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Illinois Compiled Statutes
Information maintained by the Legislative Reference Bureau Updating the database of the Illinois Compiled Statutes (ILCS) is an ongoing process. Recent laws may not yet be included in the ILCS database, but they are found on this site as Public Acts soon after they become law. For information concerning the relationship between statutes and Public Acts, refer to the Guide. Because the statute database is maintained primarily for legislative drafting purposes, statutory changes are sometimes included in the statute database before they take effect. If the source note at the end of a Section of the statutes includes a Public Act that has not yet taken effect, the version of the law that is currently in effect may have already been removed from the database and you should refer to that Public Act to see the changes made to the current law.
( ) 820 ILCS 115/1
(820 ILCS 115/1) (from Ch. 48, par. 39m-1)
Sec. 1.
This Act applies to all employers and employees in this State,
including employees of units of local government and school districts,
but excepting employees of the State or Federal governments.
(Source: P.A. 84-883.)
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820 ILCS 115/2 (820 ILCS 115/2) (from Ch. 48, par. 39m-2) (Text of Section before amendment by P.A. 103-953 ) Sec. 2. For all employees, other than separated employees, "wages"
shall be defined as any compensation owed an employee by an employer pursuant
to an employment contract or agreement between the 2 parties, whether
the amount is determined on a time, task, piece, or any other basis of
calculation. Payments to separated employees shall be termed "final
compensation" and shall be defined as wages, salaries, earned commissions,
earned bonuses, and the monetary equivalent of earned vacation and earned
holidays, and any other compensation owed the employee by the employer pursuant
to an employment contract or agreement between the 2 parties. Where an
employer is legally committed through a collective bargaining agreement
or otherwise to make contributions to an employee benefit, trust or fund on
the basis of a certain amount per hour, day, week or other period of time,
the amount due from the employer to such employee benefit, trust, or fund
shall be defined as "wage supplements", subject to the wage collection
provisions of this Act. As used in this Act, the term "employer" shall include any individual,
partnership, association, corporation, limited liability company, business trust, employment and
labor placement agencies where wage payments are made
directly or indirectly by the agency or business for work undertaken by
employees under hire to a third party pursuant to a contract between the
business or agency with the third party, or any person or group of
persons acting directly or indirectly in the interest of an employer in
relation to an employee, for which one or more persons is gainfully employed. As used in this Act, the term "employee" shall include any individual
permitted to work by an employer in an occupation, but shall not include any
individual: (1) who has been and will continue to be free from | | control and direction over the performance of his work, both under his contract of service with his employer and in fact; and
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| (2) who performs work which is either outside the
| | usual course of business or is performed outside all of the places of business of the employer unless the employer is in the business of contracting with third parties for the placement of employees; and
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| (3) who is in an independently established trade,
| | occupation, profession or business.
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| The following terms apply to an employer's use of payroll cards to pay wages to an employee under the requirements of this Act:
"Payroll card" means a card provided to an employee by an employer or other payroll card issuer as a means of accessing the employee's payroll card account.
"Payroll card account" means an account that is directly or indirectly established through an employer and to which deposits of a participating employee's wages are made.
"Payroll card issuer" means a bank, financial institution, or other entity that issues a payroll card to an employee under an employer payroll card program.
(Source: P.A. 98-862, eff. 1-1-15 .)
(Text of Section after amendment by P.A. 103-953 )
Sec. 2. Definitions. For all employees, other than separated employees, "wages" shall be defined as any compensation owed an employee by an employer pursuant to an employment contract or agreement between the 2 parties, whether the amount is determined on a time, task, piece, or any other basis of calculation. Payments to separated employees shall be termed "final compensation" and shall be defined as wages, salaries, earned commissions, earned bonuses, and the monetary equivalent of earned vacation and earned holidays, and any other compensation owed the employee by the employer pursuant to an employment contract or agreement between the 2 parties. Where an employer is legally committed through a collective bargaining agreement or otherwise to make contributions to an employee benefit, trust or fund on the basis of a certain amount per hour, day, week or other period of time, the amount due from the employer to such employee benefit, trust, or fund shall be defined as "wage supplements", subject to the wage collection provisions of this Act.
As used in this Act, the term "employer" shall include any individual, partnership, association, corporation, limited liability company, business trust, employment and labor placement agencies where wage payments are made directly or indirectly by the agency or business for work undertaken by employees under hire to a third party pursuant to a contract between the business or agency with the third party, or any person or group of persons acting directly or indirectly in the interest of an employer in relation to an employee, for which one or more persons is gainfully employed.
As used in this Act, the term "employee" shall include any individual permitted to work by an employer in an occupation, but shall not include any individual:
(1) who has been and will continue to be free from
| | control and direction over the performance of his work, both under his contract of service with his employer and in fact; and
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| (2) who performs work which is either outside the
| | usual course of business or is performed outside all of the places of business of the employer unless the employer is in the business of contracting with third parties for the placement of employees; and
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| (3) who is in an independently established trade,
| | occupation, profession or business.
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| "Pay stub" means an itemized statement or statements reflecting an employee's hours worked, rate of pay, overtime pay and overtime hours worked, gross wages earned, deductions made from the employee's wages, and the total of wages and deductions year to date.
The following terms apply to an employer's use of payroll cards to pay wages to an employee under the requirements of this Act:
"Payroll card" means a card provided to an employee by an employer or other payroll card issuer as a means of accessing the employee's payroll card account.
"Payroll card account" means an account that is directly or indirectly established through an employer and to which deposits of a participating employee's wages are made.
"Payroll card issuer" means a bank, financial institution, or other entity that issues a payroll card to an employee under an employer payroll card program.
(Source: P.A. 103-953, eff. 1-1-25.)
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820 ILCS 115/3
(820 ILCS 115/3) (from Ch. 48, par. 39m-3)
Sec. 3.
Every employer shall be required, at least semi-monthly, to pay
every
employee all wages earned during the semi-monthly pay period. Wages of
executive, administrative and professional employees, as defined in the
Federal Fair Labor Standards Act of 1939, may be paid once a month.
