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Illinois Continues Making Changes to its Pay Transparency Law

By Debra Milstein Gardner - Apr 19, 2023 2:53:39 PM - 4 MINS READ

HB3129 was the first amendment to the Illinois Equal Pay Act; House Floor Amendment No 1. to HB3129 imposes stricter job posting requirements on employers.

As reported in our blog titled “Illinois Adopts Final Equal Pay Act Certification Regulations,” Illinois adopted final regulations implementing the pay transparency law passed on March 23, 2021.  HB3129 was introduced on February 16, 2023 to amend the Equal Pay Act and is quickly moving through the Illinois House. On March 21, 2023, House Floor Amendment No. 1 to HB3129 was filed and imposes additional requirements on employers. If signed into law, employers with 15 or more employees must include a pay scale in any job posting in Illinois. Employers utilizing third party vendors to announce, post, or publish would also need to include the pay scale information for the position. The bill defines “pay scale and benefits” to mean the “salary or hourly wage range, or the wage or salary range and general description of the benefits and other compensation that the employer reasonably expects to pay for the position.”

Employers would also be required to announce or post to all current employees all job opportunities on the same day that the employer posts the job. Additionally, employers will need to preserve records of the pay scale and benefits information for each position posted.  

The state could impose significant penalties for failure to comply with the bill. If the Illinois Department of Labor identifies a violation, the employer would have seven days upon receipt of the notice to remedy the violation. Failure to remedy the alleged violation could lead to civil penalties of $100 for each day that violation continues after the seven-day notice period. As written, aggrieved employees could bring a civil action against the employer to recover actual damages, special damages not to exceed $10,000, injunctive relief, and reasonable attorneys’ fees. The window for filing a lawsuit is up to five years, and the penalties are dependent upon the size of the employer. In addition, employers with 100 or more employees would be subject to a fine of up to $10,000 for the first violation.  

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The interesting note is that HB3129, in its current state, does not create any requirement for employers to make job postings. If the bill is passed into law, it will join California, Colorado, and New York in requiring employers to publish wage information in job postings. Connecticut, Maryland, Nevada, Rhode Island, and Washington state require disclosure of wage information upon request by an applicant or during a specified point in the interview process.   

As the Illinois legislature has been actively updating their pay transparency laws, OutSolve will continue to monitor future amendments until the bill is passed. Any clients wishing to evaluate their pay practices in advance of a state or federal review may want to evaluate our Pay Equity Analysis Services or other compliance services. OutSolve can be reached at info@outsolve.com or by calling 888-414-2410.    

 

Debra Milstein Gardner

Debra Milstein Gardner has worked in the Equal Employment Opportunity (EEO) and Affirmative Action (AA) space for the past 43 years while working in the public and private sectors in various human resources compliance roles. She began her career working for the Equal Employment Opportunity Commission and then went to the Marriott Corporation for nine years working in EEO, Affirmative Action and field human resource roles. In 1990, Debra founded Workplace Dynamics LLC providing EEO, AA, and DEI consulting services to government contractors. In 2016, Debra sold the affirmative action portion of Workplace Dynamics to OutSolve LLC and works part-time as a Market Analyst. Debra is a sports fanatic, routing for the Baltimore Ravens and all Virginia Tech Hokie teams. She loves to hike and boat in her mountain and lake community of Lake Lure, NC.

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