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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,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Wage Payment and Collection Act is | ||||||
5 | amended by changing Sections 11 and 14 and by adding Section | ||||||
6 | 11.3 as follows:
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7 | (820 ILCS 115/11) (from Ch. 48, par. 39m-11)
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8 | Sec. 11. It shall be the duty of the Department of Labor to | ||||||
9 | inquire diligently
for any violations of this Act, and to | ||||||
10 | institute the actions for penalties
herein provided, and to | ||||||
11 | enforce generally the provisions of this Act.
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12 | An employee may file a complaint with the Department | ||||||
13 | alleging violations of the Act by submitting a signed, | ||||||
14 | completed wage claim application on the form provided by the | ||||||
15 | Department and by submitting copies of all supporting | ||||||
16 | documentation. Complaints shall be filed within one year after | ||||||
17 | the wages, final compensation, or wage supplements were due. | ||||||
18 | Applications shall be reviewed by the Department to | ||||||
19 | determine whether there is cause for investigation.
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20 | The Department shall have the following powers:
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21 | (a) To investigate and attempt equitably to adjust | ||||||
22 | controversies between
employees and employers in respect | ||||||
23 | of wage claims arising under this Act
and to that end the |
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1 | Department through the Director of Labor or any other
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2 | person in the Department of Labor designated by him or her, | ||||||
3 | shall have the
power to administer oaths, subpoena and | ||||||
4 | examine witnesses, to issue subpoenas
duces tecum | ||||||
5 | requiring the production of such books, papers, records and
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6 | documents as may be evidence of any matter under inquiry | ||||||
7 | and to examine and
inspect the same as may relate to the | ||||||
8 | question in dispute. Service of such
subpoenas shall be | ||||||
9 | made by any sheriff or any person. Any
court in this State, | ||||||
10 | upon the application of the Department
may compel | ||||||
11 | attendance of witnesses, the
production of books and | ||||||
12 | papers, and the giving of testimony before the
Department | ||||||
13 | by attachment for contempt or in any other way as the | ||||||
14 | production
of evidence may be compelled before such court.
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15 | (b) To take assignments of wage claims in the name of | ||||||
16 | the Director of
Labor and his or her successors in office | ||||||
17 | and prosecute actions for the
collection of wages for | ||||||
18 | persons financially unable to prosecute such claims when in
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19 | the judgment of the Department such claims are valid and | ||||||
20 | enforceable in the
courts. No court costs or any fees for | ||||||
21 | necessary process and
proceedings shall be payable in | ||||||
22 | advance by the Department for prosecuting
such actions. In | ||||||
23 | the event there is a judgment rendered against the
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24 | defendant, the court shall assess as part of such judgment | ||||||
25 | the costs of
such proceeding. Upon collection of such | ||||||
26 | judgments the Department shall pay
from the proceeds of |
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1 | such judgment such costs to such person who is by law
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2 | entitled to same. The Department may join in a single | ||||||
3 | proceeding any number
of wage claims against the same | ||||||
4 | employer but the court shall have
discretionary power to | ||||||
5 | order a severance or separate trial for hearings.
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6 | (c) To make complaint in any court of competent | ||||||
7 | jurisdiction of
violations of this Act.
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8 | (d) In addition to the aforementioned powers, subject | ||||||
9 | to appropriation, the Department shall may establish an | ||||||
10 | administrative procedure to adjudicate claims and to issue | ||||||
11 | final and binding administrative decisions on such claims | ||||||
12 | subject to the Administrative Review Law within 30 days of | ||||||
13 | the claim . Any claim brought under this Section shall be | ||||||
14 | adjudicated within 30 days after it is filed unless | ||||||
15 | otherwise agreed by the parties. To establish such a | ||||||
16 | procedure, the Director of Labor or her or his authorized | ||||||
17 | representative may promulgate rules and regulations. The | ||||||
18 | adoption, amendment or rescission of rules and regulations | ||||||
19 | for such a procedure shall be in conformity with the | ||||||
20 | requirements of the Illinois Administrative Procedure Act. | ||||||
21 | Nothing herein shall be construed to prevent any employee | ||||||
22 | from making
complaint or prosecuting his or her own claim for | ||||||
23 | wages. Any employee aggrieved by a violation of this Act or any | ||||||
24 | rule adopted under this Act may file suit in circuit court of | ||||||
25 | Illinois, in the county where the alleged violation occurred or | ||||||
26 | where any employee who is party to the action resides, without |
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1 | regard to exhaustion of any alternative administrative | ||||||
2 | remedies provided in this Act. Actions may be brought by one or | ||||||
3 | more employees for and on behalf of themselves and other | ||||||
4 | employees similarly situated.