Commissions may be paid once a month.
At the request of a person employed by an employment or labor placement
agency which, in the ordinary course of business, makes daily wage payments to
employees,
the agency shall hold the daily wages and make either weekly or semi-monthly
payments.
Upon the written request of the employee, the wage shall be paid in a single
check representing the wages earned during the period, either weekly or
semi-monthly, designated by the employee in accordance with Section 4 of this
Act. Employment and labor placement agencies that make daily wage payments
shall provide written notification to all daily
wage payment employees of the right to request weekly or semi-monthly checks.
The employer may provide this notice by conspicuously posting the notice at the
location where the wages are received by the daily wage employees. Every employer with employees who do not regularly report to a physical workplace, such as employees who work remotely or travel for work, shall also provide the summary and notice by email to its employees or conspicuous posting on the employer's website or intranet site, if such site is regularly used by the employer to communicate work-related information to employees and is able to be regularly accessed by all employees, freely and without interference.
(Source: P.A. 103-201, eff. 1-1-24 .)
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820 ILCS 115/4
(820 ILCS 115/4) (from Ch. 48, par. 39m-4)
Sec. 4.
All wages earned by any employee during a semi-monthly or bi-weekly
pay period shall be paid to such employee not later than 13 days after
the end of the pay period in which such wages were earned. All wages
earned by any employee during a weekly pay period shall be paid not
later than 7 days after the end of the weekly pay period in which the
wages were earned. All wages paid on a daily basis shall be paid insofar
as possible on the same day as the wages were earned, or not later in
any event than 24 hours after the day on which the wages were earned.
Wages of executive, administrative and professional employees, as
defined in the Federal Fair Labor Standards Act of 1938, may be paid on
or before 21 calendar days after the period during which they are
earned.
The terms of this Section shall not apply, if there exists a valid
collective bargaining agreement which provides for a different date or
for different arrangements for the payment of wages.
Employers shall pay to workers on strike or layoff, no later than the
next regular payday, all wages earned up to the time of such strike or
layoff.
Any employee who is absent at the time fixed for payment, or who for
any other reason is not paid at that time, shall be paid upon demand at
any time within a period of 5 days after the time fixed for payment; and
after the expiration of the 5 day period, payment shall be made upon 5
days demand. Payment to the absent employee shall be made by mail if the
employee so requests in writing.
All wages and final compensation shall be paid in lawful money of the
United States, by check, redeemable upon demand and without discount
at a bank or other financial institution readily available to the
employee, by deposit of funds in an account in a bank or other financial
institution designated by the employee, or by a payroll card that meets the requirements of Section 14.5.
No employer may designate a particular financial institution, bank, savings
bank, savings and loan, or currency exchange for the exclusive payment or
deposit of a
check for wages. No financial institution, bank, savings bank, savings and
loan, or currency exchange shall refuse to honor a check for wages that
exclusively designates, in violation of this Section, a particular bank,
savings bank,
savings and loan, or currency exchange as the exclusive place of payment or
deposit except to the extent the bank, savings bank, savings and loan, or
currency exchange is otherwise excused from honoring the check under
Section 3-111 of the Uniform Commercial Code because the bank, savings bank,
savings and loan, or currency exchange is not the drawee or the maker of the
check.
(Source: P.A. 98-862, eff. 1-1-15 .)
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820 ILCS 115/4.1 (820 ILCS 115/4.1) Sec. 4.1. Gratuities. (a) Gratuities to employees are the property of the
employees, and employers shall not keep gratuities. Failure to
pay gratuities owed to an employee more than 13 days after the
end of the pay period in which such gratuities were earned
constitutes a violation of this Act. (b) This Section does not prohibit an employer from
withholding from gratuities paid by credit card a proportionate
amount of any credit card processing fees that the employer
must pay in connection with the transaction, provided that the
amount withheld does not exceed the proportion of the amount of
the tip to the amount of the overall bill, regardless of
whether the overall bill was paid using a credit card. This
Section does not prohibit tip pooling as permitted by law. This
Section does not affect an employer's entitlement to an
allowance for gratuities to the extent permitted under
subsection (c) of Section 4 of the Minimum Wage Law.
(Source: P.A. 101-509, eff. 1-1-20 .) |
820 ILCS 115/5
(820 ILCS 115/5) (from Ch. 48, par. 39m-5)
Sec. 5.
Every employer shall pay the final compensation of separated
employees in full, at the time of separation, if possible, but in no
case later than the next regularly scheduled payday for such employee.
Where such employee requests in writing that his final compensation be
paid by check and mailed to him, the employer shall comply with this
request.
Unless otherwise provided in a collective bargaining agreement, whenever
a contract of employment or employment policy provides for paid vacations,
and an employee resigns or is terminated without having taken all vacation
time earned in accordance with such contract of employment
or employment policy, the monetary equivalent of all earned vacation
shall be paid to him or her as part of his or her final compensation
at his or her final rate of pay and no employment contract or employment
policy shall provide for forfeiture of earned vacation time upon separation.
(Source: P.A. 83-199.)
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820 ILCS 115/6
(820 ILCS 115/6) (from Ch. 48, par. 39m-6)
Sec. 6.
The Director of the Department of Labor, or any other person in the
Department designated by him, shall be authorized to assist any employee
and act on his behalf in the collection of wages or final compensation
due him, provided, however, that the Director, or
his designee, may assist a class of employees and act in their behalf in
a class action; or with respect to all employees of the class with
respect to whom payments are due.
(Source: P.A. 81-593.)
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820 ILCS 115/7
(820 ILCS 115/7) (from Ch. 48, par. 39m-7)
Sec. 7.
The Department of Labor shall be authorized to enter into agreements
with other states to collect unpaid wages from out-of-state employers and
to perform reciprocal services for such states in the State of Illinois.
(Source: P.A. 78-914.)
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820 ILCS 115/8
(820 ILCS 115/8) (from Ch. 48, par. 39m-8)
Sec. 8.
