 5 years of military leave and must be restored to their position (or an equivalent position) within the company as if they had been on furlough. Also, employers may not terminate or threaten to terminate any employee called to military service, Please see Libretto s White Paper on USERRA for more details on military leave. An individual who is given a specific date to start full-time employment but who is called to active duty prior to that date, must be give a written copy of the employment offer including the date employment was to begin, the job title or duties, the salary or hourly rate, and the employer's signature. If the individual reapplies for employment within 90 days of having successfully completed military service or being honorable discharged, and if still qualified to do the job, they must be given preference for employment. If this is not possible or unreasonable to employ the individual immediately because of changes in circumstances for the employer, the individual must remain eligible for employment for up to one year from the date of reapplication. Also, members of the Illinois National Guard called to active duty must to be given written notice of sections 4 and 4.5 of the Illinois Service Member's Employment Tenure Act. Other Employment Regulations Access to Personnel Files Employees may make written requests to view their personnel files, including records used to determine that employee's qualifications for employment, promotion, transfer, additional compensation, discharge or disciplinary actions and such records must be provided within seven (7) working day of the employee's request. The following documents may be withheld: medical records, letters of reference, test documents, staff planning materials, information about a person other than the employee, records subject to a court proceeding or any records alleging criminal activity. Job Reference Liability An employer is immune from liability for disclosing truthful information, or information that it believes in good faith to be truthful, about a former employee's job performance to a prospective employer at the request of the prospective employer or the former employee. Immunity is lost of the information disclosed was knowingly false or in violation of the current/former employee's civil rights. New Hire Reporting Employers are required to provide a report on a federal W-4 form or equivalent, containing the new hire/rehire's name, address and SSN, the employee's projected wages and the date services for remuneration were first performed as well as the employers' name, address and FEIN within 20 days of hire/rehire. The reports must be provided to the Illinois New Hire Directory. Smoking in the Workplace Illinois law prohibits smoking in public places including places of employment. Individuals are prohibited from smoking within 15 feet of entrances to a public place or place of employment. Illinous_Regs 9 of 11
Signs containing "No Smoking" must be conspicuously posted in each public place and place of employment where smoking is prohibited. Discrimination and Harassment Illinois prohibits discrimination or harassment based on: Ancestry or national origin Race or color Age (over 40) Marital status, including civil unions Arrest records Criminal records that have been expunged Citizen status Unfavorable discharge from military service Pregnancy Genetic testing results Sexual Orientation Sex (including sexual harassment) Physical or mental disability Aids and HIV-positive status Lifestyle (It is unlawful for an employer to refuse to hire, discharge or otherwise disadvantage any individual with respect to employment terms or benefits because the individual uses lawful products off company premises during non-working hours.) Additionally, employers with 15 or more employees are subject to GINA, which prohibits discrimination based on genetic testing information. Illinois requires that documented informed consent be obtained prior to testing an individual for AIDS. Employers may not take adverse employment action or retaliate against an employee who engages in whistle blowing. Employers must keep certain employment posters displayed in a conspicuous and accessible place in the workplace. Such posters will be supplied by the state without cost to the employer. All couples in the state, including same sex couples receive the benefits and protections of marriage granting equal access to status, benefits, protections, rights and responsibilities for all couples entering into marriage and their families. The law also allows the voluntary conversion of a civil union to a marriage. This law takes effect June 1, 2014. State Continuation of Benefits Benefits continuation changes frequently. Currently continuation coverage generally applies to employers that sponsor group health plans, except self-insured plans. Eligible employees have the right to continue coverage for up to 12 months. For policies issued, delivered, amended or renewed after May 17, 2010, individuals eligible for premium assistance under ARRA are entitled to continuation coverage for as long as the individual is eligible for the premium assistance under ARRA. Illinous_Regs 10 of 11
The following link will provide more information about the state law: http://insurance.gov/healthinsurance/continueil.asp/ Resources/Posters Illinois Department of Labor http://www.state.il.us/agency/idol/ United States Department of Labor http://www.dol.gov/ Illinois Department of Human Rights www.illinois.gov/dhr/ Illinois New Hire Directory www.ides.illinois.gov/ Related Libretto Products FLSA Resource Package (for help in determining overtime exempt / non-exempt status of employees) Overtime Guidelines Break Period Guidelines Family Medical Leave of Absence Policy Military Leave of Absence Policy Jury Duty-Witness Leave Policy Voting Time Policy Prohibited Harassment and Nondiscrimination Policy & Employee Acknowledgement COBRA Continuation Coverage Policy General Notice of COBRA Continuation Coverage Rights COBRA Continuation Coverage Election Information: Notice And Form New Hire Reporting for Illinois Illinous_Regs 11 of 11