Illinois 2023-2024 Regular Session

Illinois House Bill HB3898 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3898 Introduced 2/17/2023, by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED: New Act 820 ILCS 105/4 from Ch. 48, par. 1004 Creates the High Roads Kitchen Program Act. Provides that the Department of Labor shall create the High Roads Kitchen Program to recognize restaurants that voluntarily take no allowance for gratuities under the Minimum Wage Law. Provides for program eligibility requirements, benefits, and revocation of certification. Provides that the Department may adopt rules to implement and enforce the program. Amends the Minimum Wage Law. Provides that, from July 1, 2024 through December 31, 2024, the allowance for gratuities to which an employer is entitled for an employee engaged in an occupation in which gratuities have been recognized as part of the remuneration shall not exceed 20% of the applicable minimum wage rate. Provides that, from January 1, 2025 through December 31, 2025, the allowance for gratuities shall not exceed 20% of the applicable minimum wage rate. Provides that, on and after January 1, 2026, an employer shall not be entitled to an allowance for gratuities and shall pay each employee no less than the applicable minimum wage rate. LRB103 25782 SPS 52131 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3898 Introduced 2/17/2023, by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED: New Act 820 ILCS 105/4 from Ch. 48, par. 1004 New Act 820 ILCS 105/4 from Ch. 48, par. 1004 Creates the High Roads Kitchen Program Act. Provides that the Department of Labor shall create the High Roads Kitchen Program to recognize restaurants that voluntarily take no allowance for gratuities under the Minimum Wage Law. Provides for program eligibility requirements, benefits, and revocation of certification. Provides that the Department may adopt rules to implement and enforce the program. Amends the Minimum Wage Law. Provides that, from July 1, 2024 through December 31, 2024, the allowance for gratuities to which an employer is entitled for an employee engaged in an occupation in which gratuities have been recognized as part of the remuneration shall not exceed 20% of the applicable minimum wage rate. Provides that, from January 1, 2025 through December 31, 2025, the allowance for gratuities shall not exceed 20% of the applicable minimum wage rate. Provides that, on and after January 1, 2026, an employer shall not be entitled to an allowance for gratuities and shall pay each employee no less than the applicable minimum wage rate. LRB103 25782 SPS 52131 b LRB103 25782 SPS 52131 b A BILL FOR
2	2	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3898 Introduced 2/17/2023, by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED:
3	3	New Act 820 ILCS 105/4 from Ch. 48, par. 1004 New Act 820 ILCS 105/4 from Ch. 48, par. 1004
4	4	New Act
5	5	820 ILCS 105/4 from Ch. 48, par. 1004
6	6	Creates the High Roads Kitchen Program Act. Provides that the Department of Labor shall create the High Roads Kitchen Program to recognize restaurants that voluntarily take no allowance for gratuities under the Minimum Wage Law. Provides for program eligibility requirements, benefits, and revocation of certification. Provides that the Department may adopt rules to implement and enforce the program. Amends the Minimum Wage Law. Provides that, from July 1, 2024 through December 31, 2024, the allowance for gratuities to which an employer is entitled for an employee engaged in an occupation in which gratuities have been recognized as part of the remuneration shall not exceed 20% of the applicable minimum wage rate. Provides that, from January 1, 2025 through December 31, 2025, the allowance for gratuities shall not exceed 20% of the applicable minimum wage rate. Provides that, on and after January 1, 2026, an employer shall not be entitled to an allowance for gratuities and shall pay each employee no less than the applicable minimum wage rate.
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9	9	A BILL FOR
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12	12	1 AN ACT concerning employment.
13	13	2 Be it enacted by the People of the State of Illinois,
14	14	3 represented in the General Assembly:
15	15	4 Section 1. Short title. This Act may be cited as the High
16	16	5 Roads Kitchen Program Act.
17	17	6 Section 5. High Roads Kitchen Program.
18	18	7 (a) The Department of Labor shall create the High Roads
19	19	8 Kitchen Program to recognize restaurants that voluntarily take
20	20	9 no allowance for gratuities under subsection (c) of Section 4
21	21	10 of the Minimum Wage Law.
22	22	11 (b) To qualify for recognition as a High Road Kitchen
23	23	12 Restaurant under the program, an owner of a restaurant must
24	24	13 certify, on a form created by the Department, that the
25	25	14 restaurant has satisfied the following requirements:
26	26	15 (1) that it takes no allowance for gratuities under
27	27	16 subsection (c) of Section 4 of the Minimum Wage Law;
28	28	17 (2) that all of the restaurant's owners and employees
29	29	18 have completed an equity training program approved by the
30	30	19 Department under Section 10; and
31	31	20 (3) that it has not been found to have violated the
32	32	21 Illinois Wage Payment and Collection Act or the Minimum
33	33	22 Wage Law by the Department or a court within the prior 3
34	34	23 years.
