P.A. 103-0539 (HB 3129) (Rep. Canty, Sen. Pacione-Zayas)—EQUAL PAY ACT – PAY SCALE

Provides that it is unlawful for an employer with 15 or more employees to fail to include the pay scale for a position in any job posting.  Provides that if an employer engages a third party to announce, post, publish or otherwise make known a job posting, the employer shall provide the pay scale and benefits, or a hyperlink to the pay scale and benefits, to the third party and the third party shall include the pay scale and benefits, or a hyperlink to the pay scale and benefits, in the job posting. IML was neutral on the legislation.  Effective January 1, 2025.

The amendment provides language that Replaces everything after the enacting clause. Reinserts the provisions of the introduced bill with the following changes: Further amends the Equal Pay Act of 2003. Provides that an employer shall be liable for a third party’s failure to include the pay scale and benefits in a job posting. Provides that an employer shall announce, post, or otherwise make known all opportunities for promotion to all current employees no later than the same calendar day that the employer makes an external job posting for the position. Provides that an employer shall make and preserve records that document the pay scale and benefits for a position. Provides that the Department of Labor may initiate investigations of alleged violations of provisions concerning disclosing a pay scale in job postings. Provides that, if the Department determines that a violation occurred, the employer shall have 7 days upon receipt of notice of a violation from the Department to remedy the violation. Provides that the employer shall demonstrate to the Department that the violation has been remedied or the employer shall be subject to a civil penalty of $100 per day for each day that a violation continues after the 7-day notice period. Effective January 1, 2024 (rather than effective immediately).

Read the complete amendment here:  https://ilga.gov/legislation/BillStatus.asp?GA=103&SessionID=112&DocTypeID=HB&DocNum=3129

The Equal Pay Act Reporting Requirements in Illinois originally began on March 24, 2022 for Large Illinois Businesses.  Large businesses are defined as employers with 100 or more employees in Illinois during the reporting period. However, due to the COVID-19 pandemic, this requirement was delayed until January 1, 2023.

Illinois is taking a proactive stance in combating pay discrimination through the T-Pay Scale law. This legislation requires employers with 15 or more employees to include the pay scale for a position in any job posting. This means that potential applicants will have access to information about the salary range for a particular position before even applying.

The law also extends to third party job postings by requiring employers to provide the pay scale and benefits information to these platforms. This ensures transparency and equal opportunity for all job seekers.