Section 260.100  Definitions

"Act" means the Day and Temporary Labor Services Act [820 ILCS 175].

"Certificate of Registration" means a document issued by the Department to a day or temporary labor service agency authorizing that agency to transact business in Illinois. A "Certificate of Registration" is also known as a "license".

"Clerical" means, for purposes of the Day and Temporary Labor Services Act [820 ILCS 175], administrative work in an office or office-like setting and may include a combination of answering telephones, bookkeeping, typing or word processing, office machine operations, processing e-mail and other correspondence, and filing. 

"Contract" means an agreement, written, oral or otherwise as agreed to between the parties.

"Cure" means to correct, remedy, or alleviate an alleged violation to the satisfaction of the Director.

"Day" means a calendar day.

"Day or Temporary Laborer" means a natural person who contracts for employment with a day and temporary labor service agency.  [820 ILCS 175/5]

"Day and Temporary Labor" means work performed by a day or temporary laborer at a third party client, the duration of which may be specific or undefined, pursuant to a contract or understanding between the day and temporary labor service agency and the third party client. "Day and temporary labor" does not include labor or employment of a professional or clerical nature.  [820 ILCS 175/5]

"Day and Temporary Labor Service Agency" or "Agency" means any person or entity engaged in the business of employing day or temporary laborers to provide services, for a fee,  to or for any third party client pursuant to a contract with the day and temporary labor service agency and the third party client, and which is located, operates, or transacts business within the State of Illinois. [820 ILCS 175/5]

"Department" means the Illinois Department of Labor.

"Directly Hired Employee" means an individual who works directly for a third party client as an employee and does not contract for that employment through a day and temporary labor service agency.

"Director" means the Director of Labor or a duly authorized representative.

"Hazard" means any source of potential for damage, harm, or adverse health effect that, if left uncontrolled, could result in an injury to or illness of a worker.

"Hours Worked" has the meaning ascribed to that term in 56 Ill. Adm. Code 210.110.  [820 ILCS 175/30(a)(2)]

"Interested Party" means an organization that monitors or is attentive to compliance with public or worker safety laws, wage and hour requirements, or other statutory requirements. [820 ILCS 175/5] 

"Labor Dispute" means any controversy concerning wages, hours, terms, or conditions of employment. [820 ILCS 175/5]

"Person" means every natural person, firm, partnership, co-partnership, limited liability company, corporation, association, business trust, or other legal entity, or its legal representatives, agents, or assigns.

"Placement Fee" means a fee that a third party client pays to a day and temporary labor service agency in order for the third party client to directly hire a day or temporary laborer as an employee of the third party client, also known as a "conversion fee".

"Professional" means, for purposes of the Day and Temporary Labor Services Act [820 ILCS 175], any person who meets the duties test of a professional under 29 CFR 541.300 through 304 as of March 30, 2003 (no later dates or editions).  Specifically, this means any employee engaged in work predominantly intellectual and varied in character, rather than routine mental, manual, mechanical or physical work.

"Retaliate" means to reprimand, discharge, suspend, demote, deny an assignment, make a materially adverse change to the terms or conditions of the laborer's work, or take any other adverse action against the laborer because of the laborer's involvement in protected activities under the Act or this Part.

"Right to Sue Letter" means a letter notifying an interested party of its right to file an action in civil court under the Act.

"Seniority" means the number of calendar months in which a day or temporary laborer has been assigned to and worked at the third party client compared to the number of calendar months a directly hired comparator employee has been employed by the third party client. [820 ILCS 175/42]

"Third Party Client" or "Client" means any person that contracts with a day and temporary labor service agency for obtaining day or temporary laborers. [820 ILCS 175/5]

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.200  Complaints

a)         A day or temporary laborer may file a complaint with the Department alleging a violation of the Act or this Part by completing and submitting a form provided by the Department and submitting any supporting documentation.

b)         An interested party may file a complaint with the Department alleging a violation of the Act or this Part consistent with the procedures in Section 260.210 and Section 260.220.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.210  Investigation

The Department may initiate an investigation upon receipt of a complaint under Section 260.200 or to otherwise enforce the provisions of the Act or this Part.

a)         The investigation may be made by written or oral inquiry, field visit, conference or any method or combination of methods deemed suitable in the discretion of the Department.  The Director may examine a day and temporary labor agency's books and records, including electronic records, as well as any other documents reasonably related to the investigation, to determine whether a violation of the Act or this Part has occurred.

b)         The Director shall notify all parties of the results of the investigation and shall issue a violation notice when the investigation has established that a violation of the Act or this Part occurred or is occurring.

c)         The Department may, at any time, attempt to resolve the complaint by conference, voluntary mediation, conciliation, or persuasion.

d)         If, after investigation, the Department believes that the Act or this Part has been violated, and the complaint has not been resolved as provided for in subsection c, then the matter shall be referred to an administrative hearing consistent with Section 260.610.

e)         After the hearing, if supported by the evidence, the Department may:

1)         issue and cause to be served on any party an order to cease and desist from further violation of the Act or this Part;

2)         take affirmative or other action as deemed reasonable to eliminate the effect of the violation;

3)         deny, suspend, or revoke any registration under this Act; and

4)         determine the amount of any civil penalty allowed by the Act.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.220  Complaints by Interested Parties

a)         Before an interested party may initiate a civil action in the county where an alleged violation of the Act occurred or where any party to the civil action resides, the following sequence of events must occur: [820 ILCS 175/67]

1)         The interested party shall file a complaint with the Department, within three years of the alleged violation, describing the violation and naming the day and temporary labor service agency or third party client alleged to have violated the Act. [820 ILCS 175/67]

2)         In response to the complaint filed by an interested party that alleges a violation of the Act, the Department shall send a notice of complaint to the named party or parties indicating that any named party may contest or cure the allegations in the complaint within 30 calendar days of service of the notice of complaint. [820 ILCS 175/67] Service may be made according to the requirements contained in Section 260.630.