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38	38	103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3898 Introduced 2/17/2023, by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED:
39	39	New Act 820 ILCS 105/4 from Ch. 48, par. 1004 New Act 820 ILCS 105/4 from Ch. 48, par. 1004
40	40	New Act
41	41	820 ILCS 105/4 from Ch. 48, par. 1004
42	42	Creates the High Roads Kitchen Program Act. Provides that the Department of Labor shall create the High Roads Kitchen Program to recognize restaurants that voluntarily take no allowance for gratuities under the Minimum Wage Law. Provides for program eligibility requirements, benefits, and revocation of certification. Provides that the Department may adopt rules to implement and enforce the program. Amends the Minimum Wage Law. Provides that, from July 1, 2024 through December 31, 2024, the allowance for gratuities to which an employer is entitled for an employee engaged in an occupation in which gratuities have been recognized as part of the remuneration shall not exceed 20% of the applicable minimum wage rate. Provides that, from January 1, 2025 through December 31, 2025, the allowance for gratuities shall not exceed 20% of the applicable minimum wage rate. Provides that, on and after January 1, 2026, an employer shall not be entitled to an allowance for gratuities and shall pay each employee no less than the applicable minimum wage rate.
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44	44	LRB103 25782 SPS 52131 b
45	45	A BILL FOR
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51	51	New Act
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71	71	1 Section 10. Equity training program. The Department of
72	72	2 Labor shall approve an equity training program that trains
73	73	3 restaurant owners and employees on how to achieve equity among
74	74	4 employees in the restaurant while maintaining profitability
75	75	5 and eliminating the subminimum wage for workers who have
76	76	6 customarily received gratuities. To develop the content of the
77	77	7 training and provide the training, the Department may work
78	78	8 with non-profit organizations with an established history of
79	79	9 working toward the goal of a full minimum wage plus gratuities
80	80	10 for employees who have customarily received gratuities,
81	81	11 eliminating the subminimum wage for such employees, and with a
82	82	12 history of advancing racial equity in restaurants. The
83	83	13 Director of Labor shall have the authority to approve any
84	84	14 equity training program under this Section and certify any
85	85	15 organization to provide the training that meets the criteria
86	86	16 described in this Section. Under no circumstances may a
87	87	17 restaurant owner charge an employee a fee for participation in
88	88	18 an equity training program.
89	89	19 Section 15. Benefits of program membership. The Department
90	90	20 of Labor shall certify restaurants participating in the High
91	91	21 Roads Kitchen Program that satisfy the requirements described
92	92	22 in subsection (b) of Section 5 and provide those restaurants
93	93	23 with the following benefits:
94	94	24 (1) issuing the owner of a restaurant a certificate
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105	105	1 identifying the restaurant as a certified High Road
106	106	2 Kitchen Restaurant, that may be posted inside of the
107	107	3 restaurant; and
108	108	4 (2) listing the restaurant on its website as a
109	109	5 certified member of the High Road Kitchen Program.
110	110	6 Section 20. Revocation of certification under the program.
111	111	7 (a) Upon a finding that a restaurant certified under this
112	112	8 Act has committed a substantial violation of the Illinois Wage
113	113	9 Payment and Collection Act or the Minimum Wage Law, the
114	114	10 Department of Labor shall revoke the certification as soon as
115	115	11 practicable. Upon written notice of the revocation of its
116	116	12 certification, the restaurant shall be removed from the
117	117	13 Department's website and shall not be permitted to display the
118	118	14 program certification.
119	119	15 (b) The Department shall fine any restaurant that violates
120	120	16 any provision of this Act up to $1,500 per day for each
121	121	17 violation, payable to the Wage Theft Enforcement Fund.
122	122	18 Section 25. Rulemaking. The Department of Labor may adopt
123	123	19 rules to implement and enforce the provisions of this Act.
