In March 2023, Governor JB Pritzker signed SB208, also known as the Paid Leave for All Workers Act into law. Coming into effect on January 1, 2024, the Act provides employees with up to 40 hours of paid leave during a 12-month period. Below is a brief overview of this new law for employers.
Under this Act all employers, not matter the size of the company, must provide employees with at least one hour of paid leave for every 40 hours worked for every 12-month period. Employers who already provide their employees with at least 40 hours of paid leave per 12-month period are not required to provide any additional hours. Employers can either require employees to accrue paid leave time over the course of the year or front-load paid leave time at the beginning of the year. Part-time, full-time, and seasonal employees are covered by this Act. There are some exemptions for certain types of jobs.
Paid leave under this Act shall begin to accrue at the commencement of employment or on the January 1, 2024 effective date of the Act (“Effective Date”), whichever is later. Employees shall be allowed to start using paid leave 90 days following commencement of their employment or 90 days following the effective date of this Act, whichever is later.
Employees are to be paid their normal hourly rate when on paid leave. In cases where an employee’s income is based on tips or commissions, they are to be paid at least the minimum wage. Employees may take paid leave for any reason and employers cannot require employees to provide a reason for the leave or require documentation/certification as proof or in support of the leave.
The Act also requires employers to post notices summarizing the requirements of the Act. These notices will likely be made available from the Illinois Department of Labor closer to the start of 2024.
Employers should revisit their leave policies accordingly to ensure compliance with the Act. For more information about this article, or to find out how we can help your business comply with the Act’s requirements, contact Albee Law PC at (312) 279-0115 or by email at info@albeelaw.com