EMPLOYMENT LAW COUNCIL
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JAY SHATTUCK

Executive Director
Employment Law Council

 
 
217/544-6590

March 20 Primary Elections
 
Next week, Illinois primary voters will be deciding their party nominees for the fall General Election. Important statewide races for Governor and Attorney General in both parties are pending with what looks like a more competitive Democrat primary for those offices. Early voting is now available. Contact your county clerk for details as to times and locations that you are able to vote before the March 20th primary.
 
Key legislative elections also are occurring in dozens of seats around the state. Most of these districts are being filled by newcomers and the primary is the election. The Illinois Chamber of Commerce is engaged in many of these races. For more information about the candidates being supported by the Chamber contact us. We will have a full primary election results report for ELC members on March 21st.


General Assembly Adjourns Until Week of April 9th
 
The Illinois General Assembly is taking a three-week break, not returning to Springfield until the week of April 9th. Both the House and Senate deadline for committee action is April 13th. Below are key legislative proposals that are active (not in House Rules or Senate Assignments as of March 14th). Please note that there are thirty-one bills listed below and that only four will help grow and retain jobs in Illinois.
 
Power Grab: Legislation to Create Worker Protection Unit in AG Office Sent to Governor
SB 193 (Sen. Raoul/Rep. Hoffman) Creates the Worker Protection Unit within the Office of the Illinois Attorney General to intervene in, initiate, enforce, and defend all criminal or civil legal proceedings on matters and violations relating to the Prevailing Wage Act, the Employee Classification Act, the Minimum Wage Law, the Day and Temporary Labor Services Act, and the Wage Payment and Collection Act. Creates the Worker Protection Task Force to submit a report to the Governor and the General Assembly regarding its progress no later than December 1, 2018. Repeals the Task Force December 1, 2019. The measure has been sent to the Governor, who may take as much as 60 days to act on the measure.

House Approves Wage, Salary & Benefit Prohibition  HB 4163 (Rep. Moeller/Sen. Castro) Amends the Equal Pay Act of 2003 prohibiting an employer from: (i) screening job applicants based on their wage or salary history, (ii) requiring that an applicant's prior wages satisfy minimum or maximum criteria, and (iii) requesting or requiring as a condition of being interviewed or as a condition of continuing to be considered for an offer of employment that an applicant disclose prior wages or salary. Prohibits an employer from seeking the salary, including benefits or other compensation or salary history, of a job applicant from any current or former employer, with some exceptions. Greatly expands civil penalties and injunctive relief. The measure was amended prior to passage eliminating the diminishment of employer defenses. The measure was approved by a vote of 87-24 . The Illinois Chamber continues to oppose HB 4163 and is working with Sen. Bertino-Tarrant (D-Plainfield), sponsor of SB 3100 and Sen. Connelly, sponsor of SB 2333 , to find a better approach to this issue. Both of these bills are pending in the Senate Labor Committee.
 
The Senate also has pending SB 3390  (Sen. Castro) which is identical to HB 2462 that was vetoed by Gov. Rauner last year. It prohibits an employer from: (i) screening job applicants based on their wage or salary history, (ii) requiring that an applicant's prior wages satisfy minimum or maximum criteria, and (iii) requesting or requiring as a condition of being interviewed or as a condition of continuing to be considered for an offer of employment that an applicant disclose prior wages or salary. Prohibits an employer from seeking the salary, including benefits or other compensation or salary history, of a job applicant from any current or former employer, with some exceptions. Limits defenses. Provides for penalties and injunctive relief. Assigned to Senate Labor Committee

House Labor Committee Sends New Wage Lien Act to the House Floor
HB 4324  (Rep. Welch) Creates the Wage Lien Act. Provides that a lien exists on an employer's property for the amount of unpaid wages owed to an employee. Defines terms and includes provisions concerning creation of the lien; exemptions; notice; limitations; recording of the lien; enforcement; other claims on the employer's property; successor obligations; and construction. 
While this measure was approved by the Committee on a partisan 15-11 vote, Labor Committee Chairman Jay Hoffman indicated to the sponsor and proponents that the legislation needed extensive work and an amendment addressing the opponent's concerns was needed.

Call Center Regulation Measure Advances to the House Floor
HB 4081 (Rep. Halpin) Creates the Call Center Worker and Consumer Protection Act. Provides that an employer that intends to relocate a call center or portions of a call center from Illinois to another state or a foreign country must provide notice to the State Treasurer at least 120 days before the relocation. Authorizes a civil penalty not to exceed $10,000 for violations. Requires the Treasurer to compile and post on the Treasurer's website a list of employers that have relocated call centers. Requires an employer that relocates a call center from Illinois to another state or a foreign country to repay grants, loans, and tax benefits that may have been received.

