The Government Severance Pay Act (P.A. 100-895) has implications of severely limiting the ability of public employers to negotiate severance packages and reduce litigation risks. The new law, which was signed on August 14, 2018, by the Governor and which is effective January 1, 2019, requires that any covered unit of government that enters into or renews a contract or employment agreement must include the provisions in the contract which restrict severance pay to no more than 20 weeks of compensation and restrict the availability of severance payment at all if the employee is terminated for “misconduct.”
We address issues, cases and matters of statutory and regulatory compliance of employment law that can impact a business' growth and profitability.
A slew of new laws went into effect on January 1 in Illinois. Below are key labor and employment laws: SB3163 creates the Illinois Freedom to Work Act providing that no employer may enter into a covenant not to compete with any low-wage employee. Low-wage employee is defined as a wage earner making the greater of the applicable minimum wage or $13.00 per hour. HB3554 directs the Illinois Department of Labor to search for employees who have been harmed by unpaid wages so they may recover what they are owed.
It is becoming increasingly difficult for Illinois employers to keep up with the numerous Illinois leave laws. Here is one you may not know about – The Illinois’ Employee Blood Donation Leave Act. There is no corresponding federal law.
While the federal minimum wage remains unchanged at $7.55 per hour, both “red” and “blue” states continue to increase the required minimum wage rate under state law above the federal minimum wage rate on an increasing basis. As we previously reported, the minimum wage for Missouri employers increased on January 1, 2015 to $7.65 per hour. While there were efforts by the Illinois legislation to increase the state minimum wage rate to over $10.00 per hour in 2015, it was unable to pass both houses.
Title VII of the Civil Rights Act prohibits covered employers from making employment decisions based on an individual’s sex/gender. This year, the Equal Employment Opportunity Commission (EEOC), Department of Labor (DOL) and President Obama continued the ongoing efforts to expand employment protection to transgender workers.