Where an employer is legally committed through a collective bargaining
agreement, or otherwise to make contributions to an employee benefit, trust
or fund on the basis of a certain amount per hour, day, week or other
period of time, the amount due from the employer to such employee benefit,
trust or fund shall be treated as wages, subject to the wage payment
provisions of this Act.
(Source: P.A. 78-914.)
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820 ILCS 115/9
(820 ILCS 115/9) (from Ch. 48, par. 39m-9)
Sec. 9.
Except as hereinafter provided, deductions by employers from wages
or final
compensation are prohibited unless such deductions are (1) required by law; (2)
to the benefit of the employee; (3) in response to a valid
wage
assignment or wage deduction order; (4) made with the express written
consent of the employee, given freely at the time the deduction is made;
(5) made by a municipality with a population of 500,000 or more, a county
with a population of 3,000,000 or more, a
community college district in a city with a population of 500,000 or more,
a housing authority in a municipality with
a population of 500,000 or more,
the Chicago Park District, the Metropolitan Transit Authority, the
Chicago Board of Education,
the Cook County Forest Preserve District, or
the Metropolitan Water Reclamation District
to pay a debt owed by the employee to a
municipality
with a population of 500,000 or more, a county with a population of 3,000,000
or more, the Cook County Forest Preserve, the Chicago Park District, the
Metropolitan Water Reclamation District, the Chicago Transit Authority, the
Chicago Board of Education, or a housing authority of a municipality with a
population of 500,000 or more;
provided, however, that the amount deducted from any one salary or wage
payment shall not exceed 25% of the net amount of the payment; or (6) made by
a housing authority in a municipality with
a
population of 500,000 or more
or a municipality with a population of 500,000 or more
to pay a debt owed by the employee to a
housing
authority in a municipality with a population of 500,000 or more; provided,
however, that the amount deducted from any one salary or
wage payment shall not exceed 25% of the net amount of the payment.
Before the municipality with a population of 500,000 or more,
the community college district in a city with a population of 500,000 or
more, the Chicago Park District, the Metropolitan Transit Authority,
a housing authority in a municipality with
a population of 500,000 or more, the Chicago Board of Education,
the county with a population of 3,000,000 or more, the Cook County Forest
Preserve District,
or the Metropolitan Water Reclamation District
deducts any amount from any salary or wage of an
employee
to pay a debt owed to a municipality with a population of 500,000 or more, a
county with a population of 3,000,000 or more, the Cook County Forest Preserve
District,
the Chicago Park District, the Metropolitan Water Reclamation District, the
Chicago Transit Authority, the Chicago Board of Education, or a housing
authority of a municipality with a population of 500,000 or more under this
Section, the municipality, the county, the Cook County Forest Preserve
District, the
Chicago Park District, the Metropolitan Water Reclamation District, the Chicago
Transit Authority, the Chicago Board of Education, or a housing authority of a
municipality with a population of 500,000 or more shall certify that (i)
the
employee has been
afforded an opportunity for a hearing to dispute the debt that is due and owing
the municipality, the county, the Cook County Forest Preserve District, the
Chicago
Park District, the Metropolitan Water Reclamation District, the Chicago Transit
Authority, the Chicago Board of Education, or a housing authority of a
municipality with a population of 500,000 or more and (ii) the employee has
received notice of a wage deduction order and has
been afforded an opportunity for a hearing to object to the order.
Before a housing authority in a
municipality
with a population of 500,000 or more or a municipality with a population of
500,000 or more, a county with a population of 3,000,000 or more, the Cook
County Forest Preserve District, the Chicago Park District, the Metropolitan
Water Reclamation District, the Chicago Transit Authority, the Chicago Board of
Education, or a housing authority of a municipality with a population of
500,000 or more
deducts any amount from any salary or
wage of an employee to pay a debt owed to a
housing authority in a municipality
with a population of 500,000 or more under this Section, the
housing authority shall certify
that (i) the employee has been afforded an opportunity for a hearing to
dispute the debt that is due and owing the housing
authority and (ii) the employee has received notice of a wage
deduction order and has
been afforded an opportunity for a hearing to object to the order.
For purposes of this Section, "net amount" means that part of the salary or
wage payment remaining after the deduction of any amounts required by law to be
deducted and "debt due and owing" means (i) a specified sum of money owed to
the municipality, county, the Cook County Forest Preserve District, the
Chicago Park
District, the Metropolitan Water Reclamation District, the Chicago Transit
Authority, the Chicago Board of Education, or housing authority
for
services, work, or
goods, after the period granted for payment has expired, or (ii) a specified
sum of money owed to the municipality, county, the Cook County Forest
Preserve District, the Chicago Park District, the Metropolitan Water
Reclamation
District, the Chicago Transit Authority, the Chicago Board of Education
or housing authority pursuant
to a
court order or order of an administrative hearing officer after the exhaustion
of, or the failure to exhaust, judicial review; (7) the result of an excess payment made due to, but not limited to, a typographical or mathematical error made by a municipality with a population of less than 500,000 or to collect a debt owed to a municipality with a population of less than 500,000 after notice to the employee and an opportunity to be heard; provided, however, that the amount deducted from any one salary or wage payment shall not exceed 15% of the net amount of the payment. Before the municipality deducts any amount from any salary or wage of an employee to pay a debt owed to the municipality, the municipality shall certify that (i) the employee has been afforded an opportunity for a hearing, conducted by the municipality, to dispute the debt that is due and owing the municipality, and (ii) the employee has received notice of a wage deduction order and has been afforded an opportunity for a hearing, conducted by the municipality, to object to the order. For purposes of this Section, "net amount" means that part of the salary or wage payment remaining after the deduction of any amounts required by law to be deducted and "debt due and owing" means (i) a specified sum of money owed to the municipality for services, work, or goods, after the period granted for payment has expired, or (ii) a specified sum of money owed to the municipality pursuant to a court order or order of an administrative hearing officer after the exhaustion of, or the failure to exhaust, judicial review. Where the legitimacy of any
deduction from wages is in
dispute, the amount in question may be withheld if the employer notifies
the Department of Labor on the date the payment is due in writing of the
amount that is being withheld and stating the reasons for which the
payment is withheld. Upon such notification the Department of Labor
shall conduct an investigation and render a judgment as promptly as
possible, and shall complete such investigation within 30 days of
receipt of the notification by the employer that wages have been
withheld. The employer shall pay the wages due upon order of the
Department of Labor within 15 calendar days of issuance of a judgment on the
dispute.
