103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3650 Introduced 2/9/2024, by Sen. Robert Peters SYNOPSIS AS INTRODUCED: 820 ILCS 175/5820 ILCS 175/10820 ILCS 175/11820 ILCS 175/42820 ILCS 175/85 Amends the Day and Temporary Labor Services Act. Provides that, if an applicant seeks a work assignment as a day or temporary laborer with a day and temporary labor service agency, including in-person, online or through an app-based system, and is not placed with a third party client or otherwise contracted to work for that day by the day and temporary labor service agency, the day and temporary labor service agency shall provide the applicant with a confirmation that the applicant sought work that satisfies specified criteria. Sets forth compensation requirements for day or temporary laborers based on directly hired comparative employees of a third party. Provides that it shall be the responsibility and duty of a day and temporary labor service agency to calculate and determine the hourly rate of pay and the benefits it shall offer to a day or temporary laborer, including any cash equivalents. Makes changes in provisions concerning the right to refuse assignments due to a labor dispute and the duties of third party clients. Defines terms. LRB103 38728 SPS 68865 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3650 Introduced 2/9/2024, by Sen. Robert Peters SYNOPSIS AS INTRODUCED: 820 ILCS 175/5820 ILCS 175/10820 ILCS 175/11820 ILCS 175/42820 ILCS 175/85 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 Amends the Day and Temporary Labor Services Act. Provides that, if an applicant seeks a work assignment as a day or temporary laborer with a day and temporary labor service agency, including in-person, online or through an app-based system, and is not placed with a third party client or otherwise contracted to work for that day by the day and temporary labor service agency, the day and temporary labor service agency shall provide the applicant with a confirmation that the applicant sought work that satisfies specified criteria. Sets forth compensation requirements for day or temporary laborers based on directly hired comparative employees of a third party. Provides that it shall be the responsibility and duty of a day and temporary labor service agency to calculate and determine the hourly rate of pay and the benefits it shall offer to a day or temporary laborer, including any cash equivalents. Makes changes in provisions concerning the right to refuse assignments due to a labor dispute and the duties of third party clients. Defines terms. LRB103 38728 SPS 68865 b LRB103 38728 SPS 68865 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3650 Introduced 2/9/2024, by Sen. Robert Peters SYNOPSIS AS INTRODUCED: 820 ILCS 175/5820 ILCS 175/10820 ILCS 175/11820 ILCS 175/42820 ILCS 175/85 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 Amends the Day and Temporary Labor Services Act. Provides that, if an applicant seeks a work assignment as a day or temporary laborer with a day and temporary labor service agency, including in-person, online or through an app-based system, and is not placed with a third party client or otherwise contracted to work for that day by the day and temporary labor service agency, the day and temporary labor service agency shall provide the applicant with a confirmation that the applicant sought work that satisfies specified criteria. Sets forth compensation requirements for day or temporary laborers based on directly hired comparative employees of a third party. Provides that it shall be the responsibility and duty of a day and temporary labor service agency to calculate and determine the hourly rate of pay and the benefits it shall offer to a day or temporary laborer, including any cash equivalents. Makes changes in provisions concerning the right to refuse assignments due to a labor dispute and the duties of third party clients. Defines terms. LRB103 38728 SPS 68865 b LRB103 38728 SPS 68865 b LRB103 38728 SPS 68865 b A BILL FOR SB3650LRB103 38728 SPS 68865 b SB3650 LRB103 38728 SPS 68865 b SB3650 LRB103 38728 SPS 68865 b 1 AN ACT concerning employment. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Day and Temporary Labor Services Act is 5 amended by changing Sections 5, 10, 11, 42, and 85 as follows: 6 (820 ILCS 175/5) 7 Sec. 5. Definitions. As used in this Act: 8 "Day or temporary laborer" means a natural person who 9 contracts for employment with a day and temporary labor 10 service agency. 11 "Day and temporary labor" means work performed by a day or 12 temporary laborer at a third party client, the duration of 13 which may be specific or undefined, pursuant to a contract or 14 understanding between the day and temporary labor service 15 agency and the third party client. "Day and temporary labor" 16 does not include labor or employment of a professional or 17 clerical nature. 