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| | 104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5461 Introduced 2/13/2026, by Rep. Jennifer Gong-Gershowitz SYNOPSIS AS INTRODUCED:
| | | Amends the Illinois Wage Payment and Collection Act. Provides that it is unlawful to include in any employment contract, or to require an employee to execute as a condition of employment or a work relationship, a contract that: (1) requires the employee to pay an employer, training provider, or debt collector for a debt if the employee's employment or work relationship with a specific employer is terminated; (2) authorizes the employer, training provider, or debt collector to resume or initiate collection of or to end forbearance on a debt if the employee's employment or work relationship with a specific employer is terminated; (3) imposes any penalty, fee, or cost on a employee if the employee's employment or work relationship with a specific employer is terminated. Provides that the provision applies to contracts entered into on or after the effective date of the amendatory Act. Provides that a contract entered into in violation of the provision is void and unenforceable. Sets forth an exception to the provision. Effective immediately. |
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| | A BILL FOR |
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| | HB5461 | | LRB104 19332 SPS 32779 b |
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| 1 | | AN ACT concerning employment.
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| 2 | | Be it enacted by the People of the State of Illinois, |
| 3 | | represented in the General Assembly:
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| 4 | | Section 5. The Illinois Wage Payment and Collection Act is |
| 5 | | amended by adding Section 9.1 as follows:
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| 6 | | (820 ILCS 115/9.1 new) |
| 7 | | Sec. 9.1. Prohibition of contracts requiring payment upon |
| 8 | | termination. |
| 9 | | (a) Except as provided in subsection (d), it is unlawful |
| 10 | | to include in any employment contract, or to require an |
| 11 | | employee to execute as a condition of employment or a work |
| 12 | | relationship, a contract that: |
| 13 | | (1) requires the employee to pay an employer, training |
| 14 | | provider, or debt collector for a debt if the employee's |
| 15 | | employment or work relationship with a specific employer |
| 16 | | is terminated; |
| 17 | | (2) authorizes the employer, training provider, or |
| 18 | | debt collector to resume or initiate collection of or to |
| 19 | | end forbearance on a debt if the employee's employment or |
| 20 | | work relationship with a specific employer is terminated; |
| 21 | | or |
| 22 | | (3) imposes any penalty, fee, or cost on a employee if |
| 23 | | the employee's employment or work relationship with a |