Employee: Containing the same definition as in the IWPCA, the Act applies to almost all employees.Employer: Containing the same definition as in the Illinois Wage Payment and Collection Act (“IWPCA”), the Act applies to almost all employers in Illinois, including state and local government and governmental agencies.Coverage: Who is an Employer and Employee under the Act?.Additional Important Act Considerations and Requirements handbook policy) that contains the procedures for an employee to provide such notice. If an employer intends to require notice of leave under the Act when leave is not foreseeable, it must provide a written policy ( i.e. If the leave is not foreseeable, employees must provide notice as soon as practicable. Employers may require up to seven calendar days’ prior notice of foreseeable leave. Further, employers cannot require employees to search for, or find, replacement workers in order to take the applicable leave. Further, employers are not permitted to require documentation or certification from the employee related to the need or reason to take leave. However, employers can set a reasonable minimum increment of taking the leave (no more than two hours per day). The accrual method must also be provided or listed in the employer’s written paid leave policies, if that option is selected.Ī uniquely employee-friendly aspect of the Act is that employees can unilaterally designate the number of paid leave hours to be used and do not have to give a reason for taking the leave. For example, if a part-time employee only works 15 hours per week for 52 weeks in a year, then the employee will only accrue 19.5 hours of the paid leave annually. However, part-time employees might not accrue the full 40 hours of leave provided by the Act by the end of the year, meaning they accrue fewer hours of leave because of the number of hours they have worked. Part-time employees also accrue the paid leave at the same rate of one hour of paid leave for every 40 hours worked per year. Under the accrual option, the paid leave would accrue for full-time employees at the rate of one hour of paid leave for every 40 hours worked per year. For the frontloading option, an employer could, for example, award each employee five days (40 hours) of paid leave on January 1st of each calendar year or award five days (40 hours) of leave upon hire (so long as the leave is designated by the employer in writing at the time of hire). A second option is to use an accrual method. One option is to provide 40 hours of leave as a lump sum, which would be frontloaded on the first day of employment or on the first day of a designated 12-month period. Employees must be allowed to use paid leave after 90 days following the commencement of their employment, unless an employer permits them to utilize the paid leave earlier.Įmployers may use two alternative methods of accrual to comply with the Act. Under the Act, most Illinois employees will be eligible for a minimum of 40 hours of paid leave, although employers are able to provide more generous benefits. Once signed, the Act will go into effect on January 1, 2024, and will make most Illinois private-sector employees eligible for up to 40 hours of paid time off per year. Governor Pritzker is expected to sign the bill later this year. The Illinois general assembly kicked off 2023 off by passing the Paid Leave for All Workers Act (the “Act”).
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