You may need to notify current employees of job openings and how much they pay
SPRINGFIELD – Illinois businesses with 15 employees or more will need to make known to all current employees promotion opportunities and the pay scale if House Bill 3129 becomes law.
The measure – as of May 12, 2023 – is awaiting concurrence in the Illinois House after changes were made in the Illinois Senate earlier this week. If concurred in the House, it will go to Governor Pritzker’s desk for signature.
What HB 3129 does
The wording of HB 3129, which needs concurrence in the Illinois House to changes made in the Illinois Senate:
- 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.
- Will go into effect January 1, 2025.
The bill’s notification requirements will apply to positions that are performed physically in Illinois or which will be accountable to supervisors located in Illinois.
The human resource agency information website SHRM.org explains how expensive ignoring the amendment to the Illinois Equal Pay Act of 2003 could be for Illinois employers:
If passed, the bill would grant the Illinois Department of Labor authority to initiate investigations into alleged violations of the newly amended subsections of the act. If the Illinois Department of Labor determines a violation has occurred, the employer would have seven days to remedy the violation upon receiving notice of the violation.
If the employer does not demonstrate that the violation has been remedied, the employer would be subject to a civil penalty of $100 per day for each day that a violation continues following the seven-day notice period. Each job posting that fails to comply with the act would be deemed a separate violation.
Who supports and who opposes the proposal
The measure’s 105 organizational opponents included the Technology & Manufacturing Association and several members, the Illinois Restaurant Merchants Association, Associated Builders and Contractors, the Illinois Chamber of Commerce and several Illinois municipalities.
The 80 proponent groups and individuals included the Service Employees International Unions, AFCSME Council 31, Local 150 of Operating Engineers, as well as the Illinois AFL-CIO.
However, the Democrat majority in both chambers, easily passed the measure along party lines.
The bill was introduced and led by House Sponsors Rep. Mary Beth Canty – Anna Moeller – Janet Yang Rohr – Marcus C. Evans, Jr., Martin J. Moylan, Michael J. Kelly, Carol Ammons, Kelly M. Cassidy, Dagmara Avelar, Will Guzzardi, Theresa Mah, Hoan Huynh, Edgar Gonzalez, Jr., Sonya M. Harper, Mary E. Flowers and Camille Y. Lilly.
It was led in the Illinois Senate by sponsors Sen. Cristina H. Pacione-Zayas – Ann Gillespie – Ram Villivalam – Celina Villanueva – Robert Peters, Mary Edly-Allen, Rachel Ventura, Mike Simmons and Javier L. Cervantes.
What’s next with HB 3129
After final consideration of HB 3129 in the Illinois House, the measure could proceed to Governor J.B. Pritzker’s desk. Observers agree that the governor is very likely to sign the bill into law – which would go into effect (if he does) January 1, 2025.
By TMANews.com editor Fran Eaton