Staying compliant with labor laws is a top priority for HR professionals, but keeping up with constant legislative changes can be overwhelming. Illinois has introduced several significant labor law updates for 2025 that directly affect hiring practices, wage compliance, workplace policies, and employee rights. For HR professionals, it’s crucial to stay ahead of these changes to avoid costly legal issues.
Key Illinois Labor Law Updates for 2025 And What You Can Do NOW To Stay Compliant!
Illinois has strengthened worker protections, and HR professionals need to adapt to these updates to ensure compliance and minimize risks. Here’s a breakdown of the key changes:
- Enhanced Pay Transparency Requirements
Employers must disclose salary ranges in job postings for all positions. This impacts businesses with 15+ employees.
What Can You Do? Conduct salary audits and update job postings to comply with these requirements.
- Pay Stub Retention Requirements
Employers are required to retain pay stub records for all employees, including terminated employees, for at least three years.
What Can You Do? Ensure proper pay stub retention systems are in place and audit past records for compliance.
- Whistleblower Act Amendments
Employees can now file retaliation claims if they are punished for reporting issues to an internal supervisor, manager, or board member. All it takes for protection is an honest belief that the employer is violating the law or endangering public safety.
What Can You Do? Review internal whistleblower policies and educate staff on the new legal protections and the need to take all complaints seriously and to not punish employees for raising protected complaints.
- Prohibition of Employment Discrimination Against Caregivers
Discrimination against employees with caregiving responsibilities is now prohibited.
What Can You Do? Update anti-discrimination policies to include caregiver status and train staff to recognize and prevent caregiver-related discrimination.
- Expanded Paid Leave Benefits
The Paid Leave for All Workers Act extends paid leave benefits to more employees, including part-time and temporary workers. Employers must also track paid sick leave more diligently. (For those paying attention, yes this went into effect in 2024, but we’re still seeing a lot of Illinois employers behind on compliance. So let this serve as your reminder to get your paid leave practices in order!).
What Can You Do? Update employee handbooks and implement systems to track paid leave accurately.
How HR Professionals Can Stay Ahead of Illinois Labor Law Changes
To ensure compliance, HR professionals should adopt a proactive strategy:
- Develop a Proactive Compliance Strategy: Regularly audit policies with employment counsel to identify gaps.
- Leverage Technology for Compliance Tracking: Use HR software to manage pay equity, leave policies, and classification compliance.
- Stay Informed: Subscribe to legal newsletters and attend relevant webinars to stay updated on the latest labor laws. Savine Employment Law, Ltd. is here to help.
Act Now to Ensure Compliance
Failure to stay compliant with Illinois’ new labor laws can result in fines, lawsuits, and potentially damage your organization’s reputation. To protect your organization, it’s essential to audit your policies, train your teams, and update your systems today. Need help navigating these updates? Contact us for a consultation by filling out our contact form or by calling us at 312-788-2668 and ensure your business is fully compliant with 2025 labor law changes.