124	124	20 Section 90. The Minimum Wage Law is amended by changing
125	125	21 Section 4 as follows:
126	126	22 (820 ILCS 105/4) (from Ch. 48, par. 1004)
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137	137	1 Sec. 4. (a)(1) Every employer shall pay to each of his
138	138	2 employees in every occupation wages of not less than $2.30 per
139	139	3 hour or in the case of employees under 18 years of age wages of
140	140	4 not less than $1.95 per hour, except as provided in Sections 5
141	141	5 and 6 of this Act, and on and after January 1, 1984, every
142	142	6 employer shall pay to each of his employees in every
143	143	7 occupation wages of not less than $2.65 per hour or in the case
144	144	8 of employees under 18 years of age wages of not less than $2.25
145	145	9 per hour, and on and after October 1, 1984 every employer shall
146	146	10 pay to each of his employees in every occupation wages of not
147	147	11 less than $3.00 per hour or in the case of employees under 18
148	148	12 years of age wages of not less than $2.55 per hour, and on or
149	149	13 after July 1, 1985 every employer shall pay to each of his
150	150	14 employees in every occupation wages of not less than $3.35 per
151	151	15 hour or in the case of employees under 18 years of age wages of
152	152	16 not less than $2.85 per hour, and from January 1, 2004 through
153	153	17 December 31, 2004 every employer shall pay to each of his or
154	154	18 her employees who is 18 years of age or older in every
155	155	19 occupation wages of not less than $5.50 per hour, and from
156	156	20 January 1, 2005 through June 30, 2007 every employer shall pay
157	157	21 to each of his or her employees who is 18 years of age or older
158	158	22 in every occupation wages of not less than $6.50 per hour, and
159	159	23 from July 1, 2007 through June 30, 2008 every employer shall
160	160	24 pay to each of his or her employees who is 18 years of age or
161	161	25 older in every occupation wages of not less than $7.50 per
162	162	26 hour, and from July 1, 2008 through June 30, 2009 every
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173	173	1 employer shall pay to each of his or her employees who is 18
174	174	2 years of age or older in every occupation wages of not less
175	175	3 than $7.75 per hour, and from July 1, 2009 through June 30,
176	176	4 2010 every employer shall pay to each of his or her employees
177	177	5 who is 18 years of age or older in every occupation wages of
178	178	6 not less than $8.00 per hour, and from July 1, 2010 through
179	179	7 December 31, 2019 every employer shall pay to each of his or
180	180	8 her employees who is 18 years of age or older in every
181	181	9 occupation wages of not less than $8.25 per hour, and from
182	182	10 January 1, 2020 through June 30, 2020, every employer shall
183	183	11 pay to each of his or her employees who is 18 years of age or
184	184	12 older in every occupation wages of not less than $9.25 per
185	185	13 hour, and from July 1, 2020 through December 31, 2020 every
186	186	14 employer shall pay to each of his or her employees who is 18
187	187	15 years of age or older in every occupation wages of not less
188	188	16 than $10 per hour, and from January 1, 2021 through December
189	189	17 31, 2021 every employer shall pay to each of his or her
190	190	18 employees who is 18 years of age or older in every occupation
191	191	19 wages of not less than $11 per hour, and from January 1, 2022
192	192	20 through December 31, 2022 every employer shall pay to each of
193	193	21 his or her employees who is 18 years of age or older in every
194	194	22 occupation wages of not less than $12 per hour, and from
195	195	23 January 1, 2023 through December 31, 2023 every employer shall
196	196	24 pay to each of his or her employees who is 18 years of age or
197	197	25 older in every occupation wages of not less than $13 per hour,
198	198	26 and from January 1, 2024 through December 31, 2024, every
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209	209	1 employer shall pay to each of his or her employees who is 18
210	210	2 years of age or older in every occupation wages of not less
211	211	3 than $14 per hour; and on and after January 1, 2025, every
212	212	4 employer shall pay to each of his or her employees who is 18
213	213	5 years of age or older in every occupation wages of not less
214	214	6 than $15 per hour.
215	215	7 (2) Unless an employee's wages are reduced under Section
216	216	8 6, then in lieu of the rate prescribed in item (1) of this
217	217	9 subsection (a), an employer may pay an employee who is 18 years
218	218	10 of age or older, during the first 90 consecutive calendar days
219	219	11 after the employee is initially employed by the employer, a
220	220	12 wage that is not more than 50 less than the wage prescribed in
221	221	13 item (1) of this subsection (a); however, an employer shall
222	222	14 pay not less than the rate prescribed in item (1) of this
223	223	15 subsection (a) to:
224	224	16 (A) a day or temporary laborer, as defined in Section
225	225	17 5 of the Day and Temporary Labor Services Act, who is 18
226	226	18 years of age or older; and
227	227	19 (B) an employee who is 18 years of age or older and
228	228	20 whose employment is occasional or irregular and requires
229	229	21 not more than 90 days to complete.
230	230	22 (3) At no time on or before December 31, 2019 shall the
231	231	23 wages paid to any employee under 18 years of age be more than
232	232	24 50 less than the wage required to be paid to employees who are
233	233	25 at least 18 years of age under item (1) of this subsection (a).