The Department shall establish rules to protect the interests of both
parties in cases of disputed deductions from wages. Such rules shall
include reasonable limitations on the amount of deductions beyond those
required by law which may be made during any pay period by any employer.
In case of a dispute over wages, the employer shall pay, without condition
and within the time set by this Act, all wages or parts thereof, conceded
by him to be due, leaving to the employee all remedies to which he may
otherwise be entitled as to any balance claimed. The acceptance by an employee
of a disputed paycheck shall not constitute a release as to the balance of his
claim and any release or restrictive endorsement required by an employer as a
condition to payment shall be a violation of this Act and shall be void.
(Source: P.A. 97-120, eff. 1-1-12.)
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820 ILCS 115/9.5 (820 ILCS 115/9.5) Sec. 9.5. Reimbursement of employee expenses. (a) An employer shall reimburse an employee for all necessary expenditures or losses incurred by the employee within the employee's scope of employment and directly related to services performed for the employer. As used in this Section, "necessary expenditures" means all reasonable expenditures or losses required of the employee in the discharge of employment duties and that inure to the primary benefit of the employer. An employer is not responsible for losses due to an employee's own negligence, losses due to normal wear, or losses due to theft unless the theft was a result of the employer's negligence. An employee shall submit any necessary expenditure with appropriate supporting documentation within 30 calendar days after incurring the expense, except that an employer may provide additional time for submitting requests for reimbursement in a written expense reimbursement policy. Where supporting documentation is nonexistent, missing, or lost, the employee shall submit a signed statement regarding any such receipts. (b) An employee is not entitled to reimbursement under this Section if (i) the employer has an established written expense reimbursement policy and (ii) the employee failed to comply with the written expense reimbursement policy. An employer is not liable under this Section unless the employer authorized or required the employee to incur the necessary expenditure or the employer failed to comply with its own written expense reimbursement policy. If the written expense reimbursement policy of an employer establishes specifications or guidelines for necessary expenditures, the employer is not liable under this Section for the portion of the expenditure amount that exceeds the specifications or guidelines of the policy so long as the employer does not institute a policy that provides for no reimbursement or de minimis reimbursement. (c) To ensure consistency with federal law, any rules adopted by the Department and interpretation of this Section shall be consistent and not in conflict with federal regulations and guidelines regarding employer requirements for reimbursement of employee expenses.
(Source: P.A. 100-1094, eff. 1-1-19 .) |
820 ILCS 115/10 (820 ILCS 115/10) (from Ch. 48, par. 39m-10) (Text of Section before amendment by P.A. 103-953 ) Sec. 10. Employers shall notify employees, at the time of hiring, of the rate of pay and of the time and place of payment. Whenever possible, such notification shall be in writing and shall be acknowledged by both parties. Employers shall also notify employees of any changes in the arrangements, specified above, prior to the time of change. Employers shall keep records of names and addresses of all employees and of wages paid each payday, and shall furnish each employee with an itemized statement of deductions made from his wages for each pay period. Every employer shall post and keep posted at each regular place of business in a position easily accessible to all employees one or more notices indicating the regular paydays and the place and time for payment of his employees, and on forms supplied from time to time by the Department of Labor containing a copy or summary of the provisions of this Act. (Source: P.A. 81-593.) (Text of Section after amendment by P.A. 103-953 ) Sec. 10. (a) Employers shall notify employees, at the time of hiring, of the rate of pay and of the time and place of payment. Whenever possible, such notification shall be in writing and shall be acknowledged by both parties. Employers shall also notify employees of any changes in the arrangements, specified above, prior to the time of change. (b) Employers shall keep records of names and addresses of all employees and of wages paid each payday, and shall furnish each employee with a pay stub for each pay period. (c) An employer shall maintain a copy of an employee's pay stub for a period of not less than 3 years after the date of payment, regardless of whether the employee's employment ends during this period, whether the pay stub is furnished electronically or in paper form. (d) In addition to furnishing a pay stub for each pay period as required under subsection (b), an employer shall furnish copies of pay stubs to current and former employees as follows: (1) An employer shall provide an employee with a copy | | of the employee's pay stubs upon the employee's request. The employer may require that the employee submit the request in writing. The employer shall furnish the copy of the pay stubs to the employee within 21 calendar days of the employee's request. An employer is not required to grant an employee's request for a copy of pay stubs more than twice in a 12-month period.
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| (2) An employer shall provide a former employee with
| | a copy of the former employee's previous pay stubs upon the former employee's request. The employer shall furnish the copy of the pay stubs to the former employee within 21 calendar days of the former employee's request. An employer is not required to grant a former employee's request for a copy of pay stubs more than twice in a 12-month period or more than one year after the date of separation. The employer shall provide the copy of the pay stubs in either a physical or electronic format, as chosen by the former employee, including a communication that is transmitted through electronic mail, text message, computer system, or is otherwise sent and stored electronically and is capable of being downloaded or permanently retained by the former employee.
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| (3) An employer who furnishes electronic pay stubs in
| | a manner that a former employee cannot access for at least a full year after separation shall, upon an employee's separation from employment, offer to provide the outgoing employee with a record of all of the outgoing employee's pay stubs from the year preceding the date of separation. The offer shall be made to the outgoing employee by the end of the outgoing employee's final pay period. An employer shall record in writing the date on which this offer was made to the outgoing employee and if and how the outgoing employee responded.
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| (4) A request made by an employee or former employee
| | under this Section shall be made to a person responsible for maintaining the employer's payroll, including the employer's human resources department or payroll department, the employee's supervisor or department manager, or an individual designated in the employer's written policy.
