The Illinois Department of Labor (IDOL) has released its final rules for the state’s Paid Leave for All Workers Act (the Act), which took effect Jan. 1, 2024. The rules address the implementation of varied aspects of the law and include helpful examples. The rules took effect upon publication on April 30, 2024.
The Paid Leave for All Workers Act
The Act requires most Illinois employers to provide their employees with up to 40 hours of paid leave per year for any reason. The Act does not apply in Chicago or other municipalities or counties with a paid leave law in effect on Jan. 1, 2024. (However, it does apply in municipalities that opted out of local paid leave laws.) Certain employees are not covered by the law, but these exceptions are limited.
The Final Rules
The rules expand on a range of topics in the law, such as:
- The limited circumstances under which an employer may deny leave;
- Definitions, including a definition of “employee” that describes required employee connections with the state of Illinois;
- Preexisting employer policies that comply with the Act; and
- Accrual of leave, specifying that accrued work hours must be counted on a minute-to-minute basis, may be rounded up but not down, and must include overtime hours.
The rules also state that if an employee agrees, employers may avoid carryover of the employee’s unused leave by paying it out at the end of the year.
Other notable provisions allow employers to provide accrued leave to some employees and frontloaded leave to others, let employers limit carryover of unused leave to 40 hours, and establish requirements for frontloading leave (including written notice requirements).
Steps for Employers
Employers should familiarize themselves with the new rules and the FAQs posted on IDOL’s website to ensure their policies are compliant.
Important Dates
Jan. 1, 2024
Paid Leave for All Workers Act went into effect.
April 30, 2024
Final rules were published and took effect.
The final rules explain when employers may deny leave.
Material posted on this website is for informational purposes only and does not constitute a legal opinion or medical advice. Contact your legal representative or medical professional for information specific to your legal or medical needs.
