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Thursday, November 28, 2024

Illinois Amends Temp Worker Law, Boosting Employer Obligations - SHRM

The Illinois Day and Temporary Labor Services Act (IDTLSA) has been amended for the third time in the past year. Codified as Public Act 103-1030, the amendments clarify employers’ and staffing agencies’ obligations on equal pay, notices, and more.

Equal-Pay Requirement

Amount of work:The amendments clarify the amount of work that entitles a temporary laborer to equal pay as permanent workers.

The original law stated that the equal-pay requirement was effective once a temporary laborer had been “assigned” to a third-party client for 90 days. Subsequently, the legislature delayed this obligation, starting the clock on April 1, 2024.

Under P.A. 103-1030, equal pay is instead required after a temporary laborer “performs more than 720 hours of work in a 12-month period” for a third-party client. Again, companies had to be in compliance with the provisions of P.A. 103-1030 starting on April 1, 2024.

How to compute:P.A. 103-1030 offers a new option for computing “equal pay.”

The original law required equal pay to be determined using the rate of either 1) the third-party client’s lowest-paid, directly hired, similarly situated employee with the same or substantially similar seniority to the temporary laborer; or 2) the lowest-paid, directly hired employee with the closest level of seniority to the temporary laborer (the “comparator”).

P.A. 103-1030 still allows this “comparator” method, but as another alternative, for temporary laborers to be paid the median wages “of workers...



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