18 "Day and temporary labor service agency" means any person 19 or entity engaged in the business of employing day or 20 temporary laborers to provide services, for a fee, to or for 21 any third party client pursuant to a contract with the day and 22 temporary labor service agency and the third party client. 23 "Department" means the Department of Labor. 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 SB3650 Introduced 2/9/2024, by Sen. Robert Peters SYNOPSIS AS INTRODUCED: 820 ILCS 175/5820 ILCS 175/10820 ILCS 175/11820 ILCS 175/42820 ILCS 175/85 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 Amends the Day and Temporary Labor Services Act. Provides that, if an applicant seeks a work assignment as a day or temporary laborer with a day and temporary labor service agency, including in-person, online or through an app-based system, and is not placed with a third party client or otherwise contracted to work for that day by the day and temporary labor service agency, the day and temporary labor service agency shall provide the applicant with a confirmation that the applicant sought work that satisfies specified criteria. Sets forth compensation requirements for day or temporary laborers based on directly hired comparative employees of a third party. Provides that it shall be the responsibility and duty of a day and temporary labor service agency to calculate and determine the hourly rate of pay and the benefits it shall offer to a day or temporary laborer, including any cash equivalents. Makes changes in provisions concerning the right to refuse assignments due to a labor dispute and the duties of third party clients. Defines terms. LRB103 38728 SPS 68865 b LRB103 38728 SPS 68865 b LRB103 38728 SPS 68865 b A BILL FOR 820 ILCS 175/5 820 ILCS 175/10 820 ILCS 175/11 820 ILCS 175/42 820 ILCS 175/85 LRB103 38728 SPS 68865 b SB3650 LRB103 38728 SPS 68865 b SB3650- 2 -LRB103 38728 SPS 68865 b SB3650 - 2 - LRB103 38728 SPS 68865 b SB3650 - 2 - LRB103 38728 SPS 68865 b 1 "Labor dispute" means any controversy concerning wages, 2 hours, terms, or conditions of employment. 3 "Interested party" means an organization that monitors or 4 is attentive to compliance with public or worker safety laws, 5 wage and hour requirements, or other statutory requirements. 6 "Third party client" means any person that contracts with 7 a day and temporary labor service agency for obtaining day or 8 temporary laborers. 9 "Person" means every natural person, firm, partnership, 10 co-partnership, limited liability company, corporation, 11 association, business trust, or other legal entity, or its 12 legal representatives, agents, or assigns. 13 (Source: P.A. 103-437, eff. 8-4-23.) 14 (820 ILCS 175/10) 15 Sec. 10. Employment notice and application receipt. 16 Notice. 17 (a) Employment notice. Whenever a day and temporary labor 18 service agency agrees to send one or more persons to work as 19 day or temporary laborers, the day and temporary labor service 20 agency shall provide to each day or temporary laborer, at the 21 time of dispatch, a statement containing the following items 22 on a form approved by the Department: 23 (1) the name of the day or temporary laborer; 24 (2) the name and nature of the work to be performed and 25 the types of equipment, protective clothing, and training SB3650 - 2 - LRB103 38728 SPS 68865 b SB3650- 3 -LRB103 38728 SPS 68865 b SB3650 - 3 - LRB103 38728 SPS 68865 b SB3650 - 3 - LRB103 38728 SPS 68865 b 1 that are required for the task; 2 (3) the wages offered; 3 (4) the name and address of the destination of each 4 day or temporary laborer; 5 (5) terms of transportation; and 6 (6) whether a meal or equipment, or both, are 7 provided, either by the day and temporary labor service 8 agency or the third party client, and the cost of the meal 9 and equipment, if any. 10 If a day or temporary laborer is assigned to the same 11 assignment for more than one day, the day and temporary labor 12 service agency is required to provide the employment notice 13 only on the first day of the assignment and on any day that any 14 of the terms listed on the employment notice are changed. 15 If the day or temporary laborer is not placed with a third 16 party client or otherwise contracted to work for that day, the 17 day and temporary labor service agency shall, upon request, 18 provide the day and temporary laborer with a confirmation that 19 the day or temporary laborer sought work, signed by an 20 employee of the day and temporary labor service agency, which 21 shall include the name of the agency, the name and address of 22 the day or temporary laborer, and the date and the time that 23 the day or temporary laborer receives the confirmation. 