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By: Deanna L. Litzenburg

On March 13, 2023, Governor J. B. Pritzker signed into law SB208, the Paid Leave for All Workers Act (the “Act”). The Act will require most employers in Illinois to provide covered employees with at least five days of paid leave per year. The Act becomes effective January 1, 2024.

The Act requires employers to provide their employees with at least 40 hours of paid leave per year that the employee can take “for any purpose.” Employees can choose to use the paid leave under this Act prior to using any other leave provided by the employer. The Act forbids employers from requiring employees to document the need for the leave.

Paid leave under the Act accrues at the rate of one hour of paid leave for every 40 hours worked up to a minimum of 40 hours of paid leave or such greater amount if the employer provides more than 40 hours. Employees can begin using their accrued leave 90 days following commencement of their employment or 90 days following the effective date of the Act, whichever is later. Employers that provide the minimum number of paid leave hours to an employee on the first day of employment or the first day of the 12-month period are not required to carry over unused paid leave from one 12-month period to the next 12-month period and may require that employees use all paid leave or lose it. Upon separation of employment, employers are not required to pay employees for paid leave accrued but not used.

Employers may set a reasonable minimum increment for the use of paid leave not to exceed two hours per day. Employers can also adopt reasonable policy notification requirements.

The Act also includes notice and recordkeeping requirements.

An employer who violates the Act shall be subject to a civil penalty of up to $2,500 for each separate offense.

Each Illinois employer should review their current time off and leave policies to make sure that they are in compliance with the Act prior to January 1, 2024. If you have any questions regarding the Act or your current time off and leave policies, please contact one of our attorneys. 

Professional Services Disclaimer: Please note that the information presented here is as an educational service, and while it contains information about legal issues, it is not legal advice. No warranty is made regarding the applicability of the information presented to a particular client situation, and the information set forth is not a substitute for original legal research, analysis and drafting for a particular client situation.