Illinois: Employment Agencies Jointly Liable for Violations of State Minimum Wage Law and Wage Payment and Collection Act

Law Effective January 1, 2016

Staffing ImageUnder a new law effective January 1, 2016, employment agencies are jointly liable for violations of the state Minimum Wage Law and Wage Payment and Collection Act.

Background
The minimum wage in Illinois is $8.25 per hour for those individuals who are 18 years and older. Employees who do not receive tips may be paid $7.75 for the first 90 days with an employer. Those under 18 years of age may be paid at the rate of $7.75 per hour. Covered non-exempt employees are entitled to pay at time and one half their regular rates of pay if they worked over 40 hours in a workweek.

The state Wage Payment and Collection Act establishes when, where, and how often wages must be paid and prohibits deductions from wages or final compensation without the employee’s consent.
HR-Graphic
New Law
It is a violation of the new law for an employment agency to:

  • Refer an individual for employment at a wage rate less than that established by the Illinois Minimum Wage Law (§ 4), or to facilitate underpayment of wages by an employer in any manner. An employment agency that knowingly refers an individual for employment at less than the minimum wage that results in underpayment to an employee is jointly liable for statutory damages.
  • Facilitate illegal deductions from wages or nonpayment of wages by an employer in violation of the Wage Payment and Collection Act. An employment agency that facilitates illegal deduction of wages or nonpayment of wages is jointly liable for statutory damages.

Click here to read the text of the law (§ 12.3).

For more information on other state laws specific to Illinois, visit the State Laws section, click on Illinois, and choose your topic of interest from the left-hand navigation menu.

ORIGINALLY POSTED BY WWW.HR360.COM

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s