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5 | Nothing herein shall be construed to limit the authority of | ||||||
6 | the State's
attorney of any county to prosecute actions for | ||||||
7 | violation of this Act or
to enforce the provisions thereof | ||||||
8 | independently and without specific direction
of the Department | ||||||
9 | of Labor.
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10 | (Source: P.A. 98-527, eff. 1-1-14.)
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11 | (820 ILCS 115/11.3 new) | ||||||
12 | Sec. 11.3. Wage claim escrow. If, pursuant to Section 11, | ||||||
13 | the Department of Labor determines there is cause for | ||||||
14 | investigation, the Department shall request that no more than | ||||||
15 | 10% of the disputed wage claim be submitted by the employer to | ||||||
16 | the Department and placed in an escrow account administered by | ||||||
17 | the Department. Upon receiving the moneys, the Department shall | ||||||
18 | provide written verification of the escrow amount received to | ||||||
19 | both the employer and the claimant. | ||||||
20 | These moneys shall be held in escrow until the Department | ||||||
21 | adjudicates the claim, but no longer than 45 days. If, upon the | ||||||
22 | final and binding administrative decision or by the default of | ||||||
23 | an employer for failing to respond to the complaint, the | ||||||
24 | Department finds the employer is guilty of wage theft, the | ||||||
25 | Department shall release the moneys to the claimant, and the |
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1 | employer shall be liable for the remainder of the claim as | ||||||
2 | adjudicated by the Department. If, upon the final and binding | ||||||
3 | administrative decision, the Department finds the employer is | ||||||
4 | not guilty of wage theft, the Department shall release the | ||||||
5 | moneys to the employer. | ||||||
6 | The Department shall adopt rules for the administration of | ||||||
7 | this Section.
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8 | (820 ILCS 115/14) (from Ch. 48, par. 39m-14)
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9 | Sec. 14. (a) Any employee not timely paid wages, final | ||||||
10 | compensation, or wage supplements by his or her employer as | ||||||
11 | required by this Act shall be entitled to recover through a | ||||||
12 | claim filed with the Department of Labor or in a civil action, | ||||||
13 | but not both, the amount of any such underpayments and damages | ||||||
14 | of 2% of the amount of any such underpayments for each month | ||||||
15 | following the date of payment during which such underpayments | ||||||
16 | remain unpaid. In a civil action, such employee shall also | ||||||
17 | recover costs and all reasonable attorney's fees. | ||||||
18 | (a-5) In addition to the remedies provided in subsections | ||||||
19 | (a), (b), and (c) of this Section, any employer or any agent of | ||||||
20 | an employer, who, being able to pay wages,
final compensation, | ||||||
21 | or wage supplements and being under a duty to pay,
wilfully | ||||||
22 | refuses to pay as provided in this Act, or falsely denies the
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23 | amount or validity thereof or that the same is due, with intent | ||||||
24 | to secure
for himself or other person any underpayment of such | ||||||
25 | indebtedness or with
intent to annoy, harass, oppress, hinder, |
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1 | delay or defraud the person to
whom such indebtedness is due, | ||||||
2 | upon conviction, is guilty of: | ||||||
3 | (1) for unpaid wages, final compensation or wage | ||||||
4 | supplements in the amount of $5,000 or less, a Class B | ||||||
5 | misdemeanor; or | ||||||
6 | (2) for unpaid wages, final compensation or wage | ||||||
7 | supplements in the amount of more than $5,000, a Class A | ||||||
8 | misdemeanor. | ||||||
9 | Each day during which any violation of this Act continues
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10 | shall constitute a separate and distinct offense.