Final Vote on Mandated Paid Sick Leave Measure Pending on House Floor
HB 2771   (Rep. C. Mitchell/Sen. Hutchinson) requires employers to provide 40 hours of paid sick time. The bill exempts the construction industry, certain railroad employees, school districts, park districts, and certain City of Chicago sister agencies. An employee may earn sick days after 180 days of employment. On House Calendar for Concurrence Senate Amendments 1 & 2 
 
Biometric Privacy Act Proposals
Illinois Chamber of Commerce initiatives SB 3053 (Sen. Cunningham) and  HB 5103   (Rep. Thapedi)  exempts from the Biometric Privacy Act any private entity collecting, storing, or transmitting biometric information if: (i) the biometric information is used exclusively for employment, human resources, fraud prevention, or security purposes; (ii) the private entity does not sell, lease, trade, or similarly profit from the biometric identifier or biometric information collected; and (iii) the private entity stores, transmits, and protects the biometric identifiers and biometric information in a manner that is the same as or more protective than the manner in which the private entity stores, transmits, and protects other confidential and sensitive information.  SB 3053 is set for hearing in the Senate Telecommunications and Information Technology Committee when the Senate returns next week. HB 5103 is in House Rules Committee.

HB 4330  (Rep. Yingling)  Amends the Biometric Information Privacy Act to prohibit a private entity to require a person or customer to provide his or her biometric identifier or biometric information as a condition for the provision of goods or services,  except to the extent necessary for an employer to conduct background checks or implement security protocols. Does not apply to companies that provide medical services, law enforcement agencies, or governmental agencies.  This Illinois Chamber opposed bill is in the House Judiciary-Civil Committee.
 
Employee Expense Reimbursement Measure Sent to the Senate Floor
SB 2999  (Sen. Van Pelt) Amends the Illinois Wage Payment and Collection Act to require an employer to reimburse an employee for all necessary expenditures or losses incurred by the employee directly related to services performed for the employer. 
Sen. Van Pelt has committed to working with the Illinois Chamber on an amendment.

Statute of Limitations for Employment Discrimination Could be Extended and Small Employers Could be Covered  HB 5498  (Rep. Feigenholtz) A product of the House Task Force on Sexual Harassment, HB 5498 provides that within 365 calendar days (instead of 180 days) after the date that a civil rights violation, other than a violation concerning a real estate transaction, allegedly has been committed, a charge in writing under oath or affirmation may be filed with the Department of Human Rights by an aggrieved party or issued by the Department itself under the signature of the Director of Human Rights. If a charge is filed with the Equal Employment Opportunity Commission (EEOC) within 300 calendar days (instead of 180 days) after the date of the alleged civil rights violation, the charge shall be deemed filed with the Department on the date filed with the EEOC.
The Illinois Chamber opposes this measure. We are seeking a more comprehensive reform of the Human Rights Act that addresses the backlog of employment discrimination charges under the Human Rights Act.
 
HB 4572  (Rep. Guzzardi)  Amends the Illinois Human Rights Act to redefine "employer" to include any person employing one (currently 15) or more employees within Illinois  during 20 or more calendar weeks within the calendar year of or preceding the alleged violation.  Assigned to House Labor & Commerce Committee


Equal Pay Act Protections Could be Extended to African Americans
HB 4743  (Rep. Ford/Sen. Lightford)  Amends the Equal Pay Act providing that no employer may discriminate between employees by paying wages to an African-American employee at a rate less than the rate at which the employer pays wages to another employee who is not African-American  for the same or substantially similar work on a job that requires equal skill, effort, and responsibility and is performed under similar working conditions.   Approved by the House on a 66-11 roll call.
 
Prevailing Wage Act to Include TIFs
Sponsored by Rep. Jay Hoffman (D-Collinsville), HB 813  was amended to add all projects financed in whole or in part with revenues received under the Tax Increment Allocation Redevelopment Act, the County Economic Development Project Area Property Tax Allocation Act, or the County Economic Development Project Area Tax Increment Allocation Act to the Prevailing Wage Act. 
The Illinois Chamber opposes this economic development killer.

Worker' Compensation Measures
HB 4872  sponsored by Rep. Lou Lang (D-Skokie), provides that when a patient notifies a provider that the patient is seeking treatment for a work-related injury, the provider shall bill the employer or its designee directly (currently only bill employer directly). It also allows the provider to enforce the 1% interest penalty directly against the employer, its insurer, or both. The 1% interest penalty is payable only to the provider. The bill is being held on Second Reading in the House.


