General Assembly off to a Slow Start
While the quantity of bills introduced remains low, I expect this week to see thousands of bill introductions as the House deadline for introduction is this Friday. The Senate deadline is Friday, February 26th. The contentious lame duck session in early January, COVID and election of Emanual “Chris” Welch (D-Westchester) as House Speaker replacing long-serving Michael Madigan has contributed to the delay. The House did meet last Wednesday to adopt rules which included the ability of committees to meet virtually. While the House Democrat committee chairs and committee members have been named, only GOP spokespersons have been appointed. Their committee members are expected to be appointed this week. The House will be meeting only one day face to face in February having cancelled the remaining 5 scheduled dates. Rep. Marcus Evans (D-Chicago) returns as Chairman of the Labor Committee. Rep. Steven Reick (R-Woodstock) will serve as Labor Committee Spokesman. He replaces former representative Grant Wehrli who was defeated last November.
The Senate this week is holding several committee hearings virtually including the Labor Committee which is taking testimony from business and labor interests. Last week the Committee heard from the Illinois Department of Employment Security (IDES). The Agency is in hot water over its horrendous handling of unemployment benefit delivery, fraud and implementation of the federal CARES Act. The Senate has cancelled all its Springfield meeting dates for February. Sen. Linda Holmes (D-Aurora) is the Labor Committee Chair and Sen. Chapin Rose (R-Mahomet) is Spokesman.
It is believed that both chambers will also cancel March meeting dates with the plan to focus on virtual committees between now and April 1.
SB 1480 Goes to Governor
SB 1480 was sent to the Governor on February 5th. He has 60 days from the 5th to act on the measure. While well-intentioned, the Illinois Black Caucus’ legislation has a number of structural flaws. In a coalition letter of nearly 20 organizations organized by the Illinois Chamber, the Governor was requested to allow the Chamber to negotiate changes in a trailer bill to be approved this Spring before he acted on the legislation. It is expected that the Governor will be signing SB 1480 into law which has an immediate effective date.
The Chamber has outlined our concerns and provided suggested revisions to the Illinois Department of Human Rights (IDHR) and the Illinois Department of Labor (IDOL). To IDHR, we pointed out the problems of an employer needing to ascertain a “substantial relationship” between the applicant’s criminal history and the job. The employer, under the definition in SB 1480, also will bear the burden of determining the circumstances of the convictions and whether the criminal act is likely to reoccur. We also are seeking to harmonize the SB 1480 notice process with that of the federal Fair Credit Reporting Act.
In discussions with IDOL, our biggest concern is the 1% of gross profit penalty provision. We also believe that the legislation fails to adequately protect proprietary wage and benefit structures information that must be submitted to the Department.
Key Bill Introductions
HB 53: VIDEO INTERVIEW DEMOGRAPHIC (Rep. Jaime M. Andrade, Jr., D-Chicago)
Amends the Artificial Intelligence Video Interview Act. Provides that employers that rely solely upon artificial intelligence to determine whether an applicant will qualify for an in-person interview must gather and report certain demographic information to the Department of Commerce and Economic Opportunity. Requires the Department to analyze the data and report to the Governor and General Assembly whether the data discloses a racial bias in the use of artificial intelligence. House Rules Committee
HB 353: MINIMUM WAGE-ESSENTIAL WORKERS (Rep. Mary E. Flowers D-Chicago)
Amends the Minimum Wage Law. Increases the minimum wage to $20 per hour for essential workers for the duration of the COVID-19 public health emergency. House Rules Committee OPPOSE
HB 559: BIPA-PROCEDURE-LIMIT DAMAGES (Rep. Jim Durkin R-Western Springs)