24 (b) (Blank). No day and temporary labor service agency 25 may send any day or temporary laborer to any place where a 26 strike, a lockout, or other labor trouble exists. SB3650 - 3 - LRB103 38728 SPS 68865 b SB3650- 4 -LRB103 38728 SPS 68865 b SB3650 - 4 - LRB103 38728 SPS 68865 b SB3650 - 4 - LRB103 38728 SPS 68865 b 1 (b-5) Application receipt. If an applicant seeks a work 2 assignment as a day or temporary laborer with a day and 3 temporary labor service agency, including in-person, online, 4 or through an app-based system, and is not placed with a third 5 party client or otherwise contracted to work for that day by 6 the day and temporary labor service agency, the day and 7 temporary labor service agency shall provide the applicant 8 with a confirmation that the applicant sought work, signed by 9 an employee of the day and temporary labor service agency, on a 10 form approved by the Department, that shall include: 11 (1) the name and location of the day and temporary 12 labor service agency and branch office; 13 (2) the name and address of the applicant; 14 (3) the date and the time that the applicant sought 15 the work assignment; 16 (4) the manner in which the applicant sought the work 17 assignment; and 18 (5) the specific work sites or type of jobs sought by 19 the applicant, if applicable. 20 (c) The Department shall recommend to day and temporary 21 labor service agencies that those agencies employ personnel 22 who can effectively communicate information required in 23 subsections (a) and (b-5) (b) to day or temporary laborers in 24 Spanish, Polish, or any other language that is generally 25 understood in the locale of the day and temporary labor 26 service agency. SB3650 - 4 - LRB103 38728 SPS 68865 b SB3650- 5 -LRB103 38728 SPS 68865 b SB3650 - 5 - LRB103 38728 SPS 68865 b SB3650 - 5 - LRB103 38728 SPS 68865 b 1 (Source: P.A. 99-78, eff. 7-20-15; 100-517, eff. 6-1-18.) 2 (820 ILCS 175/11) 3 Sec. 11. Right to refuse assignment to a labor dispute. 4 (a) No day and temporary labor service agency may send a 5 day or temporary laborer to a place where a strike, a lockout, 6 or work stoppage other labor trouble exists because of a labor 7 dispute or where a picket, bannering, handbilling, or other 8 job action exists because of a labor dispute without 9 providing, at or before the time of dispatch, a statement, in 10 writing and in a language that the day and temporary laborer 11 understands, informing the day or temporary laborer of the 12 labor dispute and the day or temporary laborer's right to 13 refuse the assignment without prejudice to receiving another 14 assignment. This Section shall not apply to any strike, 15 lockout, or other work stoppage or any picket, bannering, 16 handbilling, or other job action, that has been ruled unlawful 17 by any court or government agency authorized to make that 18 determination. 19 (b) The failure by a day and temporary labor service 20 agency to provide any of the information required by this 21 Section shall constitute a notice violation under Section 95. 22 The failure of a day and temporary labor service agency to 23 provide each piece of information required by this Section at 24 each time it is required by this Section shall constitute a 25 separate and distinct notice violation. If a day and temporary SB3650 - 5 - LRB103 38728 SPS 68865 b SB3650- 6 -LRB103 38728 SPS 68865 b SB3650 - 6 - LRB103 38728 SPS 68865 b SB3650 - 6 - LRB103 38728 SPS 68865 b 1 labor service agency claims that it has provided a notice as 2 required under this Section electronically, the day and 3 temporary labor service agency shall bear the burden of 4 showing that the notice was provided if there is a dispute. 5 (Source: P.A. 103-437, eff. 8-4-23.) 6 (820 ILCS 175/42) 7 Sec. 42. Equal pay for equal work. 8 (a) A day or temporary laborer who is assigned to work and 9 performs work at a third party client for more than 90 calendar 10 days during a 12-month period shall be paid as follows: 11 (1) if there is a directly hired comparative employee: 12 (A) not less than the regular rate of pay, as 13 described in Section 4a of the Minimum Wage Law, and 14 equivalent benefits as the lowest paid directly hired 15 comparative employee; and of the third party client 16 with the same level of seniority at the company and 17 performing the same or substantially similar work on 18 jobs the performance of which requires substantially 19 similar skill, effort, and responsibility, and that 20 are performed under similar working conditions 21 (B) substantially similar benefits to the job 22 classification of the directly hired comparative 23 employee or the hourly average cash equivalent of the 24 actual cost of the benefits the third party client 25 provides to the directly hired comparative employee. SB3650 - 6 - LRB103 38728 SPS 68865 b SB3650- 7 -LRB103 38728 SPS 68865 b SB3650 - 7 - LRB103 38728 SPS 68865 b SB3650 - 7 - LRB103 38728 SPS 68865 b 1 (2) if If there is not a directly hired comparative 2 employee: of the third party client, the day or temporary 3 laborer shall be paid 4 (A) not less than the regular rate of pay and 5 equivalent benefits of the lowest paid direct hired 6 employee of the company with the closest level of 7 seniority at the company; and . 