Bill Text: IL SB3208 | 2023-2024 | 103rd General Assembly | Chaptered


Bill Title: Amends the Personnel Record Review Act. Provides that every employer shall, upon an employee's request which the employer may require be in writing on a form supplied by the employer, permit the employee to inspect his or her pay stubs. Amends the Illinois Wage Payment and Collection Act. Provides that employers shall keep records of names and addresses of all employees and of wages paid each payday, and shall furnish each employee with a pay stub for each pay period (rather than shall furnish each employee with an itemized statement of deductions made from the employee's wages for each pay period). Provides that an employer shall maintain a copy of an employee's pay stub for a period of not less than 3 years after the date of payment, whether the pay stub is provided electronically or in paper form, and the employer shall furnish the pay stub to the employee or former employee upon the employee or former employee's request. Provides that an employer who furnishes electronic pay stubs in a manner that is restricted to the employer's current employees must, upon an employee's separation from employment, furnish the employee or former employee with a paper or emailed electronic record of all of the employee's or former employee's pay stubs for up to 3 years prior to the date of separation, in the method specified by the employee or former employee. Provides that an employer who fails to furnish an employee with a pay stub or commits any other violation of this Act, except for specified violations, shall be subject to a civil penalty of $500 per violation payable to the Department of Labor. Defines "pay stub".

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Passed) 2024-08-09 - Public Act . . . . . . . . . 103-0953 [SB3208 Detail]

Download: Illinois-2023-SB3208-Chaptered.html

Public Act 103-0953
SB3208 EnrolledLRB103 37566 SPS 67692 b
AN ACT concerning employment.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Wage Payment and Collection Act is
amended by changing Sections 2, 10, and 14 as follows:
(820 ILCS 115/2) (from Ch. 48, par. 39m-2)
Sec. 2. Definitions. For all employees, other than
separated employees, "wages" shall be defined as any
compensation owed an employee by an employer pursuant to an
employment contract or agreement between the 2 parties,
whether the amount is determined on a time, task, piece, or any
other basis of calculation. Payments to separated employees
shall be termed "final compensation" and shall be defined as
wages, salaries, earned commissions, earned bonuses, and the
monetary equivalent of earned vacation and earned holidays,
and any other compensation owed the employee by the employer
pursuant to an employment contract or agreement between the 2
parties. Where an employer is legally committed through a
collective bargaining agreement or otherwise to make
contributions to an employee benefit, trust or fund on the
basis of a certain amount per hour, day, week or other period
of time, the amount due from the employer to such employee
benefit, trust, or fund shall be defined as "wage
supplements", subject to the wage collection provisions of
this Act.
As used in this Act, the term "employer" shall include any
individual, partnership, association, corporation, limited
liability company, business trust, employment and labor
placement agencies where wage payments are made directly or
indirectly by the agency or business for work undertaken by
employees under hire to a third party pursuant to a contract
between the business or agency with the third party, or any
person or group of persons acting directly or indirectly in
the interest of an employer in relation to an employee, for
which one or more persons is gainfully employed.
As used in this Act, the term "employee" shall include any
individual permitted to work by an employer in an occupation,
but shall not include any individual:
(1) who has been and will continue to be free from
control and direction over the performance of his work,
both under his contract of service with his employer and
in fact; and
(2) who performs work which is either outside the
usual course of business or is performed outside all of
the places of business of the employer unless the employer
is in the business of contracting with third parties for
the placement of employees; and
(3) who is in an independently established trade,
occupation, profession or business.
"Pay stub" means an itemized statement or statements
reflecting an employee's hours worked, rate of pay, overtime
pay and overtime hours worked, gross wages earned, deductions
made from the employee's wages, and the total of wages and
deductions year to date.
The following terms apply to an employer's use of payroll
cards to pay wages to an employee under the requirements of
this Act:
"Payroll card" means a card provided to an employee by an
employer or other payroll card issuer as a means of accessing
the employee's payroll card account.
"Payroll card account" means an account that is directly
or indirectly established through an employer and to which
deposits of a participating employee's wages are made.
"Payroll card issuer" means a bank, financial institution,
or other entity that issues a payroll card to an employee under
an employer payroll card program.
(Source: P.A. 98-862, eff. 1-1-15.)
(820 ILCS 115/10) (from Ch. 48, par. 39m-10)
Sec. 10.
(a) Employers shall notify employees, at the time of
hiring, of the rate of pay and of the time and place of
payment. Whenever possible, such notification shall be in
writing and shall be acknowledged by both parties. Employers
shall also notify employees of any changes in the
arrangements, specified above, prior to the time of change.
(b) Employers shall keep records of names and addresses of
all employees and of wages paid each payday, and shall furnish
each employee with a pay stub an itemized statement of
deductions made from his wages for each pay period.
(c) An employer shall maintain a copy of an employee's pay
stub for a period of not less than 3 years after the date of
payment, regardless of whether the employee's employment ends
during this period, whether the pay stub is furnished
electronically or in paper form.
(d) In addition to furnishing a pay stub for each pay
period as required under subsection (b), an employer shall
furnish copies of pay stubs to current and former employees as
follows:
(1) An employer shall provide an employee with a copy
of the employee's pay stubs upon the employee's request.
The employer may require that the employee submit the
request in writing. The employer shall furnish the copy of
the pay stubs to the employee within 21 calendar days of
the employee's request. An employer is not required to
grant an employee's request for a copy of pay stubs more
than twice in a 12-month period.
(2) An employer shall provide a former employee with a
copy of the former employee's previous pay stubs upon the
former employee's request. The employer shall furnish the
copy of the pay stubs to the former employee within 21
calendar days of the former employee's request. An
employer is not required to grant a former employee's
request for a copy of pay stubs more than twice in a
12-month period or more than one year after the date of
separation. The employer shall provide the copy of the pay
stubs in either a physical or electronic format, as chosen
by the former employee, including a communication that is
transmitted through electronic mail, text message,
computer system, or is otherwise sent and stored
electronically and is capable of being downloaded or
permanently retained by the former employee.
(3) An employer who furnishes electronic pay stubs in
a manner that a former employee cannot access for at least
a full year after separation shall, upon an employee's
separation from employment, offer to provide the outgoing
employee with a record of all of the outgoing employee's
pay stubs from the year preceding the date of separation.
The offer shall be made to the outgoing employee by the end
of the outgoing employee's final pay period. An employer
shall record in writing the date on which this offer was
made to the outgoing employee and if and how the outgoing
employee responded.
(4) A request made by an employee or former employee
under this Section shall be made to a person responsible
for maintaining the employer's payroll, including the
employer's human resources department or payroll
department, the employee's supervisor or department
manager, or an individual designated in the employer's
written policy.
(e) Every employer shall post and keep posted at each
regular place of business in a position easily accessible to
all employees one or more notices indicating the regular
paydays and the place and time for payment of his employees,
and on forms supplied from time to time by the Department of
Labor containing a copy or summary of the provisions of this
Act.
(Source: P.A. 81-593.)
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