3)         The named parties may, within 30 calendar days of receiving the notice from the Department, respond in writing indicating if they will contest the alleged violations or will cure the alleged violations.

4)         If the named parties do not respond to the notice of complaint within 30 calendar days, then the Department shall issue a Right to Sue letter to the interested party.  [820 ILCS 175/67]

b)         In addition to subsection (a), the Department shall issue a Right to Sue letter if the Director determines one of the following is true:

1)         The complaint or allegations are unjustified;

2)         The Department does not have jurisdiction;

3)         The Department will not exercise its jurisdiction;

4)         The administrative enforcement proceeding has concluded; or

5)         The named parties have cured the alleged violations.  (See 820 ILCS 175/67.)

c)         An interested party may initiate a civil action 180 calendar days after service of the notice of complaint to the parties if any of the following circumstances exist:

1)         The Department has not resolved the contested complaint;

2)         The parties have not come to a mutual agreement to extend the time period to cure the complaint pursuant to subsection (d); or

3)         The Department has not issued a Right to Sue letter.  [820 ILCS 175/67]

d)         The Parties may extend the 180-day period by mutual agreement. The limitations period for the interested party to bring an action for the alleged violation of the Act shall be tolled for the 180-day period or any mutually agreed extensions of such time period. [820 ILCS 175/67]

e)         If the Department issues a Right to Sue Letter, the Department may still conduct an investigation on matters not specifically identified in the complaint against the named party.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.230  Penalties

a)         A day and temporary labor service agency or third party client found to have violated any provision of the Act or this Part is subject to a civil penalty of not less than $100 and not more than $18,000 for violations found in the first audit by the Department. [820 ILCS 175/70]

b)         Any violation found after the first audit is subject to a civil penalty of not less than $250 and not more than $7,500. [820 ILCS 175/70]

c)            The Department may issue a separate violation to an agency or third party client for each day or temporary laborer that is found to be affected by a violation of the Act or this Part.  (See 820 ILCS 175/70.)

d)         When determining the amount of a penalty under this Section, the Director shall consider the following factors:

1)         The seriousness of the violation, including the nature, circumstances, extent, and gravity of the violation, including probability that death or serious physical or mental harm to a laborer will result or has resulted, the severity of the actual or potential harm, and the extent to which the provisions of the applicable statutes or regulations were violated;

2)            The economic harm to the day or temporary laborer caused by the violation;

3)         The history of previous violations by the day and temporary labor service agency or third party client;

4)         The amount necessary to deter a future violation;

5)         Efforts by the day and temporary labor service agency or third party client to correct the violation;

6)         The size of the employer; and

7)         Any other factor that justice may require.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.300  Registration

a)         No person shall employ day or temporary laborers to provide services to or for any third party client pursuant to a contract between itself and the third party client unless that person or entity is registered with the Department as evidenced by a Department-issued non-transferable certificate.

EXAMPLES:

Manufacturer A contracts with Temporary Labor Agency B to fulfill its labor needs.  Temporary Labor Agency B employs laborers, whom it dispatches out to work for various third party client companies.  Temporary Labor Agency B must be registered with the Department before it provides laborers to Manufacturer A or any other third party client company.

Manufacturer A makes a request to Temporary Labor Agency B for more laborers than usual to meet Manufacturer A's labor needs during a particularly busy season.  Temporary Labor Agency B dispatches some of its own employees to work as laborers for Manufacturer A, but does not employ enough laborers to meet Manufacturer A's request.  Temporary Labor Agency B has a contract with Temporary Labor Agency C to utilize some of Temporary Labor Agency C's employees to fulfill Manufacturer A's labor needs.  In this scenario, both Temporary Labor Agencies B and C must be registered with the Department before providing laborers to Manufacturer A.

b)         A day and temporary labor service agency must annually register with the Department each location or branch office from which the agency will operate.

c)         A day and temporary labor service agency shall keep, and prominently display, the certificate of registration in the public access area at each location where it operates.

d)         A person that is licensed as a private employment agency must also register with the Department as a day and temporary labor service agency if it engages in the business of employing day or temporary laborers to provide services to or for any third party client pursuant to a contract with the person or entity and the third party client.

e)         A person or entity must register as a day and temporary labor service agency with the Department when, on an isolated or incidental basis, it employs persons to provide professional or clerical services to or for any third party client pursuant to a contract with the person and the third party client, in addition to its primary business of employing day or temporary laborers to provide services to or for any third party client pursuant to a contract with the person and the third party client.

f)         In the case of a day and temporary labor service agency that operates day and temporary labor services and separately operates temporary professional or clerical staffing services, the requirements of subsections (c) and (d) of this Section shall apply only to the agency's day and temporary labor operations.

g)         A person or entity that is licensed as a nurse staffing agency under the Nurse Agency Licensing Act must also register with the Department as a day and temporary labor service agency if it also engages in the business of employing day and temporary laborers.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.310  Content of Application to Register