8 (B) substantially similar benefits to the 9 classification of employees performing the same or 10 substantially similar work on jobs or A day and 11 temporary labor service agency may pay the hourly 12 average cash equivalent of the actual cost of the 13 benefits in lieu of benefits required under this 14 Section. 15 (b) Upon request, a third party client to which a day or 16 temporary laborer has been assigned for more than 90 calendar 17 days shall be obligated to timely provide the day and 18 temporary labor service agency with all necessary information 19 related to job duties, working conditions, pay, and benefits 20 it provides to the applicable classification of directly hired 21 comparative employees necessary for the day and temporary 22 labor service agency to comply with this Section. Upon receipt 23 of the accurate and complete information described in this 24 subsection from the third-party client, it shall be the 25 responsibility and duty of the day and temporary labor service 26 agency to calculate and determine the hourly rate of pay and SB3650 - 7 - LRB103 38728 SPS 68865 b SB3650- 8 -LRB103 38728 SPS 68865 b SB3650 - 8 - LRB103 38728 SPS 68865 b SB3650 - 8 - LRB103 38728 SPS 68865 b 1 the benefits it shall offer to the day or temporary laborer, 2 including any cash equivalents. The failure by a third party 3 client to provide any of the information required under this 4 Section shall constitute a notice violation by the third party 5 client under Section 95. For purposes of this Section, the day 6 and temporary labor service agency shall be considered a 7 person aggrieved as described in Section 95. For the purposes 8 of this Section, the calculation of the 90 calendar days may 9 not begin until April 1, 2024. 10 (c) As used in this Section, "directly hired comparative 11 employee" means an employee of a third party client who has the 12 same or substantially similar level of seniority at the 13 company as a day or temporary laborer and who performs the same 14 or substantially similar work on jobs as a day or temporary 15 laborer, the performance of which requires substantially 16 similar skill, effort, and responsibility and are performed 17 under similar working conditions. 18 (Source: P.A. 103-437, eff. 8-4-23; 103-564, eff. 11-17-23.) 19 (820 ILCS 175/85) 20 Sec. 85. Third party clients. 21 (a) It is a violation of this Act for a third party client 22 to enter into a contract for the employment of day or temporary 23 laborers with any day and temporary labor service agency not 24 registered under Section 45 of this Act. A third party client 25 has a duty to verify a day and temporary labor service agency's SB3650 - 8 - LRB103 38728 SPS 68865 b SB3650- 9 -LRB103 38728 SPS 68865 b SB3650 - 9 - LRB103 38728 SPS 68865 b SB3650 - 9 - LRB103 38728 SPS 68865 b 1 status with the Department before entering into a contract 2 with such an agency, and on March 1 and September 1 of each 3 year. A day and temporary labor service agency shall be 4 required to provide each of its third party clients with proof 5 of valid registration issued by the Department at the time of 6 entering into a contract. A day and temporary labor service 7 agency shall be required to notify, both by telephone and in 8 writing, each day or temporary laborer it employs and each 9 third party client with whom it has a contract within 24 hours 10 of any denial, suspension, or revocation of its registration 11 by the Department. All contracts between any day and temporary 12 labor service agency and any third party client shall be 13 considered null and void from the date any such denial, 14 suspension, or revocation of registration becomes effective 15 and until such time as the day and temporary labor service 16 agency becomes registered and considered in good standing by 17 the Department as provided in Section 50 and Section 55. Upon 18 request, the Department shall provide to a third party client 19 a list of entities registered as day and temporary labor 20 service agencies. The Department shall provide on the Internet 21 a list of entities registered as day and temporary labor 22 service agencies. A third party client may rely on information 23 provided by the Department or maintained on the Department's 24 website pursuant to Section 45 of this Act and shall be held 25 harmless if such information maintained or provided by the 26 Department was inaccurate. Any third party client that SB3650 - 9 - LRB103 38728 SPS 68865 b SB3650- 10 -LRB103 38728 SPS 68865 b SB3650 - 10 - LRB103 38728 SPS 68865 b SB3650 - 10 - LRB103 38728 SPS 68865 b 1 violates this provision of the Act is subject to a civil 2 penalty of not less than $100 and not to exceed $1,500. Each 3 day during which a third party client contracts with a day and 4 temporary labor service agency not registered under Section 45 5 of this Act shall constitute a separate and distinct offense. 