In Illinois, HB 2862, which amends the Illinois Day and Temporary Labor Services Act, passed the Illinois legislature earlier this month and is on Gov. J. B. Pritzker’s desk awaiting signature. The amendments are scheduled to take effect July 1. Among other things, the amendments provide that
- Temporary employees must be paid the same or similar pay and benefits as received by equivalent direct hire employees after working for more than 90 calendar days for a client.
- Employees must be advised that they can refuse assignments to sites involving labor disputes.
- Registration fees will increase to $3,000 per year per agency; $750 for each branch office.
ASA, along with its Illinois lobbyist Paul Rosenfeld, met with the bill’s sponsors, and with leaders in the Illinois House of Representatives and the Illinois Senate, and secured modifications that significantly mitigate the impact of the bill:
- Removal of the requirement to collect race and ethnicity data on every applicant.
- Removal of the requirement to disclose to employees the hourly bill rate charged to clients.
- Increased waiting period to comply with the pay and benefits mandate from 60 to 90 days.
ASA has submitted a letter to Gov. Pritzker urging the Illinois Department of Labor to delay implementing the law, especially the equal pay and benefit mandate, until final regulations are adopted with input from ASA and the Illinois Search and Staffing Association, an ASA-affiliated chapter. In addition to providing input on the rules, ISSA will provide information and resources to help members comply with the law.
While the governor has not yet signed the bill into law, he likely will do so before the July 1 effective date. ASA does not expect the Illinois Department of Labor to immediately engage in aggressive enforcement efforts, but staffing firms should make good faith efforts, with the advice of counsel, to comply with the law as best they can until clarifying rules are issued.
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