103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB2981

 

Introduced 2/16/2023, by Rep. Amy Elik

 

SYNOPSIS AS INTRODUCED:
 
820 ILCS 112/10
820 ILCS 112/30

    Amends the Equal Pay Act of 2003. Provides that it is unlawful for an employer to compel or coerce a job applicant to purchase anything of value, including, but not limited to, instances where an employer requires the payment of a fee or consideration of any type from a job applicant for employment. Makes conforming changes to provisions concerning violations of the Act and fines and penalties.


LRB103 04793 SPS 49803 b

 

 

A BILL FOR

 

HB2981LRB103 04793 SPS 49803 b

1    AN ACT concerning employment.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Equal Pay Act of 2003 is amended by changing
5Section 10 and 30 as follows:
 
6    (820 ILCS 112/10)
7    Sec. 10. Prohibited acts.
8    (a) No employer may discriminate between employees on the
9basis of sex by paying wages to an employee at a rate less than
10the rate at which the employer pays wages to another employee
11of the opposite sex for the same or substantially similar work
12on jobs the performance of which requires substantially
13similar skill, effort, and responsibility, and which are
14performed under similar working conditions, except where the
15payment is made under:
16        (1) a seniority system;
17        (2) a merit system;
18        (3) a system that measures earnings by quantity or
19    quality of production; or
20        (4) a differential based on any other factor other
21    than: (i) sex or (ii) a factor that would constitute
22    unlawful discrimination under the Illinois Human Rights
23    Act, provided that the factor:

 

 

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1            (A) is not based on or derived from a differential
2        in compensation based on sex or another protected
3        characteristic;
4            (B) is job-related with respect to the position
5        and consistent with a business necessity; and
6            (C) accounts for the differential.
7    No employer may discriminate between employees by paying
8wages to an African-American employee at a rate less than the
9rate at which the employer pays wages to another employee who
10is not African-American for the same or substantially similar
11work on jobs the performance of which requires substantially
12similar skill, effort, and responsibility, and which are
13performed under similar working conditions, except where the
14payment is made under:
15        (1) a seniority system;
16        (2) a merit system;
17        (3) a system that measures earnings by quantity or
18    quality of production; or
19        (4) a differential based on any other factor other
20    than: (i) race or (ii) a factor that would constitute
21    unlawful discrimination under the Illinois Human Rights
22    Act, provided that the factor:
23            (A) is not based on or derived from a differential
24        in compensation based on race or another protected
25        characteristic;
26            (B) is job-related with respect to the position

 

 

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1        and consistent with a business necessity; and
2            (C) accounts for the differential.
3    An employer who is paying wages in violation of this Act
4may not, to comply with this Act, reduce the wages of any other
5employee.
6    Nothing in this Act may be construed to require an
7employer to pay, to any employee at a workplace in a particular
8county, wages that are equal to the wages paid by that employer
9at a workplace in another county to employees in jobs the
10performance of which requires equal skill, effort, and
11responsibility, and which are performed under similar working
12conditions.
13    (b) It is unlawful for any employer to interfere with,
14restrain, or deny the exercise of or the attempt to exercise
15any right provided under this Act. It is unlawful for any
16employer to discharge or in any other manner discriminate
17against any individual for inquiring about, disclosing,
18comparing, or otherwise discussing the employee's wages or the
19wages of any other employee, or aiding or encouraging any
20person to exercise his or her rights under this Act. It is
21unlawful for an employer to require an employee to sign a
22contract or waiver that would prohibit the employee from
23disclosing or discussing information about the employee's
24wages, salary, benefits, or other compensation. An employer
25may, however, prohibit a human resources employee, a
26supervisor, or any other employee whose job responsibilities

 

 

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1require or allow access to other employees' wage or salary
2information from disclosing that information without prior
3written consent from the employee whose information is sought
4or requested.
5    (b-5) It is unlawful for an employer or employment agency,
6or employee or agent thereof, to (1) screen job applicants
7based on their current or prior wages or salary histories,
8including benefits or other compensation, by requiring that
9the wage or salary history of an applicant satisfy minimum or
10maximum criteria, (2) request or require a wage or salary
11history as a condition of being considered for employment, as
12a condition of being interviewed, as a condition of continuing
13to be considered for an offer of employment, as a condition of
14an offer of employment or an offer of compensation, or (3)
15request or require that an applicant disclose wage or salary
16history as a condition of employment.
17    (b-10) It is unlawful for an employer to seek the wage or
18salary history, including benefits or other compensation, of a
19job applicant from any current or former employer. This
20subsection (b-10) does not apply if:
21        (1) the job applicant's wage or salary history is a
22    matter of public record under the Freedom of Information
23    Act, or any other equivalent State or federal law, or is
24    contained in a document completed by the job applicant's
25    current or former employer and then made available to the
26    public by the employer, or submitted or posted by the

 

 

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1    employer to comply with State or federal law; or
2        (2) the job applicant is a current employee and is
3    applying for a position with the same current employer.
4    (b-15) Nothing in subsections (b-5) and (b-10) shall be
5construed to prevent an employer or employment agency, or an
6employee or agent thereof, from:
7        (1) providing information about the wages, benefits,
8    compensation, or salary offered in relation to a position;
9    or
10        (2) engaging in discussions with an applicant for
11    employment about the applicant's expectations with respect
12    to wage or salary, benefits, and other compensation,
13    including unvested equity or deferred compensation that
14    the applicant would forfeit or have canceled by virtue of
15    the applicant's resignation from the applicant's current
16    employer. If, during such discussion, the applicant
17    voluntarily and without prompting discloses that the
18    applicant would forfeit or have canceled by virtue of the
19    applicant's resignation from the applicant's current
20    employer unvested equity or deferred compensation, an
21    employer may request the applicant to verify the aggregate
22    amount of such compensation by submitting a letter or
23    document stating the aggregate amount of the unvested
24    equity or deferred compensation from, at the applicant's
25    choice, one of the following: (1) the applicant's current
26    employer or (2) the business entity that administers the

