HB3433 102ND GENERAL ASSEMBLY

LRB102 11290 JLS 16623 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3433

Introduced 2/22/2021, by Rep. Bob Morgan

SYNOPSIS AS INTRODUCED:

New Act

Creates the Paid Family Leave Program Act. Directs the Department of Employment Security to create a paid family leave program. Provides for premium contributions by both employees and employers. Provides that employees may take paid leave from employment for medical reasons on behalf of themselves and to provide care for family members with a serious medical condition. Allows for paid leave to bond with newborn and newly adopted children. Establishes computation of benefit amounts and contributions by employees and employers toward the cost of the program. Contains provisions regarding the administration of the program. Defines terms.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning employment.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Paid Family Leave Program Act.

Section 5. Definitions. In this Act:

"Department" means the Department of Employment Security.

"Employee" means any individual permitted to work by an employer.

"Employer" means an individual, partnership, corporation, association, business, trust, person, or entity for whom employees are gainfully employed in Illinois and includes the State of Illinois, any state officer, department, or agency, any unit of local government, and any school district.

Section 10. Paid family leave program.

(a) The Department shall establish and administer a program that makes it possible for employees in Illinois to take paid leave from employment for medical reasons on behalf of themselves and to provide care for family members with a serious medical condition. The program shall also provide for paid leave to bond with newborn and newly adopted children.

(b) The Department shall collect, manage, and distribute premium proceeds from any fund created under this Act.

(c) The Department shall report annually to the General Assembly regarding the effectiveness and financial condition of the program established under this Act.

(d) The Department shall develop a process for application and for verification of leave with employers. The system shall provide that the Department shall make a determination on the validity of a claim within 14 days after receiving the claim and notify the applicant of the Department's determination within 24 hours after the determination is made. Denial of an application shall be in writing. The Department shall establish an appeal process that complies with the Illinois Administrative Procedure Act.

(e) The Department shall adopt and enforce rules necessary for the implementation of this Act. The rules shall, at a minimum, establish penalties for fraudulent claims and noncompliance with the Act and rules. The rules shall also provide for back pay and other relief if an employee is damaged by an employer's violation of the program requirements.

(f) The program must comply with all provisions of this Act.

Section 15. Application process. The Department shall create and publicize the application process for the paid family leave program.

Section 20. Minimum requirements. The program must, at a minimum, provide for the payment of premiums by persons eligible for the program. In addition to other requirements established by the Department, an eligible person must have been continuously employed and paying premiums for 3 consecutive months before collecting benefits.

Section 25. Cooperation with employers.

(a) The Department shall work with employers having more than 50 employees to establish a mechanism for collecting family leave premiums.

(b) Employees and employers shall share the cost of the program. Employees shall contribute 0.26% of their wages. An employee's contribution shall not apply to wages in excess of $134,900 per year. Employers shall contribute a percentage of employees' wages as determined by rule. The employer contribution shall be at least 0.10% but not more than 0.75% of the employee's wages. An employer's contribution shall not apply to an employee's wages in excess of $35,300 per year.

Section 30. Benefit amount calculation. The benefit amount under this Act shall be based upon the employee's average weekly income. The benefit shall be calculated by dividing the employee's gross income for the 12 months before making application for leave by the number of weeks the employee worked during that 12-month period.

Section 35. Leave additional to other benefits. Leave available under the program shall be in addition to any sick leave otherwise available to the employee. Leave under this Act must be provided in addition to any leave otherwise available under the employer's leave policy.

Section 40. Return to work. Upon return to work after a leave subject to this Act, an employee must be restored to the position held before taking leave or provided a position with benefits, wages, and terms equal to or better than the employee's prior position.

Section 45. Disclosure of reason for leave prohibited.

(a) An employer may not disclose any information about employees' need for leave related to their health, a family member's health, domestic abuse, or sexual assault or harassment case related to an employee's need for leave.

(b) An employer may not require employees to disclose the information specified in subsection (a) as a condition of using paid leave.