News

Bulletin for Day and Temporary Labor Service Agencies
 
08/26/2024 03:23 PM

Dear IDTLSA Licensees:

Please be advised that the Illinois General Assembly has made changes to the Illinois Day and Temporary Labor Services Act (820 ILCS 175). These changes are effective immediately, as of August 9, 2024. You are encouraged to read the bill and consult your legal counsel regarding your obligations under the law.

Some of the highlights regarding new and updated provisions establish the following:

  • Requires Agencies to provide an application receipt to any laborer who applies for a job through them but is not assigned to a job. The Illinois Department of Labor (IDOL) will add a sample application receipt to our website in the coming days;
  • Establishes that Agencies must inform laborers if the site where they are being sent to is currently experiencing a strike, lockout, picket, bannering, hand billing, or other work stoppage due to a labor dispute involving any controversy concerning wages, hours, terms, or conditions of employment; and, if so, laborers have the right to refuse the assignment to that worksite without prejudice to receiving another assignment; and
  • Regarding the existing “equal pay after 90 days*” provision of the law, there have been changes:

This requirement is now applicable after “720 hours worked” by the laborer instead of “90 days of assignment” and counts work performed on or after April 1, 2024.

Method 1: The temporary worker must be paid at least the rate of the user client’s lowest paid directly hired FLSA non-exempt similarly situated regular employee with the same or substantially similar seniority to the temporary worker (and, if that person doesn’t exist – then the lowest paid directly hired FLSA non-exempt employee of the user client with the closest level of seniority to the temporary worker); or

Method 2: The temporary worker must be paid not less than the median base hourly rate, or hourly equivalent if paid on a salary basis, of workers working in the same or a substantially similar job classification, as reflected in the detail level of the most recent Standard Occupational Classification System published by the United States Department of Labor's Bureau of Labor Statistics, in the same metropolitan area or non-metropolitan area of Illinois where the work is performed, as reflected in the most recent Occupational Employment and Wage Statistics Survey. 

In the coming months, the Department will also work on Rules to further implement these changes. Please visit the IDOL website at https://labor.illinois.gov/laws-rules/fls/day-temporary-labor.html for more information.

*NOTE: The “equal benefits” part of the law remains enjoined by the courts and is not currently being enforced by the Department.

Reference
Megan Zeller, PHR, SHRM-CP
 
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