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| (e) Every employer shall post and keep posted at each regular place of business in a position easily accessible to all employees one or more notices indicating the regular paydays and the place and time for payment of his employees, and on forms supplied from time to time by the Department of Labor containing a copy or summary of the provisions of this Act.
(Source: P.A. 103-953, eff. 1-1-25.)
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820 ILCS 115/11
(820 ILCS 115/11) (from Ch. 48, par. 39m-11)
Sec. 11. It shall be the duty of the Department of Labor to inquire diligently
for any violations of this Act, and to institute the actions for violations and penalties
herein provided, at the request of the employee or on motion of the Director of Labor, and to enforce generally the provisions of this Act.
An employee may file a complaint with the Department alleging violations of the Act by submitting a signed, completed wage claim application on the form provided by the Department and by submitting copies of all supporting documentation. Complaints shall be filed within one year after the wages, final compensation, or wage supplements were due. Wage claim applications shall be reviewed by the Department to determine whether there is cause and sufficient resources for investigation.
The Department shall have the following powers:
(a) To investigate and attempt equitably to adjust | | controversies between employees and employers in respect of wage claims arising under this Act and to that end the Department through the Director of Labor or any other person in the Department of Labor designated by him or her, shall have the power to administer oaths, subpoena and examine witnesses, to issue subpoenas duces tecum requiring the production of such books, papers, records and documents as may be evidence of any matter under inquiry and to examine and inspect the same as may relate to the question in dispute. Service of such subpoenas shall be made by any sheriff or any person. Any court in this State, upon the application of the Department may compel attendance of witnesses, the production of books and papers, and the giving of testimony before the Department by attachment for contempt or in any other way as the production of evidence may be compelled before such court.
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(b) To take assignments of wage claims in the name of
| | the Director of Labor and his or her successors in office and prosecute actions for the collection of wages for persons financially unable to prosecute such claims when in the judgment of the Department such claims are valid and enforceable in the courts. No court costs or any fees for necessary process and proceedings shall be payable in advance by the Department for prosecuting such actions. In the event there is a judgment rendered against the defendant, the court shall assess as part of such judgment the costs of such proceeding. Upon collection of such judgments the Department shall pay from the proceeds of such judgment such costs to such person who is by law entitled to same. The Department may join in a single proceeding any number of wage claims against the same employer but the court shall have discretionary power to order a severance or separate trial for hearings.
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(c) To make complaint in any court of competent
| | jurisdiction of violations of this Act.
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(d) In addition to the aforementioned powers, subject
| | to appropriation, the Department may establish an administrative procedure to adjudicate claims and to issue final and binding administrative decisions on such claims subject to the Administrative Review Law. To establish such a procedure, the Director of Labor or her or his authorized representative may promulgate rules and regulations. The adoption, amendment or rescission of rules and regulations for such a procedure shall be in conformity with the requirements of the Illinois Administrative Procedure Act. If a final and binding administrative decision issued by the Department requires an employer or other party to pay wages, penalties, or other amounts in connection with a wage claim, and the employer or other party has neither: (i) made the required payment within 35 days of the issuance of the final and binding administrative decision; nor (ii) timely filed a complaint seeking review of the final and binding administrative decision pursuant to the Administrative Review Law in a court of competent jurisdiction, the Department may file a verified petition against the employer or other party to enforce the final administrative decision and to collect any amounts due in connection therewith in the circuit court of any county where an official office of the Department is located.
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| Nothing herein shall be construed to prevent any employee from making
complaint or prosecuting his or her own claim for wages. Any employee aggrieved by a violation of this Act or any rule adopted under this Act may file suit in circuit court of Illinois, in the county where the alleged violation occurred or where any employee who is party to the action resides, without regard to exhaustion of any alternative administrative remedies provided in this Act. Actions may be brought by one or more employees for and on behalf of themselves and other employees similarly situated.
Nothing herein shall be construed to limit the authority of the State's
Attorney of any county to prosecute actions for violation of this Act or
to enforce the provisions thereof independently and without specific direction
of the Department of Labor.
(Source: P.A. 103-201, eff. 1-1-24 .)
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820 ILCS 115/11.5 (820 ILCS 115/11.5) Sec. 11.5. Departmental wage recovery; remittance to aggrieved employee. (a) Upon the recovery of unpaid wages, wage supplements, or final compensation from an employer that has violated this Act, the Department shall deposit the amount recovered into the Department of Labor Special State Trust Fund, from which the Department shall disburse the sums owed to the employee or employees. The Department shall conduct a good faith search to find all employees for whom it has recovered unpaid wages, wage supplements, or final compensation. All disbursements authorized under this Section shall be made by certified check, money order, or an electronic payment system designated by the Department. (a-5) The Department shall hold any moneys due to employees that it is unable to locate in the Department of Labor Special State Trust Fund for no less than 3 years after the moneys were collected. Beginning November 1, 2023, or as soon as is practical, and each November 1 thereafter, the Department shall report any moneys due to employees who cannot be located and that have been held by the Department in the Department of Labor Special State Trust Fund for 3 or more years and moneys due to employees who are deceased to the State Treasurer as required by the Revised Uniform Unclaimed Property Act. The Department shall not be required to provide the notice required under Section 15-501 of the Revised Uniform Unclaimed Property Act. Beginning July 1, 2023, or as soon as is practical, and each July 1 thereafter, the Department shall direct the State Comptroller and State Treasurer to transfer from the Department of Labor Special State Trust Fund the balance of the moneys due to employees who cannot be located and that have been held by the Department in the Department of Labor Special State Trust Fund for 3 or more years and moneys due to employees who are deceased as follows: (i) 15% to the Wage Theft Enforcement Fund and (ii) 85% to the Unclaimed Property Trust Fund. The Department may use moneys in the Wage Theft Enforcement Fund for the purposes described in Section 14 of the Illinois Wage Payment and Collection Act. (b) An aggrieved employee may make a request to the Department in order to recover unpaid wages, wage supplements, or final compensation that has been deposited into the Department of Labor Special State Trust Fund. The Department shall not require the employee to present a Social Security number or proof of United States citizenship. For the purpose of paying claims under this Section from the Department of Labor Special State Trust Fund to aggrieved employees, the Comptroller shall assign a vendor payment number to the Department. When an aggrieved employee makes a valid request for payment to the Department, the Department shall use the vendor payment number to process payment on behalf of the aggrieved employee. (c) The Department shall adopt rules for the administration of this Section.
