From our family to yours, we wish you a Merry Christmas and a Happy New Year!
and now on to …
End of Year Business News Update!
Business Updates from the Law Offices of McLaughlin & Associates!
As the year comes to a close and Christmas is just around the corner we all have to consider what is going to come in the new year, especially as business owners. The national election is going to change the landscape of our economy, but most importantly we have to look closer to home and be aware of the changes in Illinois law that will affect us more directly in 2025.
On January 1, 2025 – Things to Know in Illinois
The Minimum Wage will Increase to $15/hour and tipped workers’ minimum wage will now be $9/hour.
Illinois has Eliminated the use of Subminimum Wages for Disabled Workers. Employer’s can no longer pay less than the minimum wage for work performed.
Employers with 15 or more employees must show pay and benefits information on Job Postings, both internal and external, or be fined. We recommend employers put this information on all Job Descriptions whether or not the job is posted. It can be a reasonable pay range, it does not have to be a fixed amount. Benefits may include, but not limited to insurance, non-statutory vacation, retirement options, commission and bonuses.
Last call to businesses who are required to but have not yet filed their BOI! As of January 2, 2025, all reporting companies created or registered with a deadline of January 1, 2025, that have not filed, will be filing late and face a steep daily fine.
Illinois drivers will now be allowed to present a Digital Driver’s Driver’s License. At this time however, we advise that employers should still ask for the physical identification for I-9 verification purposes. In the future we might see Digital IDs as being acceptable, however it is too soon to tell. Stay Tuned.
The Right to Privacy in the Workplace has recently been amended to further clarify employers’ ability to use E-Verify and how to prevent immigration discrimination within the Act. It addresses issues like posting requirements, how to communicate when a discrepancy has been found with verification documents or when there is an agency review of employers’ I-9 forms.
Under the recent amendments of Illinois’ Worker Freedom of Speech Act employers can still hold mandatory meetings, however, they cannot discipline employees for not attending meetings where opinions on politics or religion will be discussed. There are also posting requirements for this Act.
AI is becoming a household word in every aspect of our lives, including business decisions. Being proactive, Illinois has passed a law that limits employers’ use of AI predictive models that have the affect of discriminating on the basis of protected classes and specifically prohibits the use of zip codes as proxy. We recommend that AI can be a useful tool in helping to make employment decisions, but should never be the sole factor for a final decision.
There are several amendments to the Illinois Human Rights Act that we have to be aware of:
The term Family Responsibilities has now been added to the Act as a protected class, however, it does not prohibit employers from disciplining for abusing work policies that are not protected by other laws, or require employers to provide accommodations on this basis
Discrimination or harassment on the basis of Reproductive Health, i.e. use of contraceptives or fertility treatments, has also been added as a protected class
The Time to File a Complaint has been extended from 300 calendar days from the date of the alleged violation to two (2) years. This is a significant change to the law and we may see an uptake in claims.
Employers who may on occasion hire minors under the age of 16, should also be aware of the new Child Labor Law of 2024, which requires them to obtain an employment certificate authorizing the minor’s ability to work and defines the specific times minors’ are allowed to work.
Recent amendments to the Illinois Whistleblower Act have expanded it’s definition of retaliation to include individuals who report or threaten to report to a 3rd party organization that has a contractual relationship with the offending employer, and now include activities that could pose a substantial risk to the health or safety of employees.
New Pay Stub Requirements will be enacted and include the following:
Employers must provide electronic or hardcopy pay stubs each pay period to each employee that include regular hours worked and rate of pay, overtime pay and hours worked, gross wages earned, deductions made from the employee’s wages, and the total of wages and deductions year to date.
Employers must keep pay stub records and maintain them for access by former and current employees for a minimum of three (3) years.
There is a penalty of up to $500 per violation for noncompliance.
Beginning in the new year employers with 5 or more employees must comply with new Personnel Records Act requirements which specify when, how, and what employees must do when requesting to view their personnel records. The Act also includes additional records that can be requested by employees such as benefits information, employee handbooks and policies.
We know this is a lot of information to weed through. To find out more about these laws or any other human resources or business related issues, do not hesitate to contact us at 630-230-8434.
Announcements
The Law Offices of McLaughlin & Assoc. will be closed for the holidays from December 13 through January 5. We will have limited access to emails and voicemail. We wish you safe travels while visiting with friends and family!