Illinois Day & Temporary Labor Services Act
In August 2024, significant updates were made to the Illinois Day and Temporary Labor Services Act, impacting both staffing agencies like Furst Staffing and the businesses we partner with across Illinois.
With the signing of Senate Bill 3650 (SB 3650) by Governor Pritzker, this marks the third major amendment to the Act in just over a year. These changes are now in effect, and it’s important for employers utilizing temporary labor to understand the key elements.
Here’s what you need to know:
The new amendment establishes rules ensuring that temporary laborers who work over 720 hours within a rolling 12-month period receive equal pay and benefits comparable to your regular employees in similar roles.
- Option 1: Match the hourly rate of your lowest-paid regular employee in the same role.
- Option 2: Use the median hourly rate for that job classification in your region, based on U.S. Department of Labor data.
For those working over 4,160 hours within 48 months, pay must meet the 75th percentile rate for similar workers. Note that the benefits portion of this mandate is currently under a federal court injunction, which is pending appeal.
Staffing agencies like Furst Staffing are required to provide temporary workers with clear notices that include job duties, pay information, and seniority details. In addition, if an applicant seeks work but does not receive an assignment, we must provide a confirmation receipt outlining the specific reasons.
Pay Transparency in Illinois Job Postings
Effective: January 1, 2025 | HB 3129
This amendment to the Illinois Equal Pay Act requires that employers with 15 or more employees disclose “pay scale and benefits” in all job postings. Required disclosures include the wage or salary, or the wage or salary range, plus a general description of benefits and other forms of compensation (including bonuses, stock options, and other incentives) the employer expects to offer for the position. The requirements apply to those jobs that (1) will be performed, at least in part, in Illinois or (2) will be performed outside of Illinois if the hired employee will report to a supervisor, office, or other worksite in Illinois.
An employer must include the “good faith” range it reasonably expects to offer and may meet its obligation to disclose benefit information by referencing an easily accessible public section of its website.
If an employer engages a third party to announce, post, or publish job opportunities, the third party must include this data in the job posting. However, if the employer fails to provide the necessary information, the third party may avoid liability by demonstrating that the omission was due to the employer’s noncompliance with the requirements.
The amendments also require transparency regarding internal promotional opportunities. Employers are required to announce, post, or otherwise make known all opportunities for promotion to current employees no later than 14 calendar days after making an external job posting for the same position.
Employers must meet new recordkeeping requirements regarding postings, pay scales, benefits, and wages for each position for at least five years. Penalties range from $500 to $10,000 per offense, depending on whether the noncompliant job postings are active during the Illinois Department of Labor’s (IDOL’s) notice and whether the employer has previous violations.
The Illinois Department of Labor will be issuing new administrative rules to interpret these updates and those introduced by House Bill 2862 (HB 2862) last year. As your staffing partner, Furst Staffing is committed to keeping you informed and ensuring your business remains compliant.
Have questions? Need support navigating these changes? Please contact your Furst Staffing representative today. We’re here to help you manage your temporary workforce smoothly and efficiently.