 

 

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1    funds that constitute the unvested equity or deferred
2    compensation.
3    (b-20) An employer is not in violation of subsections
4(b-5) and (b-10) when a job applicant voluntarily and without
5prompting discloses his or her current or prior wage or salary
6history, including benefits or other compensation, on the
7condition that the employer does not consider or rely on the
8voluntary disclosures as a factor in determining whether to
9offer a job applicant employment, in making an offer of
10compensation, or in determining future wages, salary,
11benefits, or other compensation.
12    (b-25) It is unlawful for an employer to compel or coerce a
13job applicant to purchase anything of value, including, but
14not limited to, instances where an employer requires the
15payment of a fee or consideration of any type from a job
16applicant for employment for any of the following purposes:
17        (1) for a job applicant to apply for employment orally
18    or in writing;
19        (2) for a job applicant to receive, obtain, complete,
20    or submit an application for employment; or
21        (3) for an employer to provide, accept, or process an
22    application for employment.
23    (c) It is unlawful for any person to discharge or in any
24other manner discriminate against any individual because the
25individual:
26        (1) has filed any charge or has instituted or caused

 

 

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1    to be instituted any proceeding under or related to this
2    Act;
3        (2) has given, or is about to give, any information in
4    connection with any inquiry or proceeding relating to any
5    right provided under this Act;
6        (3) has testified, or is about to testify, in any
7    inquiry or proceeding relating to any right provided under
8    this Act; or
9        (4) fails to comply with any wage or salary history
10    inquiry.
11(Source: P.A. 101-177, eff. 9-29-19; 102-277, eff. 1-1-22.)
 
12    (820 ILCS 112/30)
13    Sec. 30. Violations; fines and penalties.
14    (a) If an employee is paid by his or her employer less than
15the wage to which he or she is entitled in violation of Section
1610 or 11 of this Act, the employee may recover in a civil
17action the entire amount of any underpayment together with
18interest, compensatory damages if the employee demonstrates
19that the employer acted with malice or reckless indifference,
20punitive damages as may be appropriate, injunctive relief as
21may be appropriate, and the costs and reasonable attorney's
22fees as may be allowed by the court and as necessary to make
23the employee whole. At the request of the employee or on a
24motion of the Director, the Department may make an assignment
25of the wage claim in trust for the assigning employee and may

 

 

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1bring any legal action necessary to collect the claim, and the
2employer shall be required to pay the costs incurred in
3collecting the claim. Every such action shall be brought
4within 5 years from the date of the underpayment. For purposes
5of this Act, "date of the underpayment" means each time wages
6are underpaid.
7    (a-5) If an employer violates subsection (b), (b-5),
8(b-10), or (b-20), or (b-25) of Section 10, the employee may
9recover in a civil action any damages incurred, special
10damages not to exceed $10,000, injunctive relief as may be
11appropriate, and costs and reasonable attorney's fees as may
12be allowed by the court and as necessary to make the employee
13whole. If special damages are available, an employee may
14recover compensatory damages only to the extent such damages
15exceed the amount of special damages. Such action shall be
16brought within 5 years from the date of the violation.
17    (b) The Director is authorized to supervise the payment of
18the unpaid wages under subsection (a) or damages under
19subsection (b), (b-5), (b-10), or (b-20), or (b-25) of Section
2010 owing to any employee or employees under this Act and may
21bring any legal action necessary to recover the amount of
22unpaid wages, damages, and penalties or to seek injunctive
23relief, and the employer shall be required to pay the costs.
24Any sums recovered by the Director on behalf of an employee
25under this Section shall be paid to the employee or employees
26affected.

 

 

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1    (c) Employers who violate any provision of this Act or any
2rule adopted under the Act are subject to a civil penalty for
3each employee affected as follows:
4        (1) An employer with fewer than 4 employees: first
5    offense, a fine not to exceed $500; second offense, a fine
6    not to exceed $2,500; third or subsequent offense, a fine
7    not to exceed $5,000.
8        (2) An employer with between 4 and 99 employees: first
9    offense, a fine not to exceed $2,500; second offense, a
10    fine not to exceed $3,000; third or subsequent offense, a
11    fine not to exceed $5,000.
12        (3) An employer with 100 or more employees who
13    violates any Section of this Act except for Section 11
14    shall be fined up to $10,000 per employee affected. An
15    employer with 100 or more employees that is a business as
16    defined under Section 11 and commits a violation of
17    Section 11 shall be fined up to $10,000.
18    Before any imposition of a penalty under this subsection,
19an employer with 100 or more employees who violates item (b) of
20Section 11 and inadvertently fails to file an initial
21application or recertification shall be provided 30 calendar
22days by the Department to submit the application or
23recertification.
24    An employer or person who violates subsection (b), (b-5),
25(b-10), (b-20), or (c) of Section 10 is subject to a civil
26penalty not to exceed $5,000 for each violation for each

 

 

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1employee affected.
2    (d) In determining the amount of the penalty, the
3appropriateness of the penalty to the size of the business of
4the employer charged and the gravity of the violation shall be
5considered. The penalty may be recovered in a civil action
6brought by the Director in any circuit court.
7(Source: P.A. 101-177, eff. 9-29-19; 102-36, eff. 6-25-21.)