(Source: P.A. 103-182, eff. 6-30-23.) |
820 ILCS 115/12
(820 ILCS 115/12) (from Ch. 48, par. 39m-12)
Sec. 12.
The Director of Labor or his authorized representatives shall
administer and enforce the provisions of this Act. In order to accomplish the
objectives of this Act and to carry out the duties prescribed by this Act,
the Director of Labor or his authorized representative shall, within one
year from the effective date of this amendatory Act of 1991, promulgate
rules and regulations necessary to administer and enforce the provisions of
this Act including the procedures that shall be followed for hearings under
Section 6 of this Act. The adoption, amendment or rescission of rules and
regulations shall be in conformity with the requirements of the Illinois
Administrative Procedure Act.
(Source: P.A. 87-349.)
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820 ILCS 115/13
(820 ILCS 115/13) (from Ch. 48, par. 39m-13)
Sec. 13.
In addition to an individual who is deemed to be an employer pursuant to Section 2 of this Act, any officers of a corporation or agents of an employer who knowingly
permit such employer to violate the provisions of this Act shall be deemed
to be the employers of the employees of the corporation.
(Source: P.A. 96-1407, eff. 1-1-11.)
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820 ILCS 115/13.5 (820 ILCS 115/13.5) Sec. 13.5. Primary contractor responsibility for wage
claims in construction industry. (a) For all contracts entered into on or after July 1,
2022, a primary contractor making or taking a contract in the
State for the erection, construction, alteration, or repair of
a building, structure, or other private work in the State where the aggregate costs of the project exceed $20,000
shall assume, and is liable for, any debt owed to a
claimant under this Section by a subcontractor at
any tier acting under, by, or for the primary contractor for
the wage claimant's performance of labor included in the
subject of the contract between the primary contractor and the
owner. This Section does not apply to work performed by a
contractor of the federal government, the State, a special district, a city, a county,
or any political subdivision of the State. (b) As used in this Section: "Construction" means building, altering, repairing, improving, or demolishing any structure or building or making improvements of any kind to real property. "Primary contractor" means a contractor that has a direct
contractual relationship with a property owner. "Primary
contractor" may have the same meaning as a "general
contractor", "prime contractor", or "construction manager". A property owner
who acts as a primary contractor related to the erection,
construction, alteration, or repair of his or her primary
residence
shall be exempt from liability under this
Section. "Private work" means any erection, construction,
alteration, or repair of a building, structure, or other work. "Subcontractor" means a contractor that has a contractual
relationship with the primary contractor or with another
subcontractor at any tier, who furnishes any goods or services
in connection with the contract between the primary contractor
and the property owner, but does not include contractors who
solely provide goods and transport of such goods related to
the contract. (c) The primary contractor's liability under this Section
shall extend only to any unpaid wages or fringe or other benefit payments or contributions, including interest owed, penalties assessed by the Department,
and reasonable attorney's fees, but shall not extend to
liquidated damages. (d) A primary contractor or any other person shall not
evade or commit any act that negates the requirements of this
Section. Except as otherwise provided in a contract between
the primary contractor and the subcontractor, the
subcontractor shall indemnify the primary contractor for any
wages, fringe or other benefit payments or contributions, damages, interest, penalties, or attorney's fees owed
as a result of the subcontractor's failure to pay wages or fringe or other benefit payments or contributions
as provided in this Section, unless
the subcontractor's failure to pay was due to the
primary contractor's failure to pay moneys due to the
subcontractor in accordance with the terms of their
contractual relationship. (e) Nothing in this Section shall supersede or modify the obligations and liability that any primary contractor, subcontractor, or property owner may bear as an employer under this Act or any other applicable law. The obligations and remedies provided in this Section shall be in addition to any obligations and remedies otherwise provided by law. Nothing in this Section shall be construed to impose liability on a primary contractor for anything other than unpaid wages, fringe or other benefit payments or contributions, penalties assessed by the Department, interest owed, and reasonable attorney's fees. (f) Claims brought pursuant to this Section shall be done
so in accordance with this Act. Nothing in this Section shall be construed to provide a third party with the right to file a complaint with the Department alleging violation of this Section. (g) The following shall be exempt from liability under this Section: (1) primary contractors who are parties to a | | collective bargaining agreement on the project where the work is being performed; and
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| (2) primary contractors making or taking a contract
| | in the State for the alteration or repair of an existing single-family dwelling or to a single residential unit in an existing multi-unit structure.
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| (h) Prior to the commencement of any civil action, a claimant or a representative of a claimant shall provide written notice to the employer and to the primary contractor detailing the nature and basis for the claim. Failure of the employer or the primary contractor to resolve the claim within 10 days after receipt of this notice, or during any agreed upon period extending this deadline, may result in the filing of a civil action to enforce the provisions of this Act.
(i) Claims brought pursuant to this Section shall be filed with the Department of Labor or filed with the circuit court within 3 years after the wages, final compensation, or wage supplements were due. This subsection does not apply to any other claims under this Act or any other applicable law against a primary contractor, subcontractor, or homeowner as an employer.
(j) Every primary contractor and subcontractor shall post and keep posted, in one or more conspicuous places accessible to all laborers, workers, and mechanics at a job site that is subject to the requirements of this Section, a notice, to be made available by the Director of Labor, summarizing the requirements of this Section and information pertaining to the filing of a complaint. The Director of Labor shall provide copies of summaries and rules to primary contractors and subcontractors upon request without charge. One copy of the notice at a job site shall satisfy the notice requirement for the primary contractor and all subcontractors. Any primary contractor or subcontractor who fails to provide notice as required by this Section shall be subject to a civil penalty, not to exceed $250, payable to the Department of Labor.