SB 2863  ( Sen. Raoul) Amends the Employer's Liability Rates Article of the Illinois Insurance Code. Provides that a rate is excessive if it is likely to produce a long run profit that is unreasonably high for the insurance provided or if expenses are unreasonably high in relation to the services rendered. Makes changes regarding competitive markets exists and disapproval of rates under specified circumstances. Amends the Workers' Compensation Act. Provides that accidental injuries sustained while traveling to or from work do not arise out of and in the course of employment. Permits an employer to file with the Illinois Workers' Compensation Commission a workers' compensation safety program or a workers' compensation return to work program implemented by the employer. Provides that (i) injuries to the shoulder shall be considered injuries to part of the arm and (ii) injuries to the hip shall be considered injuries to part of the leg. Contains provisions concerning repetitive and cumulative injuries; permanent partial disability determinations; annual reports by the Commission concerning self-insurance for workers' compensation in Illinois; and duties of the Workers' Compensation Premium Rates Task Force. Makes additional changes to the Workers' Compensation Act. Provides for an evidence-based drug formulary. Requires an annual investigation of procedures covered for ambulatory surgical centers and the establishment of a fee schedule. Changes a waiting period for benefits for certain firefighters, emergency medical technicians, and paramedics. Changes compensation computations for subsequent injuries to the same part of the spine. 
Identical to HB 2525 that was vetoed by Gov. Rauner last year. Placed on Senate Calendar Order of Third Reading
 
HB 5240  (Rep. Reis)  An Illinois Chamber of Commerce initiative which amends the Workers' Compensation Act to require a recipient of certain pain management medication to sign a written agreement with the prescribing physician agreeing to comply with the conditions of the prescription.  Prohibits additional prescriptions while the recipient is noncompliant. Limits the applicability of the lack of pain management as a consideration in awarding benefits. Provides for the disclosure of violations of the agreement upon request by the employer. Requires a prescribing physician to file quarterly reports to obtain payment. 
Assigned to House Labor & Commerce Committee

HB 5354  (Rep. Unes) makes numerous changes to the Workers' Compensation Act. Limits the scope of the term "arising out of and in the course of employment". Makes changes regarding recovery when an employee is travelling. Increases the duration of the period of temporary total incapacity necessary for recovery. Provides that injuries to the shoulder and hip are to be considered to be injuries to the arm and leg, respectfully. Provides for the implementation of a closed formulary for prescription medicine. Provides for electronic claims. Requires the posting of collateral when seeking judicial review. Provides for a penalty for vexatious delay in payment of benefits. Increases criminal penalties for specified unlawful acts. Requires the Workers' Compensation Commission to provide annual reports to the Governor and General Assembly regarding self-insurance. Amends the Freedom of Information Act to exempt certain workers' compensation related information from the scope of that Act. Amends the Criminal Code of 2012 create the offense of workers' compensation fraud and prescribe penalties. 
The Illinois Chamber assisted Rep. Unes in drafting the legislation. Assigned to House Labor & Commerce Committee

Rep. Laura Fine (D-Glenview) is seeking to create a state-backed workers' compensation insurer in
HB 4595 . The measure is identical to legislation vetoed by Governor Rauner last summer. The measure includes a $10 million loan from the IWCC Operations Fund. The fund is supported by fees paid by employers thru their WC insurance policies or directly by self-insured employers. $10 million represents one third of the Commission's budget! Sen. Biss' identical proposal SB 2973  was not called in the Senate Judiciary Committee.
 
Marijuana Advisory Referendum Passes Senate
SB 2275   (Sen. Cunningham/Rep. Hurley) Creates the Marijuana Legalization Referendum Act
to require the State Board of Elections to cause a statewide advisory public question to be submitted to the voters at the November 6, 2018 general election asking whether individuals support the legalization of possession and use of marijuana by persons of at least 21 years of age. The measure was approved by the Senate on a 37-13-1 vote.
House Rules Committee


Volunteer Emergency Worker Definition Changes
SB 2471  (Sen. Holmes) amends the Volunteer Emergency Worker Job Protection Act to provide that "volunteer emergency worker" means a person who serves as a member of a fire department of a fire protection district, municipality, or other unit of government on other than a full-time career basis and who meets the requirements for volunteer status under the Code of Federal Regulations and Opinion Letters from the United States Department of Labor. Provides that "volunteer emergency worker" also means, including, but not limited to, a person who serves on a volunteer basis and is licensed under the Emergency Medical Services (EMS) Systems Act as an Emergency Medical Responder (EMR)(First Responder), Emergency Medical Technician (EMT), Emergency Medical Technician-Intermediate (EMT-I), Advanced Emergency Medical Responder (A-EMT), or Paramedic (EMT-P), or a volunteer ambulance driver or attendant, and the person does not work in one of these capacities for another fire department, fire protection district, or governmental entity on a full-time career basis. The measure was approved by the Senate Labor Committee and is pending on the Senate floor. A companion House measure is HB 4477 
(Rep. Cavaletto) and has been sent to the House Labor Committee.