Amends the Biometric Information Privacy Act. Changes the term of "written release" to "written consent". Provides that the written policy that is developed by a private entity in possession of biometric identifiers shall be made available to the person from whom biometric information is to be collected or was collected (rather than to the public). Provides that an action brought under the Act shall be commenced within one year after the cause of action accrued if, prior to initiating any action against a private entity, the aggrieved person provides a private entity 30 days' written notice identifying the specific provisions the aggrieved person alleges have been or are being violated. Provides that if within the 30 days the private entity actually cures the noticed violation and provides the aggrieved person an express written statement that the violation has been cured and that no further violations shall occur, no action for individual statutory damages or class-wide statutory damages may be initiated against the private entity. Provides that if a private entity continues to violate the Act in breach of the express written statement, the aggrieved person may initiate an action against the private entity to enforce the written statement and may pursue statutory damages for each breach of the express written statement and any other violation that postdates the written statement. Provides that a prevailing party may recover: against a private entity that negligently violates the Act, actual damages (rather than liquidated damages of $1,000 or actual damages, whichever is greater); or against a private entity that willfully (rather than intentionally or recklessly) violates the Act, actual damages plus liquidated damages up to the amount of actual damages (rather than liquidated damages of $5,000 or actual damages, whichever is greater). Provides that the Act does not apply to a private entity if the private entity's employees are covered by a collective bargaining agreement that provides for different policies regarding the retention, collection, disclosure, and destruction of biometric information. Makes other changes. House Rules Committee SUPPORT-IL Chamber Initiative
HB 560: BIPA-VIOLATION (Rep. Jim Durkin R-Western Springs)
Amends the Biometric Information Privacy Act. Changes the term of "written release" to "written consent". Provides that the written policy that is developed by a private entity in possession of biometric identifiers shall be made available to the person from whom biometric information is to be collected or was collected (rather than to the public). Deletes a provision regarding a right of action. Provides instead that any violation that results from the collection of biometric information by an employer for employment, human resources, fraud prevention, or security purposes is subject to the enforcement authority of the Department of Labor. Provides that an employee or former employee may file a complaint with the Department a violation by submitting a signed, completed complaint form. Provides that all complaints shall be filed with the Department within one year from the date of the violation. Provides that any other violation of the Act constitutes a violation of the Consumer Fraud and Deceptive Business Practices Act, with enforcement by the Attorney General or the appropriate State's Attorney. Provides that the Act does not apply to a private entity if the private entity's employees are covered by a collective bargaining agreement that provides for different policies regarding the retention, collection, disclosure, and destruction of biometric information. Makes other changes. Makes a conforming change in the Consumer Fraud and Deceptive Business Practices Act.
House Rules Committee SUPPORT- IL Chamber initiative
SB 56: BIPA-RIGHT OF ACTION (Sen. Terri Bryant R-Murphysboro)
Amends the Biometric Information Privacy Act. Provides that an action for a violation of the Act shall be commenced within one year after the cause of action accrued if the aggrieved person provides a private entity 30 days' written notice identifying the specific provisions of the Act the aggrieved person alleges have been or are being violated. Provides that if, within the 30 days, the private entity actually cures the noticed violation and provides the aggrieved person an express written statement that the violation has been cured and that no further violations shall occur, no action for individual statutory damages or class-wide statutory damages may be initiated against the private entity. Provides that a prevailing party may recover actual damages for a negligent violation of the Act (instead of "liquidated damages of $1,000 or actual damages, whichever is greater"). Provides that a prevailing party against a private entity that willfully (instead of intentionally or recklessly) violates the Act may recover actual damages plus liquidated damages up to the amount of actual damages (instead of "liquidated damages of $5,000 or actual damages, whichever is greater"). Senate Assignments Committee SUPPORT
Employment Discrimination and Workplace Agreements
HB 121:HUMAN RIGHTS-WORK AUTHORIZATION (Rep. Will Guzzardi D-Chicago)