(Source: P.A. 102-1065, eff. 6-10-22; 102-1076, eff. 6-10-22; 103-350, eff. 7-28-23.)
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820 ILCS 115/14 (820 ILCS 115/14) (from Ch. 48, par. 39m-14) (Text of Section before amendment by P.A. 103-953 ) Sec. 14. (a) Any employee not timely paid wages, final compensation, or wage supplements by his or her employer as required by this Act shall be entitled to recover through a claim filed with the Department of Labor or in a civil action, but not both, the amount of any such underpayments and damages of 5% of the amount of any such underpayments for each month following the date of payment during which such underpayments remain unpaid. In a civil action, such employee shall also recover costs and all reasonable attorney's fees. (a-5) In addition to the remedies provided in subsections (a), (b), and (c) of this Section, any employer or any agent of an employer, who, being able to pay wages,
final compensation, or wage supplements and being under a duty to pay,
wilfully refuses to pay as provided in this Act, or falsely denies the
amount or validity thereof or that the same is due, with intent to secure
for himself or other person any underpayment of such indebtedness or with
intent to annoy, harass, oppress, hinder, delay or defraud the person to
whom such indebtedness is due, upon conviction, is guilty of: (1) for unpaid wages, final compensation or wage | | supplements in the amount of $5,000 or less, a Class B misdemeanor; or
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| (2) for unpaid wages, final compensation or wage
| | supplements in the amount of more than $5,000, a Class A misdemeanor.
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| Each day during which any violation of this Act continues
shall constitute a separate and distinct offense.
Any employer or any agent of an employer who violates this Section of the Act a subsequent time within 2 years of a prior criminal conviction under this Section is guilty, upon conviction, of a Class 4 felony.
(b) Any employer who has been demanded or ordered by the Department or ordered by the court
to pay wages, final compensation, or wage supplements due an employee shall be required to pay a non-waivable administrative fee to the Department of Labor in the amount of $250 if the amount ordered by the Department as wages owed is $3,000 or less; $500 if the amount ordered by the Department as wages owed is more than $3,000, but less than $10,000; and $1,000 if the amount ordered by the Department as wages owed is $10,000 or more. Any employer who has been so demanded or ordered by the Department or ordered by a court to pay such wages, final compensation, or wage supplements and who fails to seek timely review of such a demand or order as provided for under this Act and who fails to comply within 15 calendar days after such demand or within 35 days of an administrative or court order is entered shall also be liable to pay a penalty to the Department of Labor of 20% of the amount found owing and a penalty to the employee of 1% per calendar day of the amount found owing for each day of delay in paying such wages to the employee. All moneys recovered as fees and civil penalties under this Act, except those owing to the affected employee, shall be deposited into the Wage Theft Enforcement Fund, a special fund which is hereby created in the State treasury. Moneys in the Fund may be used for enforcement of this Act and for outreach and educational activities of the Department related to the recovery of unpaid or underpaid compensation and the disbursement of moneys to affected parties.
(b-5) Penalties and fees under this Section may be assessed by the Department and recovered in a civil action brought by the Department in any circuit court or in any administrative adjudicative proceeding under this Act. In any such civil action or administrative adjudicative proceeding under this Act, the Department shall be represented by the Attorney General.
(c) Any employer, or any agent of an employer, who discharges
or in any other manner discriminates against any employee because
that employee
has made a complaint to his or her employer, to the Director of Labor or his or her
authorized representative, in a public hearing, or to a community organization that he or she has not been paid in accordance
with the provisions of this Act, or because that employee has caused to
be instituted any proceeding under or related to this Act, or because that
employee has testified or is about to testify in an investigation or proceeding
under this Act, is guilty, upon conviction, of a Class C misdemeanor. An employee who has been unlawfully retaliated against shall be entitled to recover through a claim filed with the Department of Labor or in a civil action, but not both, all legal and equitable relief as may be appropriate. In a civil action, such employee shall also recover costs and all reasonable attorney's fees.
(Source: P.A. 102-50, eff. 7-9-21; 103-182, eff. 6-30-23.)
(Text of Section after amendment by P.A. 103-953 )
Sec. 14. Penalties.
(a) Any employee not timely paid wages, final compensation, or wage supplements by his or her employer as required by this Act shall be entitled to recover through a claim filed with the Department of Labor or in a civil action, but not both, the amount of any such underpayments and damages of 5% of the amount of any such underpayments for each month following the date of payment during which such underpayments remain unpaid. In a civil action, such employee shall also recover costs and all reasonable attorney's fees.
(a-5) In addition to the remedies provided in subsections (a), (b), and (c) of this Section, any employer or any agent of an employer, who, being able to pay wages, final compensation, or wage supplements and being under a duty to pay, willfully refuses to pay as provided in this Act, or falsely denies the amount or validity thereof or that the same is due, with intent to secure for himself or other person any underpayment of such indebtedness or with intent to annoy, harass, oppress, hinder, delay or defraud the person to whom such indebtedness is due, upon conviction, is guilty of:
(1) for unpaid wages, final compensation or wage
| | supplements in the amount of $5,000 or less, a Class B misdemeanor; or
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| (2) for unpaid wages, final compensation or wage
| | supplements in the amount of more than $5,000, a Class A misdemeanor.
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| Each day during which any violation of this Act continues shall constitute a separate and distinct offense.
Any employer or any agent of an employer who violates this Section of the Act a subsequent time within 2 years of a prior criminal conviction under this Section is guilty, upon conviction, of a Class 4 felony.
