97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB2186

 

Introduced 2/15/2011, by Sen. Michael Noland - A. J. Wilhelmi - Toi W. Hutchinson - John G. Mulroe - Gary Forby

 

SYNOPSIS AS INTRODUCED:
 
New Act
30 ILCS 500/30-45
30 ILCS 805/8.35 new

    Creates the Job Preservation Act of 2011. Provides that companies that lose 100 or more employees due to outsourcing of jobs are ineligible to receive procurement contracts with the State, units of local government, or school districts and to receive government grants, loans, tax incentives, or other economic incentives. Requires certain companies that lose 100 or more employees to notify the Department of Labor about the loss. Requires the Department to send a survey to companies that report the loss of 100 or more employees in order to determine the number of employees lost because of outsourcing jobs outside of the United States. Requires the Department to provide written notice to the Governor, the General Assembly, State agencies, units of local government, and school districts. Preempts home rule powers. Exempts from the reimbursement requirements of the State Mandates Act. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
HOME RULE NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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1    AN ACT concerning jobs.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the Job
5Preservation Act of 2011.
 
6    Section 5. Legislative declaration. The General Assembly
7finds, determines, and declares that:
8        (1) In recent years, a number of companies have
9    replaced highly-skilled workers from this State with
10    lower-paid, foreign laborers, a practice that is known as
11    outsourcing.
12        (2) In many cases, the impetus for the outsourcing is
13    pressure from domestic and foreign capital venture
14    companies that see foreign labor as a way of increasing
15    their already significant profits.
16        (3) The preservation of jobs in this State is of
17    critical importance to the economic vitality of the State
18    and the local communities within the State.
19        (4) The economic dislocation caused by a company
20    outsourcing jobs threatens the health, safety, and welfare
21    of the people of this State.
22        (5) A company that engages in outsourcing should not
23    enjoy the benefits of a lucrative State or local

 

 

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1    procurement contract.
2        (6) Companies should also be prohibited from receiving
3    grants, loans, tax incentives, or other economic
4    incentives from State and local government.
 
5    Section 10. Definitions. In this Act, unless the context
6otherwise requires:
7        (1) "Company" means any corporation, subchapter S
8    corporation, professional corporation, business trust,
9    estate, trust, joint stock company, joint venture, limited
10    liability company, partnership, association,
11    unincorporated association, society, or any other
12    nongovernmental legal entity. "Company" also includes any
13    subsidiary, parent, merged, or acquired company.
14        (2) "Department" means the Department of Labor.
15        (3) "Director" means the Director of Labor.
16        (4) "Local government" means a unit of local government
17    or a school district.
18        (5) "Procurement" means any State or local government
19    contract that exceeds $500.
20        (6) "State" means a department, office, commission,
21    institution, board, or other agency of State government,
22    including an institution of higher education.
23        (7) "Survey" means the job relocation survey that the
24    Director prepares in accordance with the provisions of this
25    Act.
 

 

 

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1    Section 15. Job relocation; notice; survey.
2    (a) On or before January 31, 2012, and each January 31
3thereafter, any company doing business in this State that had a
4net loss of 100 or more employees in the State during the prior
5calendar year must notify the Department of the loss.
6    (b) The Director shall prepare a job relocation survey to
7be completed by a company that notifies the Department pursuant
8to this Section. In addition to any other information required
9by the Director, the survey shall include the following:
10        (1) The name and principal place of business of the
11    company.
12        (2) Identification of any procurement contracts that
13    the company has with the State or a local government.
14        (3) Identification of any grants, loans, tax
15    incentives, or other economic development incentives that
16    the company has received from the State or a local
17    government during the previous 10 years.
18        (4) A statement of the number of employees of the
19    company that lost their jobs in the preceding calendar
20    year.
21        (5) A statement of the number of jobs that were added
22    in this State the preceding calendar year.
23        (6) A statement of the number of jobs that employees
24    lost that were caused as a result of the company
25    outsourcing the jobs to employees located outside of the

 

 

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1    United States.
2    (c) A company shall complete and return the survey to the
3Department within 30 days after receiving it. A company that
4fails to respond to the survey within that 30-day period is
5subject to the penalties set forth in this Act until the time
6that the survey is completed.
7    (d) Any person who believes that he or she lost his or her
8job as a result of a company outsourcing jobs to employees
9located outside of the United States is encouraged to report
10all relevant information to the Department.
 
11    Section 20. Outsourcing; penalties.
12    (a) Notwithstanding any provision of law to the contrary,
13if a company has had a net loss of 100 or more employees in this
14State during the prior calendar year and the loss was caused by
15the relocation of 100 or more jobs from this State to a site
16that is located outside of the United States, then that company
17shall, for a period of 7 years, be ineligible to:
18        (1) Enter into a procurement contract with the State or
19    a local government.
20        (2) Receive any government grant, loan, tax incentive,
21    or other economic incentive from the State or a local
22    government.
23        (3) Use any bonds, bond proceeds, or bond benefits from
24    the State or a local government.
25    (b) The Director shall provide written notice of any

 

 

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1company identified in subsection (a) of this Section to each of
2the following: (i) the Governor; (ii) the General Assembly;
3(iii) each State agency; (iv) each institution of higher
4education; and (v) each local government.
5    (c) The 7-year period of ineligibility under subsection (a)
6of this Section commences on the date of the written notice
7provided by the Director pursuant to subsection (b) of this
8Section.
 
9    Section 25. Home rule. A home rule unit may not regulate
10companies that outsource jobs in a manner less restrictive than
11the regulation by the State under this Act. This Act is a
12limitation under subsection (i) of Section 6 of Article VII of
13the Illinois Constitution on the concurrent exercise by home
14rule units of powers and functions exercised by the State.
 
15    Section 90. The Illinois Procurement Code is amended by
16changing Section 30-45 as follows:
 
17    (30 ILCS 500/30-45)
18    Sec. 30-45. Other Acts. This Article is subject to
19applicable provisions of the following Acts:
20        (1) the Prevailing Wage Act;
21        (2) the Public Construction Bond Act;
22        (3) the Public Works Employment Discrimination Act;
23        (4) the Public Works Preference Act (repealed on June

 

 

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1    16, 2010 by Public Act 96-929);
2        (5) the Employment of Illinois Workers on Public Works
3    Act;
4        (6) the Public Contract Fraud Act; and
5        (7) the Illinois Construction Evaluation Act; and
6        (8) the Job Preservation Act of 2011.
7(Source: P.A. 90-572, eff. date - See Sec. 99-5; revised
810-19-10.)
 
9    Section 95. The State Mandates Act is amended by adding
10Section 8.35 as follows:
 
11    (30 ILCS 805/8.35 new)
12    Sec. 8.35. Exempt mandate. Notwithstanding Sections 6 and 8
13of this Act, no reimbursement by the State is required for the
14implementation of any mandate created by this amendatory Act of
15the 97th General Assembly.
 
16    Section 99. Effective date. This Act takes effect upon
17becoming law.