Illinois Department of Labor Illinois Wage Payment and Collection Act (820 ILCS 115/1-16)
Illinois Department of Labor What the Act provides The Act provides three basic areas of protection to workers: Regulates the time of payment of wages, requires employers to pay by certain dates Prohibits unilateral/illegal deductions, cannot take money from your pay check Establishes requirements for final compensation, what you are entitled to at termination
Illinois Department of Labor All wages must be paid within: 13 days if paid bi-weekly or semi- monthly 7 days if weekly pay 24 hours if paid daily Wages of Executive, Administrative, and Professional employees as defined in FLSA may be paid monthly
Illinois Department of Labor Payments Must be in lawful money, check or cash – redeemable without discount Cannot require direct deposit Statement of deductions is required
Illinois Department of Labor Deductions prohibited All unilateral or unauthorized deductions are prohibited unless: * required by law, example taxes * to the benefit of the employee, union due, health insurance * voluntary written consent of the employee at the time the deduction is being made
Illinois Department of Labor Not allowed to deduct for: - damages - shortages - breakage - failure to return employer property,etc.
Illinois Department of Labor Final compensation Required at next regular pay day; not on day of exit Must calculate all earnings including pro rata vacation, commission and bonus Must make check available to separated employee for five days If employee fails to pickup upon scheduled pay day, then demands after the five day limit, employer has additional five days to re-issue
Illinois Department of Labor All Claims are filed in writing by individual employee information is shared through the mail with employer If employer pays, file is closed
Illinois Department of Labor Claims continued: Employer responds in dispute or disagreement, – file reviewed and a copy sent to the claimant – one of three things occur: – case is dismissed – case is set for hearing – automatic demand for payment is issued
Illinois Department of Labor Claims cont. If Claimant does not respond to employer’s disagreement statements: the case is dismissed! Important to let the agency know your correct address
Illinois Department of Labor If necessary: Informal Hearing is conducted. Case is dismissed or, Employer is demanded to pay. If employer fails to pay – case is referred to Attorney General, or – case is closed.
Illinois Department of Labor Call: For information