Other Measures Pending in Committee
 
HB 5046  (Rep. Welch) Creates the Fair Scheduling Act to require employers to provide work schedules to employees at least 72 hours before the start of the first shift of the work schedule and to provide pay when an employee's work shift is canceled or reduced within 72 hours of the beginning of the shift.  Prohibits retaliation by employers when employees seek to enforce rights under the Act. Authorizes private actions for damages. Enforced through the Department of Labor. 
Assigned to House Labor & Commerce Committee
 
HB 5334  (Rep. Harper)  Creates the Employee Background Fairness Act. 
Provides that an employer may not refuse to hire an individual and may not discharge an individual because of the individual's criminal history unless the individual has one or more convictions and there is a direct relationship between one of more of an individual's convictions and the specific employment sought. Prohibits retaliation for exercising rights under the Act. Provides that an individual denied or discharged from employment because of his or her criminal history in violation of the Act may recover from the employer in a civil action: (1) damages in the amount of $2,000 or actual damages, whichever is greater; (2) costs and such reasonable attorney fees as may be allowed by the Court; and (3) any other relief as may be appropriate, including punitive damages. 
Assigned to House Labor & Commerce Committee
 
HB 5518  (Rep. Mah)  Creates the Transportation Benefit Program Act.
 Provides that an employer that is situated in Cook County or specified townships and for which an average of 25 or more full-time employees work for compensation shall offer a program that allows a covered employee to elect to exclude from taxable wages and compensation the employee's commuting costs incurred for the purchase of a transit pass to use public transit or for the purchase of qualified parking, up to a maximum level allowed by federal tax law. Provides that a covered employer may comply by participating in a program offered by the Chicago Transit Authority or the Regional Transit Authority. Provides that all transit agencies shall market the existence of the program to their riders. Effective January 1, 2019. 
Assigned to House Mass Transit Committee

SB 3547  (Sen. Tom Cullerton)  Creates the Service-Member Employment and Reemployment Rights Act.
Contains provisions concerning matters relevant to the employment rights of service-members, including employment protections, additional benefits for public employee members of a reserve component, prohibitions on discrimination, a notice of rights and duties, violations, enforcement, remedies, and rulemaking. Provides that the Attorney General shall appoint an Illinois Service-Member Employment and Reemployment Rights Act Advocate to carry out various duties related to the Act. Provides that in times of national or State emergency, the Governor may extend the protections of the Act. Limits the concurrent exercise of power by home rule units. Makes corresponding and related changes throughout the statutes. Repeals the Military Leave of Absence Act, the Public Employee Armed Services Rights Act, the Municipal Employees Military Active Duty Act, and the Local Government Employees Benefits Continuation Act. Amends the Service Member's Employment Tenure Act to change the short title to the Service Member's Tenure Act.  
Assigned to Senate Veterans Affairs Committee
 
HB 4893 (Rep. Hoffman)  adds trucking firms, independent truck owner-operators, and trucking brokers as covered entities under the Prevailing Wage Act.  
Assigned to House Labor Committee.
 
SB 2242  (Sen. Mulroe) amends the Employee Sick Leave Act  to allow an employee to use personal sick leave benefits for leave an employee is entitled to under the Victims' Economic Security and Safety Act. Permits an employer to limit the use of personal sick leave benefits for leave an employee is entitled to under the Victims' Economic Security and Safety Act. Provides that the Employee Sick Leave Act does not limit or extend the period of leave to which an employee is entitled under the Victims' Economic Security and Safety Act, regardless of whether the employee receives sick leave compensation during that leave.  
Sent to Senate Labor Committee.





Chamber in the News
 
Illinois is 2018's least fiscally stable state. 
CHICAGO TRIBUNE

Illinois job growth hit new high last summer, revised data show. 



Illinois Governor candidates at odds on marijuana use. 


Key Legislation
 
 
 
 
 
 
 
 
 
 
 
Upcoming Events
  • June 20, 2018 - Workers' Compensation Committee Meeting - ASA Law Group, LLC, 1301 W. 22nd St., Ste. 215, Oakbrook
  • October 23, 2018 - Workers' Compensation Committee Meeting - Location/Time TBD 
  • December 13, 2018 - Workers' Compensation Committee Meeting - Law Office of Heyl Royster, 33 N. Dearborn, Chicago

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