An application to register a day and temporary labor service agency, and an application for registration renewal, shall be made on a form provided by the Department. The application shall contain, but is not limited to, the following:

a)         The name, address, federal employer identification number, telephone number, and email address of the person seeking to register, including the trade or assumed name under which the person does business;

b)         If the person is a corporation, a copy of its articles of incorporation, a copy of its current bylaws, and the names and addresses of its officers and directors and the names and addresses of shareholders owning more than 5% of the corporation's stock shall be provided for the initial registration. Applications for registration renewal shall contain any amendments to the articles of incorporation and bylaws, the names and addresses of any new officers and directors, and the names and addresses of any new shareholders owning more than 5% of the corporation's stock;

c)         If the person is a partnership, the names, business or personal addresses, and telephone numbers of all partners. Applications for registration renewal shall contain the names, business or personal addresses, and telephone numbers of all new partners;

d)         If the person is a limited liability company, a copy of the articles of organization, the operating agreement, and the names and addresses of all organizers and members owning more than 5% of the membership;

e)         The name, address, federal employer identification number, telephone number, and email address of the registered agent for the place of business, including the position held by that person or entity. Applications for registration renewal shall contain the name, address, federal employer identification number, email address, and telephone number of any new registered agent for the place of business, including the position held by that person or entity with the day and temporary labor service agency;

f)         The name and locations of premises from which the day and temporary labor service agency will provide services. Applications for renewal shall contain any new name and locations of premises from which the day and temporary labor service agency will provide services;

g)         The name, address, telephone number, and email address of the person under whose management or supervision the day and temporary labor service agency will be operated. If, during the period when the registration is effective, the person under whose management or supervision the day and temporary labor service agency operates changes, the day and temporary labor service agency will notify the Department within 30 calendar days after the change.  Applications for registration renewal shall include the name, address, and email address of any new person under whose management or supervision the day labor service agency will be operated;

h)         Certification that the person applying for registration is 18 years of age or older;

i)          A bond in due form, to the People of the State of Illinois, for the penal sum of $5,000 with one or more sureties, to be approved by the Department of Labor and conditioned that the obligor will conform to and not violate any of the duties, terms, conditions, provisions or requirements of the Act or this Part;

j)          A certification that the agency will comply with all applicable State and federal employment laws, including, but not limited to, the Illinois Wage Payment and Collection Act [820 ILCS 115] and State and federal laws relating to employee compensation and overtime compensation (Illinois Minimum Wage Law [820 ILCS 105]), social security taxes, State and federal income taxes, workers' compensation (Workers' Compensation Act [820 ILCS 305]), and unemployment taxes (Unemployment Insurance Act [820 ILCS 405]);

k)         A copy of the form to be used for the employment notice, as required by Section 10 of the Act and Section 260.400 of this Part.  The form shall include, but is not  limited to, the items listed in Section 260.400;

l)          An oath or affirmation certifying that all information contained within, and attached to, the application is true and complete;

m)        Copies of financial responsibility and liability insurance required under the Illinois Motor Vehicle Code [625 ILCS 5] for any transportation provided by or referred by the day and temporary labor service agency or a third party client, or a contractor or agent of either, to transport day or temporary laborers to a work site;

n)         Proof of an employer account number for payment of unemployment insurance contributions as required by Section 45 of the Act; and

o)         Proof of valid workers' compensation insurance in effect at the time of and for the duration of the registration period covering all of the day and temporary labor service agency's employees, as required by Section 45 of the Act.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.320  Expiration and Renewal of Registration

a)         Registration of a day and temporary labor service agency shall be for a term of one calendar year and shall expire at the end of the calendar year unless the Department revokes or suspends the registration sooner. A period of suspension does not extend the registration for any period of time.

b)         A day and temporary labor service agency must apply for renewal at least 60 days prior to the expiration of its registration with the Department.

(Source:  Renumbered from Section 260.220 and amended at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.330  Registration Fees

a)         The initial application to register a day and temporary labor service agency must be accompanied by a $3,000 fee for each agency and a $750 fee for each branch office or other location where the agency regularly contracts with day or temporary laborers for services.

b)         The application for renewal of registration for a day and temporary labor service agency must be accompanied by a $3,000 fee for each agency and a $750 fee for each branch office or other location where the agency regularly contracts with day or temporary laborers for services.

c)         The fee to initially apply for, or renew, a registration may be paid by certified check, cashier's check, or money order made payable to the Illinois Department of Labor, or by the State Treasurer's E-Pay program or any successor program. [820 ILCS 175/45]

d)         The fee to initially apply for, or renew, a registration is not refundable.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.400  Required Disclosures to Laborers

a)         Employment Notice.  A day and temporary labor service agency shall provide at the time of dispatch and on any day that any of the terms listed on the employment notice are changed, to each day or temporary laborer who is sent to work as a day or temporary laborer, a statement in a language the laborer understands that contains the following information:

1)         the name of the day or temporary laborer;

2)         the name and nature of the work to be performed, including a list of basic job duties, and the types of equipment, protective clothing, and training that are required for the task;

3)         the wages offered;

4)         the name and address, including county, of the destination of each day or temporary laborer;

5)         the terms of transportation;

6)         whether a meal or equipment or both is provided by either the day and temporary labor service agency or the third party client and the cost of the meal and equipment, if any; and [820 ILCS 175/10(a)(1)-(6)]

7)         if using codes on the day or temporary laborer's paycheck stub to identify third party clients, the code or codes that correlate to where the day or temporary laborer is being sent to work.