234	234	26 Beginning on January 1, 2020, every employer shall pay to each
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245	245	1 of his or her employees who is under 18 years of age that has
246	246	2 worked more than 650 hours for the employer during any
247	247	3 calendar year a wage not less than the wage required for
248	248	4 employees who are 18 years of age or older under paragraph (1)
249	249	5 of subsection (a) of Section 4 of this Act. Every employer
250	250	6 shall pay to each of his or her employees who is under 18 years
251	251	7 of age that has not worked more than 650 hours for the employer
252	252	8 during any calendar year: (1) $8 per hour from January 1, 2020
253	253	9 through December 31, 2020; (2) $8.50 per hour from January 1,
254	254	10 2021 through December 31, 2021; (3) $9.25 per hour from
255	255	11 January 1, 2022 through December 31, 2022; (4) $10.50 per hour
256	256	12 from January 1, 2023 through December 31, 2023; (5) $12 per
257	257	13 hour from January 1, 2024 through December 31, 2024; and (6)
258	258	14 $13 per hour on and after January 1, 2025.
259	259	15 (b) No employer shall discriminate between employees on
260	260	16 the basis of sex or mental or physical disability, except as
261	261	17 otherwise provided in this Act by paying wages to employees at
262	262	18 a rate less than the rate at which he pays wages to employees
263	263	19 for the same or substantially similar work on jobs the
264	264	20 performance of which requires equal skill, effort, and
265	265	21 responsibility, and which are performed under similar working
266	266	22 conditions, except where such payment is made pursuant to (1)
267	267	23 a seniority system; (2) a merit system; (3) a system which
268	268	24 measures earnings by quantity or quality of production; or (4)
269	269	25 a differential based on any other factor other than sex or
270	270	26 mental or physical disability, except as otherwise provided in
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281	281	1 this Act.
282	282	2 (c) Every employer of an employee engaged in an occupation
283	283	3 in which gratuities have customarily and usually constituted
284	284	4 and have been recognized as part of the remuneration for hire
285	285	5 purposes is entitled to an allowance for gratuities as part of
286	286	6 the hourly wage rate provided in Section 4, subsection (a) in
287	287	7 an amount not to exceed 40% of the applicable minimum wage rate
288	288	8 through June 30, 2024. From July 1, 2024 through December 31,
289	289	9 2024, such allowance for gratuities shall not exceed 20% of
290	290	10 the applicable minimum wage rate. From January 1, 2024 through
291	291	11 December 31, 2025, such allowance for gratuities shall not
292	292	12 exceed 10% of the applicable minimum wage rate. The Director
293	293	13 shall require each employer desiring an allowance for
294	294	14 gratuities to provide substantial evidence that the amount
295	295	15 claimed, which may not exceed the allowance amount prescribed
296	296	16 in this subsection 40% of the applicable minimum wage rate,
297	297	17 was received by the employee in the period for which the claim
298	298	18 of exemption is made, and no part thereof was returned to the
299	299	19 employer. On and after January 1, 2026, an employer shall not
300	300	20 be entitled to an allowance for gratuities and shall pay each
301	301	21 employee no less than the applicable minimum wage rate. An
302	302	22 employer may not keep any gratuities received by its employees
303	303	23 for any purposes or allow managers or supervisors to keep any
304	304	24 portion of employees' gratuities, regardless of whether or not
305	305	25 the employer takes an allowance for gratuities. Nothing in
306	306	26 this subsection shall be construed to prohibit an otherwise
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317	317	1 valid pooling of gratuities among nonmanagerial and
318	318	2 nonsupervisory employees.
319	319	3 (d) No camp counselor who resides on the premises of a
320	320	4 seasonal camp of an organized not-for-profit corporation shall
321	321	5 be subject to the adult minimum wage if the camp counselor (1)
322	322	6 works 40 or more hours per week, and (2) receives a total
323	323	7 weekly salary of not less than the adult minimum wage for a
324	324	8 40-hour week. If the counselor works less than 40 hours per
325	325	9 week, the counselor shall be paid the minimum hourly wage for
326	326	10 each hour worked. Every employer of a camp counselor under
327	327	11 this subsection is entitled to an allowance for meals and
328	328	12 lodging as part of the hourly wage rate provided in Section 4,
329	329	13 subsection (a), in an amount not to exceed 25% of the minimum
330	330	14 wage rate.
331	331	15 (e) A camp counselor employed at a day camp is not subject
332	332	16 to the adult minimum wage if the camp counselor is paid a
333	333	17 stipend on a onetime or periodic basis and, if the camp
334	334	18 counselor is a minor, the minor's parent, guardian or other
335	335	19 custodian has consented in writing to the terms of payment
336	336	20 before the commencement of such employment.
337	337	21 (Source: P.A. 101-1, eff. 2-19-19.)
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