6 (b) If a third party client leases or contracts with a day 7 and temporary service agency for the services of a day or 8 temporary laborer, the third party client shall share all 9 legal responsibility and liability for the payment of wages 10 under the Illinois Wage Payment and Collection Act and the 11 Minimum Wage Law. 12 (c) Before the assignment of an employee to a worksite 13 employer, a day and temporary labor service agency must: 14 (1) inquire about the client company's safety and 15 health practices and hazards at the actual workplace where 16 the day or temporary laborer will be working to assess the 17 safety conditions, workers tasks, and the client company's 18 safety program; these activities are required at the start 19 of any contract to place day or temporary laborers and may 20 include visiting the client company's actual worksite. If, 21 during the inquiry or anytime during the period of the 22 contract, the day and temporary labor service agency 23 becomes aware of existing job hazards that are not 24 mitigated by the client company, the day and temporary 25 labor service agency must make the client company aware, 26 urge the client company to correct it, and document these SB3650 - 10 - LRB103 38728 SPS 68865 b SB3650- 11 -LRB103 38728 SPS 68865 b SB3650 - 11 - LRB103 38728 SPS 68865 b SB3650 - 11 - LRB103 38728 SPS 68865 b 1 efforts, otherwise the day and temporary labor service 2 agency must remove the day or temporary laborers from the 3 client company's worksite; 4 (2) provide training to the day or temporary laborer 5 for general awareness safety training for recognized 6 industry hazards the day or temporary laborer may 7 encounter at the client company's worksite. Industry 8 hazard training must be completed, in the preferred 9 language of the day or temporary laborer, and must be 10 provided at no expense to the day or temporary laborer. 11 The training date and training content must be maintained 12 by the day and temporary staffing agency and provided to 13 the day or temporary laborer; 14 (3) transmit a general description of the training 15 program including topics covered to the client company, 16 whether electronically or on paper, at the start of the 17 contract with the client company; 18 (4) provide the Department's hotline number for the 19 employee to call to report safety hazards and concerns as 20 part of the employment materials provided to the day or 21 temporary laborer; and 22 (5) inform the day or temporary laborer who the day or 23 temporary laborer should report safety concerns to at the 24 workplace. 25 Nothing in this Section shall diminish any existing client 26 company or a day and temporary labor service agency's SB3650 - 11 - LRB103 38728 SPS 68865 b SB3650- 12 -LRB103 38728 SPS 68865 b SB3650 - 12 - LRB103 38728 SPS 68865 b SB3650 - 12 - LRB103 38728 SPS 68865 b 1 responsibility as an employer to provide a place of employment 2 free from recognized hazards or to otherwise comply with other 3 health and safety or employment laws. The client company and 4 the day and temporary labor service agency are responsible for 5 compliance with this Section and the rules adopted under this 6 Section. 7 (d) Before the day or temporary laborer engages in work 8 for a client company, the client company must: 9 (1) document and inform the day and temporary labor 10 service agency about anticipated job hazards likely 11 encountered by the day or temporary laborer; 12 (2) review the safety and health awareness training 13 provided by the day and temporary labor service agency to 14 determine if it addresses recognized hazards for the 15 client company's industry; 16 (3) provide specific training tailored to the 17 particular hazards at the client company's worksite 18 compliant with the relevant federal Occupational Safety 19 and Health Administration's regulations and guidances; and 20 (4) document and maintain records of site-specific 21 training and provide confirmation that the training 22 occurred to the day and temporary labor service agency 23 within 3 business days of providing the training. 24 (e) If the client company changes the job tasks or work 25 location and new hazards may be encountered, the client 26 company must: SB3650 - 12 - LRB103 38728 SPS 68865 b SB3650- 13 -LRB103 38728 SPS 68865 b SB3650 - 13 - LRB103 38728 SPS 68865 b SB3650 - 13 - LRB103 38728 SPS 68865 b SB3650 - 13 - LRB103 38728 SPS 68865 b