b)         The statement provided by the day and temporary labor service agency as required by subsection (a) shall identify the name and title of the authorized agent of the agency stating that the information contained in the statement is true and correct.  If a day or temporary laborer is not dispatched directly to the work site from the office or other location of the day and temporary labor service agency, the statement shall be provided to the day or temporary laborer by hand, email, text message, or U.S. mail.  If the day or temporary laborer is dispatched by telephone, the day and temporary labor service agency shall send the statement to the day or temporary laborer by hand, email, text message, or U.S. mail.  If a day or temporary laborer is assigned to the same assignment for more than one day, the day and temporary labor service agency is only required to provide the employment notice on the first day of the assignment and on any day that any of the terms listed on the employment notice are changed [820 ILCS 175/10(a)].

c)         A day or temporary laborer who has worked for the same third party client for more than 720 hours in a 12-month period or more than 4,160 hours within a 48-month period and is subject to the pay requirements described in Section 42 of the Act shall receive an updated employment notice that further describes: [820 ILCS 175/10(a)(7) and /42]

1)         the seniority and straight time hourly wage of the comparator being used to determine the wage, if the employer uses the method in paragraph (1) of subsection (a) of Section 42 of the Act to determine the laborer's wage rate; or

2)         the standard occupational classification used if the third-party client instructs the day or temporary labor service agency to use the method in paragraph (2) of subsection (a) of Section 42 of the Act to determine the laborer's wage rate. [820 ILCS 175/10]

d)         A day and temporary labor service agency shall provide at the time of dispatch, to each day or temporary laborer who is sent to work as a day or temporary laborer, the following information, which may be provided as part of the required employment notice, or may be provided on a separate document:

1)         the name and title of the representative of the third party client to whom laborers should report safety concerns at the workplace and a statement that safety hazards and concerns may be reported to the Department by calling the Department's Day and Temporary Labor Services Act toll-free hotline at 1-877-314-7052 or emailing DOL.DayLabor@illinois.gov; [820 ILCS 175/85] and

2)         if a strike, lockout, picket, bannering, handbilling or other work stoppage exists because of a labor dispute, then a language the day or temporary laborer understands notifying them of a strike, lockout, or other work stoppage because of a labor dispute and the laborer's right to refuse the assignment without retaliation. [820 ILCS 175/11]

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.402  Right to Refuse Assignment Due to Labor Dispute

a)         A day and temporary labor service agency must inquire whether a strike, lockout, picket, bannering, handbilling or other work stoppage exists because of a labor dispute at a third party client before sending a day or temporary laborer to work there. [820 ILCS 175/11]

b)         A day or temporary laborer shall have the right to refuse assignment to a place where a strike, lockout, picket, bannering, handbilling, or other work stoppage exists because of a labor dispute without prejudice to receiving another assignment. [820 ILCS 175/11]

c)         A day and temporary labor service agency shall not send a day or temporary laborer to a place where a picket, bannering, handbilling, or other work stoppage exists because of a labor dispute unless it has complied with Section 260.400(a)(9). [820 ILCS 175/11]

d)         If a day and temporary labor service agency fails to provide the information to the day or temporary laborer as required by Section 260.400(d)(2), then it shall constitute a notice violation subject to a private right of action under Section 95 of the Act. [820 ILCS 175/11]

e)         It is a violation of Section 90 of the Act for a day and temporary labor service agency or third party client to retaliate against a worker who exercises or attempts to exercise any right afforded by this Section.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.404  Day and Temporary Labor Service Agency Training Requirements

a)         The day and temporary labor service agency shall provide general safety training to each day or temporary laborer for each client company that the day or temporary laborer is dispatched to on or before a day or temporary laborer's first day working at that client company each year. [820 ILCS 175/85]

b)            This general safety training shall be provided at no expense to the day or temporary laborer, and the time that the day or temporary laborer spends in training shall be considered compensable time.

c)            The training shall reflect all existing job hazards known to the third party client company or the day and temporary labor service agency, including hazards that have been reported to the client or the agency by a day or temporary laborer. In order to effectuate this requirement, the day and temporary labor service agency must inquire about the client company's safety and health practices and hazards at the actual workplace where the day or temporary laborer will be working. [820 ILCS 175/85(c)].  This must include, but is not limited to, inquiring about any of the following types of hazards which are or could be present on the worksite:

1)         hazards which necessitate the use of personal protective equipment;

2)         fall hazards;

3)         electrocution hazards;

4)         hazards of being struck by objects;

5)            getting caught in or between machinery or equipment;

6)         machinery-related hazards;

7)         chemical or other substance-related hazards; and

8)         repetitive-motion hazards.

d)         The training shall include information regarding actions taken by the third party client to eliminate, control, or otherwise mitigate or protect workers from the hazards, as well as what steps workers should take to avoid or control the hazards. This must include emergency action plans, emergency evacuation procedures, and shelter-in-place procedures.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.406  Third Party Client Training Requirements

Before a day or temporary laborer begins to perform work at a third party client's work site, or if a laborer's assigned location, duties, or working environment, including equipment or tools, changes, the third party client must do the following:

a)         Notify the day and temporary labor service agency in writing about anticipated job hazards likely to be encountered at the worksite by the day or temporary laborer;

b)         Review the safety and health awareness training provided by the day and temporary labor service agency to determine if it addresses recognized hazards in the third party client's industry;

c)         Provide site-specific training tailored to particular hazards that are present or could be anticipated at the third party client's worksite consistent with training requirements provided for in standards, guidance, or best practices issued by the federal Occupational Safety and Health Administration.  