(b) Any employer who has been demanded or ordered by the Department or ordered by the court to pay wages, final compensation, or wage supplements due an employee shall be required to pay a non-waivable administrative fee to the Department of Labor in the amount of $250 if the amount ordered by the Department as wages owed is $3,000 or less; $500 if the amount ordered by the Department as wages owed is more than $3,000, but less than $10,000; and $1,000 if the amount ordered by the Department as wages owed is $10,000 or more. Any employer who has been so demanded or ordered by the Department or ordered by a court to pay such wages, final compensation, or wage supplements and who fails to seek timely review of such a demand or order as provided for under this Act and who fails to comply within 15 calendar days after such demand or within 35 days of an administrative or court order is entered shall also be liable to pay a penalty to the Department of Labor of 20% of the amount found owing and a penalty to the employee of 1% per calendar day of the amount found owing for each day of delay in paying such wages to the employee. All moneys recovered as fees and civil penalties under this Act, except those owing to the affected employee, shall be deposited into the Wage Theft Enforcement Fund, a special fund which is hereby created in the State treasury. Moneys in the Fund may be used for enforcement of this Act and for outreach and educational activities of the Department related to the recovery of unpaid or underpaid compensation and the disbursement of moneys to affected parties.
(b-5) Penalties and fees under this Section may be assessed by the Department and recovered in a civil action brought by the Department in any circuit court or in any administrative adjudicative proceeding under this Act. In any such civil action or administrative adjudicative proceeding under this Act, the Department shall be represented by the Attorney General.
(c) Any employer, or any agent of an employer, who discharges or in any other manner discriminates against any employee because that employee has made a complaint to his or her employer, to the Director of Labor or his or her authorized representative, in a public hearing, or to a community organization that he or she has not been paid in accordance with the provisions of this Act, or because that employee has caused to be instituted any proceeding under or related to this Act, or because that employee has testified or is about to testify in an investigation or proceeding under this Act, is guilty, upon conviction, of a Class C misdemeanor. An employee who has been unlawfully retaliated against shall be entitled to recover through a claim filed with the Department of Labor or in a civil action, but not both, all legal and equitable relief as may be appropriate. In a civil action, such employee shall also recover costs and all reasonable attorney's fees.
(d) Except as provided under subsections (a), (b), and (c), an employer who fails to furnish an employee or former employee with a pay stub as required by this Act or commits any other violation of this Act shall be subject to a civil penalty of up to $500 per violation payable to the Department. In determining the amount of the penalty under this subsection, the Department shall consider the appropriateness of the penalty to the size of the business of the employer charged and the gravity of the violation.
(Source: P.A. 102-50, eff. 7-9-21; 103-182, eff. 6-30-23; 103-953, eff. 1-1-25.)
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820 ILCS 115/14.5 (820 ILCS 115/14.5) Sec. 14.5. Payroll cards. An employer using a payroll card to pay an employee's wages shall meet the following requirements: (1) The employer shall not make receipt of wages by | | payroll card a condition of employment or a condition for the receipt of any benefit or other form of remuneration for any employee.
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| (2) The employer shall not initiate payment of wages
| | to the employee by electronic fund transfer to a payroll card account unless:
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| (A) the employer provides the employee with a
| | clear and conspicuous written disclosure notifying the employee that payment by payroll card is voluntary, listing the other method or methods of payment offered by the employer in accordance with Section 4, and explaining the terms and conditions of the payroll card account option, including:
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| (i) an itemized list of all fees that may be
| | deducted from the employee's payroll card account by the employer or payroll card issuer;
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| (ii) a notice that third parties may assess
| | transaction fees in addition to the fees assessed by the employee's payroll card issuer; and
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| (iii) an explanation of how the employee may
| | obtain, at no cost, the employee's net wages, check the account balance, and request to receive paper or electronic transaction histories, as provided in item (3);
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| (B) the employer also offers the employee another
| | method or methods of payment in compliance with Section 4; and
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| (C) the employer obtains the employee's voluntary
| | written or electronic consent to receive the wages by payroll card.
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| (3) A payroll card program offered by the employer
| | shall provide the employee with:
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| (A) at least one method of withdrawing the
| | employee's full net wages from the payroll card once per pay period, but not less than twice per month, at no cost to the employee, at a location readily available to the employee;
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| (B) at the employee's request, one transaction
| | history, which the employee may request to receive in paper or electronic form, each month that includes all deposits, withdrawals, deductions, or charges by any entity from or to the employee's payroll card account at no cost to the employee; and
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| (C) unlimited telephone access to obtain the
| | payroll card account balance on the payroll card at any time without incurring a fee.
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| (4) An employer may not use a payroll card program
| | that charges fees for point of sale transactions, the application, initiation, loading of wages by the employer, or participation in the payroll card program. Fees for account inactivity may be assessed following one year of inactivity. The payroll card program must offer the employee a declined transaction, at no cost to the employee, twice per month. Commercially reasonable fees, limited to cover the costs to process declined transactions, may be assessed on subsequent declined transactions within that particular month.
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| (5) The payroll card or payroll card account may not
| | be linked to any form of credit including, but not limited to, overdraft fees or overdraft service fees, a loan against future pay, or a cash advance on future pay or work not yet performed.
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| (6) An employee paid wages by payroll card may
| | request to be paid wages by another method of payment provided by the employer in accordance with Section 4. Following the request, the employer shall, within 2 pay periods, begin payment to the employee by the allowable method requested by the employee.
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| (7) A payroll card program offered by an employer
| | shall provide the employee with protections from unauthorized use of the payroll card in accordance with State and federal law concerning electronic fund transfers.
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| (8) The employer's obligations under this Section
| | shall cease 60 days after the employer-employee relationship has ended and the employee has been paid the employee's full and final wages.
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| (9) Within 30 days of the termination of the
| | employer-employee relationship, the employer shall notify the employee that the terms and conditions of the account may change if the employee chooses to continue a relationship with the payroll card issuer.
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(Source: P.A. 98-862, eff. 1-1-15 .)
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820 ILCS 115/15
(820 ILCS 115/15) (from Ch. 48, par. 39m-15)
Sec. 15.
This Act shall be known and may be cited as the Illinois Wage Payment and Collection Act.
(Source: P.A. 78-914.)
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