On March 13, 2023, Illinois Governor J.B. Pritzker signed the Paid Leave for All Workers Act (the Act) two months after it passed through the Illinois Legislature. While Chicago and Cook County employers are sure to be familiar with mandatory leave laws, the Act marks the first statewide legislation requiring paid time off for any reason in Illinois. Employers statewide who do not currently offer paid leaves equal to or in excess of 40 hours per year should make appropriate preparations to comply with the new law and should speak with counsel to ensure compliance.
The Act goes into effect on January 1, 2024 and applies, as the name implies, to nearly all employers and employees in Illinois with limited exceptions, including for employers who already must provide paid sick leave pursuant to the Chicago Paid Sick Leave Ordinance, the Cook County Earned Sick Leave Ordinance, or any other municipal or county sick leave ordinances. The Act also does not apply to any employers who already provide paid leave in amounts that meet or exceed the requirements of the Act. So, if an employer already offers employees over 40 hours of paid vacation time per year, no additional leave is owed after the Act's effective date.
Covered employers must provide all employees with a minimum of 40 hours of paid leave during a 12-month period (the 12-month period may be designated freely by the employer) or – for employees beginning mid-year or for part-time employees – a pro-rata amount...
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