1)         This training could include, but is not limited to, any of the following types of hazards:

A)        hazards which necessitate the use of personal protective equipment;

B)        fall hazards;

C)        electrocution hazards;

D)        hazards of being struck by objects;

E)        getting caught in or between machinery or equipment;

F)         machinery-related hazards;

G)        chemical or other substance-related hazards; and

H)        repetitive-motion hazards.

2)         This site-specific safety training shall be provided at no expense to the day or temporary laborer, and the time that the day or temporary laborer spends in training shall be considered compensable time; and;

d)         Document and maintain records of site-specific training and provide confirmation that the training occurred to the day and temporary labor service agency within 3 business days of providing the training to the laborer. [820 ILCS 175/85]

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.408  Application Receipt

If an applicant seeks a work assignment as a day or temporary laborer with a day and temporary labor service agency, including in-person, online, or through an app-based system, and is not placed with a third party client or otherwise contracted to work for that day by the day and temporary labor service agency, the day and temporary labor service agency shall provide the applicant with, or, if using a third party to facilitate hiring, ensure that the third party provides the applicant with, a confirmation that the applicant sought work.  This confirmation, also known as an application receipt, shall identify the name and title of the authorized agent of the day or temporary labor service agency who processed the application, and shall be manually or electronically signed.  The application receipt shall include:

a)         the name and location of the day and temporary labor service agency and if applicable, the branch office;

b)         the name and address of the applicant;

c)         the date and the time that the applicant sought the work assignment;

d)         the manner in which the applicant sought the work assignment; and

e)         the specific work sites or type of jobs sought by the applicant, if applicable. [820 ILCS 175/10]

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.410  Recordkeeping

Pursuant to Section 12 of the Act, day and temporary labor service agencies shall keep the following records available for inspection by the Department during regular business hours at the place the records are kept:

a)         the name, address and telephone number of each third party client, including each work site, to which day or temporary laborers were sent by the agency and the date of the transaction;

b)         the name and address, the specific location sent to work, the type of work performed, the number of hours worked, the hourly rate of pay and the date sent, for each day or temporary laborer;

c)         the name and title of the individual or individuals at each third party client's place of business responsible for the transaction;

d)         any specific qualifications or attributes of a day or temporary laborer requested by each third party client;

e)         copies of all contracts, if any, with the third party client and copies of all invoices for the third party client;

f)         copies of all employment notices provided in accordance with the Act and this Part;

g)         deductions to be made from each day or temporary laborer's compensation made by either the third party client or by the day and temporary labor service agency for the day or temporary laborer's food, equipment, withheld income tax, withheld social security payments and every other deduction;

h)         verification of the actual cost of any equipment or meal charged to a day or temporary laborer; [820 ILCS 175/12]

i)          the race and gender of each day or temporary laborer sent by the day and temporary labor service agency, as provided by the day or temporary laborer;

j)          number of hours billed by the day and temporary labor service agency to each third party client for each day or temporary laborer;

k)         a legend or explanation sheet for the code or codes used on a day or temporary laborer's paycheck stub that identifies the third party client or third party clients for whom the day or temporary laborer worked;

l)          all records pertaining to the safety hazard training and disclosure required by the Act, including documentation signed by each day or temporary laborer indicating that the day or temporary laborer has received the training required by the Act, including dates, and any reports of hazards received from day or temporary laborers;

m)        all records, including information provided by third party clients, used to determine compensation;

n)         records related to any notice of a strike, lockout, or work stoppage due to a labor dispute provided to a day and temporary labor service agency, and documentation signed by each day or temporary laborer who is assigned to the site of a strike, lockout, or work stoppage due to a labor dispute acknowledging that the day or temporary laborer was informed about the dispute and their right to refuse the assignment without prejudice to receiving another assignment.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.420  Inspection and Maintenance of Records

a)         The Department is authorized to inspect and copy any records or notices required to be kept under the Act and this Part during regular business hours at the place where the records are maintained.  The records or notices required to be kept under the Act and this Part shall be kept within the State of Illinois at an office of the day and temporary labor service agency.  The refusal of an agency to produce the records for inspection or copying will be considered grounds to revoke the agency's registration.

b)         Upon request from the Department, the day and temporary labor service agency shall produce paper or machine-readable electronic records to the Department within five business days following a request.

c)         Records required under this Section shall be maintained for a period of three years from their creation.  However, records shall be maintained for a longer period while there is an open case pending against the agency.

d)         Day and temporary labor service agencies shall make the records described in Section 260.410, except for subsections (e) and (m), available to a day or temporary laborer during normal business hours within five calendar days following a written request.   In addition, during normal business hours and within five calendar days following a written request, day and temporary labor service agencies shall make available to the individual making the request records relating to the number of hours billed to a third party client for that individual day or temporary laborer's hours of work.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.430  Meals

A day and temporary labor service agency shall not charge a day or temporary laborer for any meal not consumed by the day or temporary laborer.  If a meal is consumed by the day or temporary laborer, no more than the actual cost of the meal may be charged.  The purchase of a meal cannot be a condition of employment for the day or temporary laborer.  (See 820 ILCS 175/15.)

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.440  Transportation

a)         A day and temporary labor service agency or a third party client or contractor or agent of either shall not charge a fee to transport a day or temporary laborer to or from the designated work site.

b)         A day and temporary labor service agency is responsible for the conduct and performance of any person who transports a day or temporary laborer from the agency to a work site, except as provided in Section 20 of the Act.  [820 ILCS 175/20]

c)         A day and temporary labor service agency shall not refer a day or temporary laborer to any person for transportation to a work site, except as provided in Section 20 of the Act.