Amends the Illinois Human Rights Act. Provides that it is the public policy of the State to prevent discrimination based on the specific status or term of status that accompanies a legal work authorization. Defines "work authorization status" as the status of being a person born outside of the United States, and not a U.S. citizen, who is authorized by the federal government to work in the United States. Provides that it is a civil rights violation for: (1) any employer to refuse to hire, to segregate, to engage in harassment, or to act with respect to recruitment, hiring, promotion, renewal of employment, selection for training or apprenticeship, discharge, discipline, tenure or terms, privileges or conditions of employment on the basis of work authorization status; (2) any employment agency to fail or refuse to classify properly, accept applications and register for employment referral or apprenticeship referral, refer for employment, or refer for apprenticeship on the basis of work authorization status; (3) any labor organization to limit, segregate, or classify its membership, or to limit employment opportunities, selection and training for apprenticeship in any trade or craft, or otherwise to take or fail to take, any action which affects adversely any person's status as an employee or as an applicant for employment or as an apprentice, or as an applicant for apprenticeships, or wages, tenure, hours of employment, or apprenticeship conditions on the basis of work authorization status; and (4) any employer to refuse to honor work authorization based upon the specific status or term of status that accompanies the authorization to work. Provides that it is a civil rights violation for a person, or for 2 or more persons, to conspire to retaliate against a person because he or she has opposed that which he or she reasonably and in good faith believes to be discrimination based on work authorization status. Makes conforming changes. Effective immediately. House Rules Committee
HB 700: IDHR-POWERS (Rep. Ann M. Williams D-Chicago)
Amends the Illinois Human Rights Act. Provides that the Department of Human Rights may petition and shall be permitted as a matter of right to intervene as a party in the proceeding if the Commission determines that: (i) the case involves matters of public interest or importance beyond the issues in the case; (ii) the Department has an interest different from one or more of the parties; (iii) the expertise of the Department makes it better suited to articulate a particular point of view; or (iv) the representation of the Department's interest by existing parties is or may be inadequate and the Department will or may be bound by an order or judgment in the action. Provides that the Department, as an intervenor, shall have all of the rights of an original party. Allows the Attorney General to intervene on behalf of the Department in a civil action filed by a complainant in State or federal court if the Department certifies that the case is of general public importance. Makes conforming changes. House Rules Committee OPPOSE
Workplace Mandates
HB 74: PAID FAMILY LEAVE ACT (Rep. Mary E. Flowers D-Chicago)
Creates the Paid Family Leave Act. Requires private employers with 50 or more employees to provide 6 weeks of paid leave to an employee who takes leave: (1) because of the birth of a child of the employee and in order to care for the child; (2) to care for a newly adopted child under 18 years of age or a newly placed foster child under 18 years of age or a newly adopted or newly placed foster child older than 18 years of age if the child is incapable of self-care because of a mental or physical disability; or (3) to care for a family member with a serious health condition. Provides that paid family leave shall be provided irrespective of the employer's leave policies; and shall be provided to an employee who has been employed by the employer for at least one year. Permits employees to voluntarily waive paid family leave. Provides that the Department of Labor may adopt any rules necessary to implement the Act. House Rules Committee OPPOSE
HB 117: SECURE CHOICE SAVINGS PROGRAM (Rep. Will Guzzardi D-Chicago)
Amends the Illinois Secure Choice Savings Program Act. Provides that the Act applies to employers with at least one employee, rather than fewer than 25 employees. Provides for automatic increases in contributions. Makes changes regarding penalties for employers who fail, without reasonable cause, to enroll an employee in the Program. Provides that, for purposes of the penalties, the Department of Revenue shall determine total employee count for employers using the annual average from employer-reported quarterly data. Provides that the Department may provide notice regarding penalties in an electronic format to be determined by the Department. Removes a provision stating that penalty provisions shall become operative 9 months after the Illinois Secure Choice Savings Board notifies the Director of Revenue that the Program has been implemented. Makes other changes. House Rules Committee OPPOSE
