Chicago, IL: New Paid Sick Leave and Wage Theft Updates

Chicago recently passed Ordinance No. O2021-2182, implementing wage theft protections and expanding paid sick leave use.

JUL 5, 2021 | Wage Theft Protections. Employers are now liable for wage theft for failing to timely pay employees for any work performed, any paid time off (e.g., paid sick leave), and contractually required benefits. Employers now must pay 5% of any underpayments for each month they remain unpaid (as required by recent Illinois HB 118, effective July 9th). These penalties are in addition to failure to comply with Chicago paid sick leave requirements. A Covered Employee may file a claim with the Office of Labor Standards or in a civil action, but not both.

AUG 1, 2021 | Paid Sick Leave Expansion. Employees will now be able to use paid sick leave for the following reasons:

• The employee’s own or family member’s mental or behavioral issues, including substance abuse disorders.
• The employee’s family member’s order to quarantine, or to care for a family member whose school, class, or place of care is closed due to a public health emergency.
• Victim of domestic violence or sex offense includes stalking, aggravated stalking, and cybers talking.
• To obey an order from the city, state, or healthcare provider to stay home, isolate, or quarantine due to a communicable disease.

Action Items