IL HB3066 | 2021-2022 | 102nd General Assembly

Status

Spectrum: Bipartisan Bill
Status: Introduced on February 18 2021 - 25% progression, died in committee
Action: 2022-02-18 - Rule 19(a) / Re-referred to Rules Committee
Pending: House Rules Committee
Text: Latest bill text (Introduced) [HTML]

Summary

Amends the Illinois Freedom to Work Act. Provides that a covenant not to compete shall not be valid or enforceable unless the employee's actual or expected annualized rate of earnings exceeds $75,000 per year on the effective date of the amendatory Act, $80,000 per year beginning on January 1, 2027, $85,000 per year beginning on January 1, 2032, or $90,000 per year beginning on January 1, 2037 (rather than no employer shall enter into a covenant not to compete with any low-wage employee of the employer). Provides that a covenant not to solicit shall not be valid or enforceable unless the employee's actual or expected annualized rate of earnings exceeds $45,000 per year. Provides that a covenant not to compete is void and illegal for any employee who an employer terminates or furloughs as the result of business circumstances or governmental orders related to the COVID-19 pandemic, or under circumstances that are similar to the COVID-19 pandemic, unless enforcement of the covenant not to compete includes compensation equivalent to the employee's base salary at the time of termination for the period of enforcement minus compensation earned through subsequent employment during the period of enforcement. Contains provisions concerning the enforceability of a covenant not to compete or a covenant not to solicit; notice requirements for employers under a covenant not to compete or a covenant not to solicit; remedies for employees who prevail against an employer's civil action to enforce a covenant not to compete or a covenant not to solicit; and certain factors a court may consider when determining whether to reform a covenant not to compete or a covenant not to solicit. Defines "adequate consideration"; "covenant not to compete"; "covenant not to solicit"; "earnings"; and "employee". Removes the definition for the term "low-wage employee".

Tracking Information

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Title

NON-COMPETE HIGHER THRESHOLD

Sponsors


History

DateChamberAction
2022-02-18HouseRule 19(a) / Re-referred to Rules Committee
2022-02-15HouseTo Wage Policy & Study Subcommittee
2022-01-25HouseAssigned to Labor & Commerce Committee
2021-03-27HouseRule 19(a) / Re-referred to Rules Committee
2021-03-16HouseAssigned to Labor & Commerce Committee
2021-03-15HouseAdded Chief Co-Sponsor Rep. Dan Ugaste
2021-02-19HouseReferred to Rules Committee
2021-02-19HouseFirst Reading
2021-02-18HouseFiled with the Clerk by Rep. Kelly M. Burke

Code Citations

ChapterArticleSectionCitation TypeStatute Text
8209010Amended CodeCitation Text
8209015New CodeSee Bill Text
8209020New CodeSee Bill Text
8209025New CodeSee Bill Text
8209030New CodeSee Bill Text
820905Amended CodeCitation Text
820907New CodeSee Bill Text

Illinois State Sources


Bill Comments

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