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11 | Any employer or any agent of an employer who violates this | ||||||
12 | Section of the Act a subsequent time within 2 years of a prior | ||||||
13 | criminal conviction under this Section is guilty, upon | ||||||
14 | conviction, of a Class 4 felony. | ||||||
15 | (b) Any employer who has been demanded or ordered by the | ||||||
16 | Department or ordered by the court
to pay wages, final | ||||||
17 | compensation, or wage supplements due an employee shall be | ||||||
18 | required to pay a non-waivable administrative fee to the | ||||||
19 | Department of Labor in the amount of $500 $250 if the amount | ||||||
20 | ordered by the Department as wages owed is $3,000 or less; | ||||||
21 | $1,000 $500 if the amount ordered by the Department as wages | ||||||
22 | owed is more than $3,000, but less than $10,000; and $2,000 | ||||||
23 | $1,000 if the amount ordered by the Department as wages owed is | ||||||
24 | $10,000 or more. Any employer who has been so demanded or | ||||||
25 | ordered by the Department or ordered by a court to pay such | ||||||
26 | wages, final compensation, or wage supplements and who fails to |
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1 | seek timely review of such a demand or order as provided for | ||||||
2 | under this Act and who fails to comply within 15 calendar days | ||||||
3 | after such demand or within 35 days of an administrative or | ||||||
4 | court order is entered may be subject to a judgment lien placed | ||||||
5 | on the employer's real estate pursuant to Section 12-101 of the | ||||||
6 | Code of Civil Procedure, may be subject to a citation or | ||||||
7 | supplementary proceeding to discover assets pursuant to | ||||||
8 | Section 2-1402 of the Code of Civil Procedure, and shall also | ||||||
9 | be liable to pay a penalty to the Department of Labor of 20% of | ||||||
10 | the amount found owing and a penalty to the employee of 1% per | ||||||
11 | calendar day of the amount found owing for each day of delay in | ||||||
12 | paying such wages to the employee. All moneys recovered as fees | ||||||
13 | and civil penalties under this Act, except those owing to the | ||||||
14 | affected employee, shall be deposited into the Wage Theft | ||||||
15 | Enforcement Fund, a special fund which is hereby created in the | ||||||
16 | State treasury. Moneys in the Fund may be used only for | ||||||
17 | enforcement of this Act.
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18 | (b-5) Penalties and fees under this Section may be assessed | ||||||
19 | by the Department and recovered in a civil action brought by | ||||||
20 | the Department in any circuit court or in any administrative | ||||||
21 | adjudicative proceeding under this Act. In any such civil | ||||||
22 | action or administrative adjudicative proceeding under this | ||||||
23 | Act, the Department shall be represented by the Attorney | ||||||
24 | General.
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25 | (c) Any employer, or any agent of an employer, who | ||||||
26 | discharges
or in any other manner discriminates against any |
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1 | employee because
that employee
has made a complaint to his | ||||||
2 | employer, to the Director of Labor or his
authorized | ||||||
3 | representative, in a public hearing, or to a community | ||||||
4 | organization that he or she has not been paid in accordance
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5 | with the provisions of this Act, or because that employee has | ||||||
6 | caused to
be instituted any proceeding under or related to this | ||||||
7 | Act, or because that
employee has testified or is about to | ||||||
8 | testify in an investigation or proceeding
under this Act, is | ||||||
9 | guilty, upon conviction, of a Class C misdemeanor. An employee | ||||||
10 | who has been unlawfully retaliated against shall be entitled to | ||||||
11 | recover through a claim filed with the Department of Labor or | ||||||
12 | in a civil action, but not both, all legal and equitable relief | ||||||
13 | as may be appropriate. In a civil action, such employee shall | ||||||
14 | also recover costs and all reasonable attorney's fees.
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15 | (Source: P.A. 98-527, eff. 1-1-14.)
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