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.445  Equal Pay for Equal Work

Pursuant to Sections 42 and 43 of the Act, a day and temporary labor service agency shall pay day and temporary laborers as follows.

a)         Equal Pay. A day and temporary labor service agency shall pay a day or temporary laborer who is assigned to work and performs work at the same third party client for more than 720 hours within a 12-month period, beginning on or after April 1, 2024, in accordance with one of the following methods:

1)         Third party client employee compensation as a basis for compensation. This method shall be the default method unless the third party client directs the day and temporary labor service agency to use the method in subsection (a)(2). The day or temporary laborer shall be paid as follows:

A)        If there is a directly hired comparator employee of the third party client with the same or substantially similar level of seniority at the company and performing the same or substantially similar work on jobs the performance of which requires substantially similar skill, effort, and responsibility, and that are performed under similar working conditions, the agency shall pay that laborer not less than the straight-time hourly rate of pay or hourly equivalent of the lowest paid directly hired comparator employee of the third party client who is entitled to overtime under the Fair Labor Standards Act of 1938 (29 U.S.C. 203) with the same or substantially similar level of seniority at the company and performing the same or substantially similar work on jobs the performance of which requires substantially similar skill, effort, and responsibility, and that are performed under similar working conditions; or

B)        If there is not a directly hired comparator employee of the third party client performing the same or substantially similar work as described in subsection (a)(1)(A), the agency shall pay that laborer not less than the straight-time hourly rate of pay or hourly equivalent of the lowest paid directly hired employee of the third party client who is entitled to overtime under the Fair Labor Standards Act of 1938, as amended, with the closest level of seniority at the third party client.

C)        If there is no directly hired employee of the third party client who is entitled to overtime under the Fair Labor Standards Act of 1938, this Section does not apply.

D)        As used in this Section, "substantially similar level of seniority" refers to comparative time spans as measured in number of months worked. (See 820 ILCS 175/42(d).)

2)         Bureau of Labor Statistics data as a basis for compensation. In lieu of the method in subsection (a)(1), and at the sole discretion of the third party client, the day or temporary laborer shall be paid as follows:

A)        if a day or temporary laborer has been assigned to work and performs work at the same third party client for more than 720 hours within a 12-month period, not less than the median base hourly rate, or hourly equivalent if paid on a salary basis, of workers working in the same or a substantially similar job classification, as reflected in the detail level of the most recent Standard Occupational Classification System published by the United States Department of Labor's Bureau of Labor Statistics, in the same metropolitan area or non-metropolitan area of Illinois where the work is performed, as reflected in the most recent Occupational Employment and Wage Statistics Survey, or any successor publication, published by the United States Department of Labor's Bureau of Labor Statistics; or

B)        If a day or temporary laborer has been assigned to work and performs work at the same third party client for more than 4,160 hours within a 48-month period, not less than the 75^th percentile base hourly rate, or hourly equivalent if paid on a salary basis, of workers working in the same or substantially similar job classification, as reflected in the detail level of the most recent Standard Occupational Classification System published by the United States Department of Labor's Bureau of Labor Statistics, in the same metropolitan area or non-metropolitan area of Illinois where the work is performed, as reflected in the most recent Occupational Employment and Wage Statistics Survey, or any successor publication, published by the United States Department of Labor's Bureau of Labor Statistics. The Department shall provide on its website a link to the publications specified in this subsection (a)(2)(B) and a link to the United States Department of Labor's guidance on determining standard occupational classifications.

b)         Exceptions. The requirements set forth in subsection (a) shall not apply to any company where the direct hire employees of the third party client performing the same or substantially similar work as the day or temporary laborers assigned to work at the third party client are covered by a valid collective bargaining agreement in effect on April 1, 2024 for the period covered by that current collective bargaining agreement. [820 ILCS 175/42]

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.450  Wage Payment and Notice

a)         At the time of payment of wages, a day and temporary labor service agency shall provide the following information on the day or temporary laborer's paycheck or on a form approved by the Department:

1)         the name, address, and telephone number of each third party client at which the day or temporary laborer worked;

2)         the number of hours worked by the day or temporary laborer at each third party client each day during the pay period.  If the day or temporary laborer is assigned to work at the same work site of the same third party client for multiple days in the same work week, the day and temporary laborer service agency may record a summary of hours worked at that third party client's worksite so long as the first and last day of that work week are identified as well;

3)         the rate of payment for each hour worked, including any premium rate or bonus;

4)         the total pay period earnings;

5)         all deductions made from the day or temporary laborer's compensation made either by the third party client or by the day and temporary labor service agency, and the purpose for which deductions were made, including the day or temporary laborer's food, equipment, withheld income tax, withheld social security payments, and every other deduction [820 ILCS 175/30(a)]; and

6)         if the day and temporary labor service agency uses codes or other abbreviations to identify third party clients on the day or temporary laborer's paycheck stub, the agency shall make a legend or explanation of any such abbreviations immediately available to the day or temporary laborer upon request and during normal business hours.