HB 118: WAGE PAYMENT & COLLECTION-DAMAGES AMOUNT (Rep. Will Guzzardi D-Chicago)
Amends the Illinois Wage Payment and Collection Act. Provides that an employee is entitled to recover damages of 5% (rather than 2%) of the amount of any underpayments in wages for each month following the date of payment during which such underpayments remain unpaid. Effective immediately. House Rules Committee OPPOSE
HB 127: LOW-WAGE EMPLOYER-RECOUP COSTS (Rep. Michael Halpin D-Rock Island)
Creates the Low-Wage Employer Cost Recoupment Act. Directs the Department of Labor to impose a surcharge upon employers that pay employees wages that are less than the amount that would disqualify a single person from being eligible for federal Supplemental Nutrition Assistance Program benefits. Imposes a surcharge in an amount equal to the annual value of the amount of federal Supplemental Nutrition Assistance Program benefits for which a single person would be eligible multiplied by the number of employees whose wages do not disqualify a person from eligibility for federal Supplemental Nutrition Assistance Program benefits. Effective immediately. House Rules Committee OPPOSE
HB 616: FAMILY AND MEDICAL LEAVE ACT (Rep. Terra Costa Howard D-Lombard)
Creates the Family and Medical Leave Act. Provides that employees are entitled to 12 weeks of leave during a calendar year. Provides that leave may be used for absence from work due to (1) personal illness, injury, or medical appointment of the employee, (2) illness, injury, or medical appointment of a member of the employee's family, or (3) the birth of a child or the adoption of a child under one year of age. Requires the employer to pay the cost of health insurance applicable to the employee during the period of leave. Requires that the employee be returned to his or her position or an equivalent position upon completion of the family and medical leave period. House Rules Committee OPPOSE
Unemployment Insurance
HB 85: WAGE INSURANCE ACT (Rep. Mary E. Flowers D-Chicago)
Creates the Wage Insurance Act. Requires the Department of Employment Security to establish a Wage Insurance Program. Provides that an individual is eligible for wage insurance benefits if the individual is a claimant under the Unemployment Insurance Act at the time the individual obtains reemployment and is not employed by the employer from which the individual was last separated. Provides that benefits shall be paid in an amount sufficient to pay the difference between the wage received by the individual at the time of separation and the wages received by the individual from reemployment. Imposes a 0.4% payroll tax on employees beginning January 1, 2022. Provides that claims for wage insurance benefits may be filed beginning June 1, 2022. Contains provisions concerning the recovery of erroneous payments; hearings; civil penalties; unpaid taxes; rules; and other matters. Creates the Wage Insurance Fund as a special fund in the State treasury. Amends the State Finance Act to include the Wage Insurance Fund. Amends the Freedom of Information Act. Exempts from inspection and copying information that is exempt from disclosure under the Wage Insurance Act. House Rules Committee OPPOSE
HB 131: UNEMPLOYMENT INSURANCE LABOR DISPUTE BENEFITS (Rep. Michael Halpin D-Chicago)
Amends the Unemployment Insurance Act. Provides that a claimant is not disqualified from obtaining benefits during a period of unemployment caused by a labor dispute if the labor dispute is caused by the failure or refusal of the employer to comply with an agreement or contract between the employer and the claimant, including a collective bargaining agreement with a union representing the claimant, or a State or federal law pertaining to hours, wages, or other conditions of work. Provides that a claimant shall not be provided benefits for a period of the first 30 days following the commencement of unemployment caused by a labor dispute, including a strike or other concerted activities of employees at the claimant's workplace, whether or not authorized or sanctioned by a union representing the claimant, but not including a dispute during which benefits are otherwise available. Provides that the 30-day waiting period shall not apply if the employer hires a permanent replacement worker for the claimant's position. Provides that if the employer does not permit the claimant to return to his or her prior position upon conclusion of the dispute, the claimant shall be entitled to recover any benefits lost as a result of the 30-day waiting period before receiving benefits. Effective immediately House Rules Committee OPPOSE