b)         A day or temporary laborer who is contracted by a day and temporary labor service agency to work at a third party client's work site, but is not utilized by the third party client for a minimum of 4 hours, shall be paid by the day and temporary labor service agency for a minimum of 4 hours of pay at the agreed upon rate of pay.  However, if the day and temporary labor service agency is able to place the day or temporary laborer at another work site during that same shift, the day or temporary laborer shall be paid by the agency at the agreed upon rate of pay for all hours worked on the shift but no less than 2 hours.  [820 ILCS 175/30]

c)         All wage payments must be in compliance with all laws relating to wages contained in Chapter 820 of the Illinois Compiled Statutes.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.460  Deductions from Wages

Except as provided in Section 9 of the Illinois Wage Payment and Collection Act, no deductions from wages shall be made unless the day or temporary laborer provides express written authorization for a deduction given freely at the time the deduction is made in accordance with Section 9 of the Illinois Wage Payment and Collection Act [820 ILCS 115/9], the Act and this Part.  Deductions may not cause a day or temporary laborer's hourly rate to fall below the State or federal minimum wage.  The Department shall provide a form to be used for all deductions made under the Act and this Part.   

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.470  Placement Fees

a)         A day and temporary labor service agency may charge a placement fee to a third party client who employs a day or temporary laborer for whom a contract for work was effected by the agency.  The fee shall not exceed the total daily commission rate the agency would have received over a 60 day period reduced by the total amount of the daily commission rate the agency has received each day the day or temporary laborer has performed work for the agency in the preceding 12 months (i.e., (daily commission rate times 60) minus (daily commission rate times number of days worked for the agency in the prior 12 months)).

b)         Days worked at the agency in the 12 months prior to January 1, 2006 shall be included for purposes of calculating the maximum placement fee.

c)         A day or temporary laborer, third party client, or interested party may file a complaint with the Department if they have knowledge that a day and temporary labor service agency has charged a placement fee or threatened to charge a placement fee in violation of this Section or Section 40 of the Act. However, nothing in this Section or Section 40 of the Act requires a third party client to directly hire a day or temporary laborer who has performed work beyond the time period in which a placement fee may be charged.

d)         Example:  Worker A has been employed by Temp Agency A since February 1, 2024. Temp Agency A dispatches Worker A to Client B or Client C as needed on different days, and charges each Client a $50 commission per day on top of the worker's compensation. Between February 1 and April 1, 2024, Worker A works 25 days for Client B and 15 days for Client C. Client B wishes to hire Worker A directly as an employee. Temp Agency A may charge Client B no more than $1,000 as a placement fee according to the following calculation:

$50 daily commission rate multiplied by 60 = $3,000.

$50 daily commission rate multiplied by 40 days of work = $2,000.

$3,000 minus $2,000 = $1,000 allowable placement fee.

e)         At the time a day or temporary laborer is dispatched to any third party client, a day and temporary labor service agency must provide the day or temporary laborer with a written notice stating whether the client is subject to paying the day and temporary labor service agency a placement fee if the client directly hires the day or temporary laborer, that any fee will be reduced based on the days worked by the day or temporary laborer for such client prior to being hired by the client, and that no fee will be charged to the client if the employee has performed work for the day and temporary labor service agency on more than 60 calendar days in a 12-month period.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.480  Public Access Area

A day and temporary labor service agency shall provide adequate seating in the public access area of the offices of the agency.  The public access area shall allow for access to restrooms and suitable drinking water.  (See 820 ILCS 175/35.)

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.490  Postings

A day and temporary labor service agency shall post and keep posted at each location, in the public access area, easily accessible to all employees, notices as supplied and required by the Department containing a copy or summary of the provisions of the Act and a toll-free telephone number for day or temporary laborers and the public to file wage dispute complaints and other alleged violations by day and temporary labor service agencies.  The public access area shall also be the location for any other State or federally mandated posting.  (See 820 ILCS 175/35.)

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.495  Liability Insurance

Any day and temporary labor service agency that provides transportation, as provided in Section 20 of the Act or this Part, to a day or temporary laborer to transport the laborer to a work site shall be required to notify the Department if the insurance policy is cancelled.  The day and temporary labor service agency shall ensure that the insurance company provides the Department notice of cancellation of the insurance.

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.497 Workers' Compensation Insurance

Valid workers' compensation insurance covering all day or temporary laborers shall be in effect at the time of and for the duration of the registration period.  The day and temporary labor service agency shall have an affirmative duty to report any lapse of coverage to the Department.

It shall also be required that the day and temporary labor service agency ensure that the insurance

company provide the Department notice of cancellation of the insurance.

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.500  Wage Payments and Legal Responsibility

All wage payments must be in compliance with all laws relating to wages contained in 820 ILCS.  Third party clients that contract with day and temporary labor service agencies for the services of day or temporary laborers shall share with the day and temporary labor service agency all legal liability and responsibility for the payment of wages.

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.505  Responsibility to Provide Compensation Information

a)         Upon request, a third party client to which a day or temporary laborer has been assigned to work and has performed work for more than 720 hours within a 12-month period or 4,160 hours within a 48-month period shall be obligated to timely provide the day and temporary labor service agency with all necessary information related to job duties, working conditions, pay, and seniority of directly hired employees necessary for the day and temporary labor service agency to comply with the equal pay provisions of Section 260.445. Upon receipt of the accurate and complete information described in this subsection from the third party client, it shall be the responsibility and duty of the day and temporary labor service agency to calculate and determine the straight-time hourly rate of pay it shall offer to the day or temporary laborer, including any cash equivalent.

b)         For purposes of this Section, "timely" means before the beginning of the day or temporary laborer's next pay period.

c)         The failure by a third party client to timely provide any of the information required under this Section shall constitute a notice violation subject to a private right of action under Section 95 of the Act.  For purposes of this Section, the day and temporary labor service agency shall be considered a person aggrieved as described in Section 95 of the Act. [820 ILCS 175/42]

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.510  Verification of Registration

Third party clients have a duty to verify that a day and temporary labor service agency is registered with the Department before entering into a contract with the agency, and again on March 1 and September 1 of each year.  Third party clients may verify that an agency is registered by consulting the Department's website.

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.520  Work Verification Form

For each day or temporary laborer who is contracted to work a single day, the third party client shall provide the day or temporary laborer with a work verification form at the end of the work day.  The form shall be provided by or approved by the Department and shall contain the date, the name of the day or temporary laborer, the work location and the hours worked on that day.  (See 820 ILCS 175/30(a-1).)

(Source:  Added at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.530  Safety Hazard Disclosure to Agency 

a)         Prior to a day and temporary labor service agency assigning or dispatching a day or temporary laborer to a worksite, the third party company must notify the agency of all of the client's safety and health practices and disclose all known hazards at the actual location where the day or temporary laborer will be working in order for the day and temporary labor service agency to assess the safety conditions, worker's tasks, and the company's safety program;

b)         If the day and temporary labor service agency becomes aware of an additional safety or health practice, or hazard at the actual worksite, then the agency shall notify the third party company as soon as possible. [820 ILCS 175/85]

c)         No day or temporary laborer shall be asked to work at a worksite with a job hazard known by the day and temporary labor service agency unless the job hazard has been fixed or addressed by the third party client prior to assignment.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.540  Labor Dispute Disclosure to Agency

A third party client must notify a day and temporary labor service agency if a strike, lockout, or other work stoppage exists because of a labor dispute at the location where the agency is dispatching day or temporary laborers.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.550  Recordkeeping Requirements for Third Party Clients

Pursuant to the Act, third party clients shall keep the following records and produce them for inspection by the Department upon request, for a period of three years from their creation:

a)         contracts for the referral or dispatch of day or temporary laborers, including documentation that all contracted agencies hold a valid certificate of registration issued by the Department;

b)         any documents related to wages, hours, and terms and conditions of employment for each day or temporary laborer sent to work for that third party client, including hours worked, type of work performed, and any deductions charged to the day or temporary laborer;

c)         all records related to all known safety hazards, including documentation of steps taken to mitigate or control the hazards; and

d)         records relating to compensation of directly hired employees for comparison purposes necessary for compliance with Sections 260.445 and 260.505.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.600  Suspension, Revocation, or Denial

a)         The Department may suspend, revoke, or deny the registration of a day and temporary labor service agency for, but not limited to, any of the following reasons:

1)         A violation of, or failure to comply with, any provision of the Act or this Part;

2)         Knowingly making any misrepresentation or false statement in connection with an application for, or renewal of, a registration of a day and temporary labor service agency with the Department;

3)         For any conduct or practice found, as a result of an administrative hearing, conducted by the Department and evidenced by a final administrative decision, to be detrimental to public health and safety; or

4)         upon order of a circuit court.

b)         When determining whether to suspend, revoke, or deny a registration, the Director shall consider the following factors:

1)         The seriousness of the violation, including the nature, circumstances, extent, and gravity of the violation, including probability that death or serious physical or mental harm to a laborer will result or has resulted, the severity of the actual or potential harm, the number of laborers impacted or potentially impacted, and the extent to which the provisions of the applicable statutes or regulations were violated;

2)            The economic harm to the day or temporary laborer caused by the violation;

3)         The history of previous violations;

4)            The action necessary to deter a future violation;

5)            Efforts to correct the violation; and

6)         Any other factor that justice may require.

c)         A day or temporary labor service agency whose registration has been revoked or denied may submit a new application for registration after:

1)         paying any penalties assessed by the Department;

2)         correcting any outstanding violations to the satisfaction of the Director; and

3)         providing any additional information deemed necessary by the Director to ensure continued compliance with the Act and this Part.

d)         A day or temporary labor service agency whose registration has been suspended may request that their registration be reinstated after:

1)         paying any penalties assessed by the Department;

2)         correcting any outstanding violations to the satisfaction of the Director; and

3)         providing any additional information deemed necessary by the Director to ensure continued compliance with the Act and this Part.

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.610  Administrative Hearings

Hearings shall be conducted pursuant to the provisions of Article 10 of the Illinois Administrative Procedure Act [5 ILCS 100/Art. 10] and the Department's Rules of Procedure in Administrative Hearings (56 Ill. Adm. Code 120).

(Source:  Amended at 50 Ill. Reg. 7177, effective April 28, 2026)

Section 260.620  Considerations in Reaching a Decision (Repealed)

(Source:  Renumbered from Section 260.320 and repealed at 30 Ill. Reg. 11557, effective June 22, 2006)

Section 260.630  Service of Documents

Service of any document upon any person may be made by personal delivery, certified mail with the return receipt signed by the person or its agent, US regular mail with postage prepaid, electronic mail (e-mail) when agreed to by the party, or any other verifiable means, such as private carrier, to the following:

a)         An address on file with the Department;

b)         An address on file with the Secretary of State;

c)         An address on file with any other State agency with which the respondent shall maintain a current address; or

d)         Any other address, including e-mail address, the Department reasonably calculates to be a true and current address for the party.

(Source:  Added at 50 Ill. Reg. 7177, effective April 28, 2026)